ITR Filing AY 2024-25

ITR Filing (AY 2024-2025): All you need to know About ITR Filling

It’s that time of year when the income earned in last financial year must be assessed and information must be furnished to the tax department. It’s crucial to know what forms are applicable, how to calculate the income, the tax rates applicable, due dates and so on.We bring you a comprehensive guide to filing your Income Tax Return (ITR) for the Financial Year (FY) 2023-24 (Assessment Year or AY 2024-25). This blog post dives deep into key information you need to know, including deadlines, important dates, potential consequences for missing them. 

Understanding FY and AY

It’s crucial to understand the distinction between the Financial Year (FY) and the Assessment Year (AY) when filing your ITR. The ITR you file pertains to the income you earned in FY 2023-24, which runs from April 1, 2023, to March 31, 2024. The AY 2024-25 is the following year, where you declare your income for FY 2023-24, along with exemptions, deductions, and any losses incurred during that period.

ITR Filing Deadlines and Categories

The Income Tax Department provides a window for ITR filing based on your taxpayer category. Here’s a breakdown of the deadlines to remember:

  • Individual / Hindu Undivided Family (HUF) / Association of Persons (AOP) / Body of Individuals (BOI) (not requiring audited books): July 31, 2024 (unless extended)
  • Businesses (requiring audit): October 31, 2024
  • Businesses requiring transfer pricing reports (for international/specified domestic transactions): November 30, 2024
  • Revised return: December 31, 2024
  • Belated/late return: December 31, 2024
  • Updated return: March 31, 2027 (2 years from the relevant AY end)

Missing the ITR Filing Deadline: Implications

There are significant consequences associated with filing your ITR after the due date. Here’s what you might face:

  • Interest: You’ll be liable to pay interest at a rate of 1% per month or part month on the unpaid tax amount as per Section 234A of the Income Tax Act.
  • Late Filing Fee: Section 234F imposes a late filing fee. This fee is Rs. 5,000, but it’s reduced to Rs. 1,000 if your total income for FY 23-24 falls below Rs. 5 lakh.
  • Loss Carry Forward: You might lose the ability to carry forward losses from sources like stock markets, businesses, or mutual funds for future adjustments against your income, potentially increasing your tax liability in subsequent years.

Belated ITR Filing

If you miss the July 31, 2024 deadline for ITR filing, you can still file a belated return by December 31, 2024. However, keep in mind that you’ll incur interest on the unpaid tax and a late filing fee. Additionally, you won’t be able to carry forward any losses from the previous year.

Updated Return (ITR U)

In exceptional circumstances, you can file an updated return (ITR U) even after December 31st. However, this is subject to specific conditions set by the Income Tax Department.

Selecting the Right ITR Form

The Income Tax Department offers various ITR forms depending on your income sources and filing requirements. Here’s a glimpse into some common ITR forms:

  • ITR-1 (Sahaj): This form is ideal for resident individuals with income from salary/pension, one house property (excluding cases with losses brought forward from previous years), and other sources (excluding lottery winnings and racehorse income). Agricultural income up to Rs. 5,000 is also permissible in ITR-1.
  • ITR-2: This form caters to individuals and Hindu Undivided Families (HUFs) with income from various sources, including house property (with brought-forward losses), capital gains, business or profession, and foreign income.
  • ITR-3: This form is for companies and individuals (other than those covered under ITR-1 or ITR-4) who are required to furnish a complete set of audited financial statements.
  • ITR-4 (Sugam): This form is suitable for small businesses and professions with a turnover or total receipts below Rs. 6 crore. It also applies to freelancers and those with income from salary, one house property, and other sources (excluding business or profession).

Master Brains Consultants: Your ITR Filing Partner

At Master Brains Consultants, we understand that ITR filing can be a complex and time-consuming process. That’s why we’re here to simplify your experience and ensure you get the best Income Tax Consultancy. We offer a range of services to cater to your specific needs:

  • ITR Form Selection: Our tax professionals will help you identify the appropriate ITR form (ITR-1 to ITR-7) based on your income sources and filing obligations.
  • Streamlined ITR Filing Process: Whether you’re a salaried individual, freelancer, or business owner, we have solutions to streamline your ITR filing. 
    • Salaried Individuals: For those with Form 16 from their employer, we can leverage our advanced software to automatically prepare your return, saving you valuable time and effort.
    • Freelancers and Businesses: We understand the complexities freelancers and small businesses face. Our team can assist you with filing ITR-4 (Sugam) if your income falls under the eligibility criteria.
    • Businesses Requiring Audits: For businesses mandated to undergo audits, we can guide you through the ITR-3 filing process, ensuring all necessary documentation is compiled and submitted.


Filing your ITR on time not only ensures you avoid penalties and interest charges but also allows you to claim any tax refunds you may be entitled to. Master Brains Consultants is your one-stop shop for a smooth and hassle-free ITR filing experience. Contact us today to discuss your specific requirements and benefit from our expertise.


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