Don't file updated ITR to get tax refund

Total income must be equal to or more than that in original return

- SAIKAT NEOGI

The government has given some relief to individual taxpayers by extending the time limit for filing updated Income Tax Returns (ITR) from two years to four years. Before filing such a return, one must consider eligibility, additional tax liability, interest, and the nature of corrections required.

An updated ITR can be filed within four years, but it can't be used to claim a refund or reduce tax liability. An assessee cannot claim carry forward of unreported losses from the sale of securities or real estate while filing an updated ITR. As per Section 139(8A), an assessee cannot file a loss return and reduce total tax liability as determined under the original, revised, or belated return.