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    Govt Gives More Time For ITR Filing, But Return Processing Still Lags At Under 40% | Personal Finance News

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    New Delhi: Good news for taxpayers! The Finance Ministry has extended the deadline for filing Income Tax Returns (ITR) for the assessment year 2025-26 to 15 September 2025, giving everyone an extra 46 days beyond the original cut-off of 31 July. The extension comes in response to delays in return processing and the recent rollout of updated ITR filing utilities.

    Late Launch of ITR Filing Tools Causes Delays

    This year, the Income Tax Department rolled out the Excel utilities for ITR-1 and ITR-4 on 29 May, nearly two months later than usual. These utilities help taxpayers file their returns accurately whether online or offline by ensuring proper validation before submission. (Also Read: SEBI May Extend Equity Derivatives Tenure, Says Chairman Tuhin Kanta Pandey)

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    While utilities for ITR-1 to ITR-6 are now available, the tool for ITR-7 is still pending, contributing to delays in the overall filing process.

    New ITR Deadline: Extra Time Until September 15

    On May 27, the Finance Ministry announced an extension for filing income tax returns for the assessment year 2025-26. Taxpayers not required to get their accounts audited now have time until September 15 to file their returns—an extension of 46 days beyond the original deadline of July 31. This gives individuals more breathing room to meet their tax filing obligations. (Also Read: Section 139(9) Explained: What To Do If Your Income Tax Return Is Marked Defective– Find Out)

    Return Filing Picks Up, But Processing Still Slow

    Since the ITR filing window opened on 29 May, over 3.29 crore returns have been submitted and 3.19 crore verified. However, the government has processed only 1.13 crore returns so far—less than 40 per cent of the total filed even after nearly three months. This lag in processing has added to the pressure for an extended deadline.

    ITR Filing Tools Still Not Fully Available

    The Income Tax Department has not yet released all the utilities needed for filing returns for Assessment Year 2025-26. While most ITR forms (ITR-1 to ITR-6) now have their offline and online tools available, the utility for ITR-7 is still pending. In fact, the Excel utility for ITR-6 was released only last week, further delaying smooth filing for many taxpayers.

    Why ITR Utilities Matter for Taxpayers

    ITR utilities are digital tools that help taxpayers fill, validate, and submit their income tax return forms—both online and offline. These tools are essential for ensuring that returns are filed correctly, as they include built-in checks like schema validation and system integration with third-party software.



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