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Calculating taxes under the old and new income tax regimes in India involves understanding slab rates, available deductions, and rebates to see which option reduces liability for FY 2025-26. The old regime allows multiple deductions and exemptions, while the new regime offers simplified slabs with limited reliefs but higher thresholds. For accuracy, both must be compared before making a choice. TaxBuddy simplifies this process through automated comparisons and expert-assisted

Section 234F of the Income Tax Act imposes a penalty on taxpayers who miss the due date for filing Income Tax Returns . This fee depends on the taxpayer’s total income and the timing of filing. For Assessment Year 2025-26, the penalty can be as high as Rs. 5,000 for incomes exceeding Rs. 5 lakh, while smaller incomes face reduced or no penalty. The provision is designed to ensure timely compliance, discourage delays, and streamline the return filing process. Table of Content

Missing the due date for filing an Income Tax Return often raises a critical question: can a refund still be claimed? For Assessment Year 2025-26 (Financial Year 2024-25), the answer is yes, but only under specific timelines and conditions laid out in the Income Tax Act, 1961. Refunds can be claimed if the return is filed as a belated return before the extended due date of December 31, 2025. However, once this date passes, taxpayers lose the right to claim any refund if the

The last date to file Income Tax Returns (ITR) for Financial Year (FY) 2024-25 and Assessment Year (AY) 2025-26 has been extended beyond its original deadline due to significant updates in tax forms and portal readiness. The Central Board of Direct Taxes (CBDT) finalized September 16, 2025, as the cut-off date for individuals, HUFs, and non-audit taxpayers. For audit cases, businesses with transfer pricing requirements, and those needing additional compliance, the deadlines

The Income Tax Return Updated (ITR-U) is a special form designed for taxpayers to correct mistakes or declare omitted income after the original return has been filed. While it allows updates to income and tax-related details, it cannot be used to claim or increase refunds. Refund timelines for FY 2024-25 have been affected by increased verification, AI-driven scrutiny, and complex income checks, with interest payable at 6% per annum for delays. Understanding how ITR-U works

The ITR-U (Updated Income Tax Return) form allows taxpayers to rectify errors or omissions in previously filed returns under Section 139(8A) of the Income Tax Act, 1961. Introduced to enhance tax compliance, ITR-U can be filed for up to four years from the end of the relevant assessment year. It provides a one-time opportunity per assessment year to report additional income, correct mistakes, or revise deductions and carried forward losses. Filing ITR-U ensures that taxpayer

The Indian Government, through the Income Tax Act 2025, is actively encouraging taxpayers to adopt the New Tax Regime. Simplified slabs, reduced exemptions, and lower compliance burdens make the system transparent, predictable, and easier to navigate. By removing most deductions and offering direct tax reductions, the government aims to reduce disputes, errors, and administrative costs while promoting voluntary compliance. Salary earners, pensioners, and small businesses bene

Correcting errors in filed Income Tax Returns is now easier with ITR-U under Section 139(8A) of the Income Tax Act, 1961. Taxpayers can update missed income, omitted deductions, or incorrect reporting even after the standard revised return deadline. ITR-U ensures compliance, avoids scrutiny, and prevents penalties while streamlining the correction process. Tools like TaxBuddy make it simple to detect discrepancies across income sources, calculate additional tax, and submit

Tax saving options under the old and new income tax regimes in India differ sharply, especially for FY 2025–26. The old regime continues to allow a wide range of deductions and exemptions such as Section 80C, 80D, home loan benefits, and HRA, which significantly reduce taxable income. The new regime, on the other hand, offers lower tax rates and a higher exemption threshold but with minimal deductions beyond the standard deduction. Understanding these differences is crucial

Filing a revised return can often feel complicated, time-consuming, and prone to errors, especially when dealing with multiple income sources or mismatched TDS entries. TaxBuddy simplifies this process by combining AI-powered automation, mobile-first accessibility, and expert support, ensuring accurate and timely submissions under the Income Tax Act, 1961. Taxpayers can now complete their revised return filings efficiently, with minimal manual effort, while staying fully com