Income Tax News: As the Income Tax Return (ITR) filing deadline of September 15, 2025, approaches, taxpayers are rushing to complete their submissions. While many have already filed their returns and are awaiting refunds, experts warn that last-minute errors could lead to penalties or rejections.
According to Pratibha Goyal, Chartered Accountant and partner at PD Gupta and Company, one key mistake is not sharing all necessary data with tax consultants at least a week before the due date. This delay can result in glitches or incorrect filing.
Here are the five common mistakes taxpayers should avoid:
1. Incorrect ITR Form Selection – Taxpayers sometimes opt for the wrong ITR form, like choosing ITR-1 instead of ITR-2. Each form applies to different sources of income, so selecting the right one is critical.
2. Non-disclosure of Foreign Assets – The Income Tax Department has reminded taxpayers to disclose any foreign assets. Hiding such assets may trigger scrutiny and legal notices later.
3. Multiple Form 16 from Employers – Salaried individuals who changed jobs during the financial year may have multiple Form 16s. It is important to aggregate incomes from all employers to prevent underreporting.
4. Exempt Income Not Disclosed – Many believe exempt income (gratuity, commuted pension, leave encashment) need not be reported. Experts clarify that these must be included in the gross salary and later claimed exempt under Section 10 provisions. Failure to disclose can result in notices under Section 133(6) or 148A.
5. Unverified AIS/TIS Data – Taxpayers must verify Annual Information Statement (AIS) and Taxpayer Information Summary (TIS) data before use. Blindly adopting this data or choosing the wrong tax regime could result in errors.
Experts advise acting early and consulting professionals to ensure a smooth ITR filing process.
This year’s deadline is seen as a major opportunity to avoid last-minute stress and comply with the Income Tax Department’s requirements efficiently.
