As the new financial year kicks off, it also marks the beginning of the much-anticipated tax filing season for Assessment Year (AY) 2025-26, covering income earned during Financial Year (FY) 2024-25. The Income Tax Department has made a few notable updates this year, particularly with the ITR-2 form, which is crucial for a certain category of taxpayers.
A significant change this season is the release of a new Excel-based utility for ITR-2, launched on March 25, 2025. This updated version includes enhanced features, one of which is the ability to file revised returns under Section 139(8A)—a move aimed at improving filing flexibility and compliance.
ITR-2 is specifically meant for individuals and Hindu Undivided Families (HUFs) who do not have income from business or profession. You should opt for this form if you:
Have total income exceeding ₹50 lakh
Earn income from multiple house properties
Have capital gains (long-term or short-term)
Are a director in a company
Hold shares in an unlisted company
Possess foreign assets or earn foreign income
If your income is solely from salary, pension, interest, dividends, or rent from a single property and is less than ₹50 lakh, you may be eligible to file using ITR-1 instead.
One of the key introductions this year is the facility to file a revised return under Section 139(8A) directly using the ITR-2 Excel utility. This provision helps taxpayers correct or update their returns with greater ease, ensuring better accuracy and compliance.
Your ITR form selection depends on two main factors:
Total income
Nature/source of income
Filing the correct form not only simplifies the process but also ensures that your return is processed smoothly without unnecessary notices or rejections from the Income Tax Department.
Read More: GST Amendments 2025: Impact and Implications from April 1
With the release of the updated ITR-2 utility and new provisions like Section 139(8A), the tax filing process for AY 2025-26 has become more structured and taxpayer-friendly. Ensure that you assess your income sources and choose the appropriate form for a seamless and compliant return filing experience.
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