UPDATED RETURN:
The time limit for filing updated return is proposed to be 5 years from the end of FY as compared to the present time limit of 3 years. Accordingly proposed additional tax shall be as under:
When the updated return is filed after end of 1st FY
| Time period | Additional tax |
| Less than 2 years | 25% |
| 2 to 3 years | 50% |
| 3 to 4 years ** | 60% |
| 4 to 5 years ** | 70% |
% – computed as a percentage of the aggregate of tax and interest payable
** – proposed changes
The proposed amendment is applicable from FY 2025-26
The time limit for the updated return to be filed is as follows:
| FY | Last date of filing updated return |
| 2020-21 | 31st March 2026 |
| 2021-22 | 31St March 2027 |
| 2022-23 | 31st March 2028 |
However, no updated return can be filed by an assessee if any notice to show cause notice u/s 148A of the Act has been issued unless order u/s 148A(3) determines that it is unfit for the issuance of notice u/s 148.
