Tuesday, May 14, 2024

Note on Timing of Income Tax Return Filing for AY 2024-25


The Income Tax Department encourages taxpayers to file their Income Tax Returns (ITRs) early to facilitate smooth processing and ensure compliance. As of May 12, 2024, around 11.46 lakh assesses have already submitted their ITRs for the Assessment Year (AY) 2024-25, with 6.44 lakh returns successfully processed. While early filing demonstrates proactive tax management, it's essential to consider strategic reasons for delaying filing until after June 15, 2024.

Key Reasons to Delay Filing until June 15

TDS and Form 26AS Reconciliation

  • Due Date for TDS Return: Companies and other deductors must file their TDS returns for the January-March quarter by May 31, 2024. TDS details often become visible in the taxpayer's Form 26AS only after these returns are processed.
  • Form 16/16A Issuance: Employers and other deductors are obligated to issue Form 16 or Form 16A by June 15, 2024. Waiting until this date ensures that taxpayers possess all necessary TDS certificates for accurate tax filing.

SFT Compliance

  • SFT Deadline: The deadline for Statement of Financial Transactions (SFT) reporting is May 31, 2024. This encompasses significant transactions such as large cash deposits, property transactions, and mutual fund purchases.
  • Impact on AIS: The Annual Information Statement (AIS) integrates data from SFT and TDS, among others. Filing the ITR post-June 15 allows for the latest updates in AIS, ensuring that all financial data is current and comprehensive.

Reconciliation and Accuracy

  • Error Minimization: Delaying ITR filing enables taxpayers to thoroughly reconcile all income, deductions, and credits, minimizing the risk of errors. This reduces the likelihood of receiving notices from the tax department and ensures compliance with tax regulations.

Who Can File Early?

Despite the aforementioned benefits of delaying filing, certain taxpayers might find it advantageous to file their returns early:

  • Simple Tax Situations: Taxpayers with straightforward tax situations, such as salaried employees without deductions or other income sources, can file early to expedite the process.
  • Travel Plans: Individuals planning to travel or relocate around the tax-filing deadline should consider filing earlier to avoid penalties and mitigate last-minute hassles.
  • NRIs with Capital Gains: Non-resident Indians (NRIs) who only need to report capital gains from property sales may opt for early filing if no other income needs reporting in India.


While the allure of early filing is understandable, waiting until after June 15, 2024, presents substantial advantages. It allows taxpayers to ensure the completeness and accuracy of their ITRs by aligning all reported information with the official records reflected in Form 26AS and AIS. By doing so, taxpayers can mitigate errors, avoid potential penalties, and gain peace of mind in managing their tax obligations effectively.


Taxpayers are strongly advised to assess their individual circumstances and make informed decisions regarding the timing of their ITR filing:

  • Complex Returns: Individuals with complex tax situations involving multiple sources of income and deductions should consider delaying filing until after June 15 to ensure thorough reconciliation and compliance.
  • Thorough Review: Regardless of the filing date, taxpayers must diligently review all financial documents and transactions to ensure accurate reporting and compliance with tax regulations.
  • Consultation: For taxpayers unsure about the optimal filing timing or facing complexities in their tax situation, seeking guidance from tax professionals or financial advisors is highly recommended to make well-informed decisions.