File updated ITR before Mar 31 to reduce risk of scrutiny, penalties

ITR-U can be filed under specific conditions; can't be used to reduce tax liability

The deadline to file an updated income-tax return (ITR-U) is March 31, 2024, for the assessment year 2021-2022 (FY21). The option to file an ITR-U gives taxpayers an opportunity to amend their past returns and ensure compliance with the tax laws.

In the past few weeks, some taxpayers have received notices due to discrepancies between the returns filed by them and the information available with the Income-Tax (I-T) Department.

“Go through these notices carefully. If you discover any missed tax payments, definitely opt for filing an ITR-U by including such income in it. Otherwise, you might receive further notices for