If you haven’t filed your ITR 2025 yet, today is your last chance to do so without facing penalties. The deadline for most taxpayers, including salaried employees, pensioners, and small businesses that do not need audits, is Monday, September 15. This date has been extended from July 31, but the opportunity closes tonight. Missing it can lead to financial penalties and limit certain tax benefits.
Penalties for missing ITR 2025 deadline
If you fail to file your return by September 15, a penalty under Section 234F of the Income Tax Act will apply. Taxpayers with income over Rs 5 lakh may need to pay a late fee of Rs 5,000. Those with income below this amount will face a penalty of Rs 1,000.
There are more consequences if taxes remain unpaid. Interest under Section 234A applies at 1% a month on the amount owed, calculated from the original due date until the return is filed.
Other consequences on late filing
In addition to financial costs, late filing limits certain benefits. Late ITR 2025 filers cannot carry forward some losses, such as capital or business losses, to future years. They may also lose eligibility for some exemptions and deductions.
Another restriction is that once the deadline passes, you cannot switch between the old and new tax systems. Even if you miss today’s deadline, you can still file a belated or revised tax return until December 31, 2025. If you realize you made mistakes or missed information later, you can submit updated returns (ITR-U) up to March 31, 2030.
However, these late filings will incur penalties and may not provide the full range of tax benefits available to those who filed on time. The tax department warns that late filers should know about these limitations as they have a last impact on their finances.
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