Jigar M. Patel
International Tax Attorney
A return has been filed and processed. A deadline has been extended. But what happens next? Two interesting reader questions this week highlight the practical issues that arise in these situations – whether an income-tax return (ITR) that has already been processed can still be revised and whether an extended filing deadline can stop the interest clock.
Provisions for filing a Revised Return
Query – 1: I filed my ITR in July, 2026 for AY 2026-27 and have also received the intimation under Section 143(1). I have just come to realize that I had missed out on showing some dividend income and claiming credit for TDS thereon. I would like to file my revised return and declare the correct income. Can I, however, revise my ITR since the same has already been processed?
Reply: Section 139(5) prescribes the relevant provisions for filing a revised tax return. As per the same, an ITR can be revised (without any fee), until 31st December of the relevant assessment year or the completion of the assessment, whichever is earlier.
If a taxpayer after having filed his original return, discovers that some income was missed out to be shown or wrongly included or some claim for relief was not adequately made or credit for tax paid was not claimed, such return can be duly revised within the prescribed time limit as mentioned hereinabove.
It needs to be borne in mind that processing of an ITR and issue of an intimation under Section 143(1) does not constitute completion of an assessment. Thus, in your case, you can revise your original ITR and show the correct income and claim appropriate tax credit without any hurdle.
The amendment introduced effective AY 2026-27, also permits filing of a revised return until 31st March of the assessment year. However, while an ITR can be revised until 31st December without payment of any fee, revision made during the period 1st January to 31st March would invite a late filing fee. Such fee is Rs. 1,000 in case of a taxpayer having income below Rs. 5 lakhs. In all other cases, there is a flat fee of Rs 5,000 where an ITR is sought to be revised post December.
Interest liability in case of ITR Extension?
Query – 2: My ITR for AY 2026-27 is due to be filed on October 31, 2026. I understand that CBDT has notified the extended deadline for filing returns until November 21, 2026. I am required to pay self-assessment tax of Rs. 1.5 lakh, along with the filing of my ITR. If my return is filed beyond October, but before November 21, would there be any liability for payment of interest?
Reply: Under its Circular No. 07/2026 dated September 28, the Central Board of Direct Taxes (CBDT) has extended the due date for filing ITR in cases of specified taxpayers for AY 2026-27, from October 31 to November 21, 2026.
In a case where an ITR is filed beyond the due date prescribed under Section 139(1), liability for interest under Section 234A is attracted at the rate of 1% per month on the tax paid beyond such due date.
Explanation 1 to Section 234A states that for the purposes of this section, due date means the due date specified in Section 139(1), as applicable in the case of the taxpayer. In earlier assessment years (AY 2020-21, AY 2021-22), when ITR filing extension was announced by the CBDT, it had been expressly clarified that the extended date would not apply for the purposes of Explanation 1 to Section 234A and the taxpayer would be liable for payment of interest.
Quite interestingly, the above referred Circular for AY 2026-27 does not carry any such qualification or restriction as in the past. It can therefore be logically argued that the extension of the due date under Section 139 would also apply for purposes of interpreting liability for interest under Section 234A.
