How to Revise Income Tax Return (ITR)

Date: 13-7-2015

What is Revised Return?

If an individual has already filed the income tax return and subsequently discovers any omission or wrong statement , he can re-file the return with necessary modification. This re-filing of the income tax return is referred to asRevised Return.

When should one file Revised Return?

Revised return should be filed only if the mistake is bonafide. If after furnishing the original return, any omission or any wrong statement is discovered which was done totally unintentional then one may file a revised return. For example you can revise return if

Return filed in response to notice under section 148,for the assessment of the escaped income, can also be revised provided that for  such return all the provisions of section 139 shall apply.

Can  Assessment Year be corrected or ITR form can be changed?

Revised return ,typically, means making changes in your original return that is Assessment Year and ITR remains the same.
Assessment Year: Income Tax return, ITR, is bound to an assessment year. For income earned in FY 2012-13 assessment year is AY 2013-14. Income Tax return forms(physical and excel) of AY 2013-13 and AY 2012-13 are different, for example there is no section 80TTA for saving bank interest in AY 2012-13. A revised return for the correct assessment year needs to be filed using that year Form or Excel ITR only.

When can Income Tax Return be revised?

Revised return can be filed only if the original return was filed within due date, Original return is  filed under section 139(1). If a return is filed after the due date,called belated return, then it cannot be revised.
Till what time one can revise a return?
The revised return can be filed before the expiry of one year from the end of the relevant assessment year or before the completion of assessment, whichever is earlier,  As per section 139(5) of Income Tax.

How many times can the revised return be filed?

Technically a return can be revised any number of times before the expiry of one year from the end of the Assessment Year or before the assessment by the Department is completed; whichever event takes place earlier.
Don’t revise for the heck of it! You could be penalized Revised returns are more likely to be chosen for scrutiny and if any omission is found purposeful, especially if income has been revised higher, you could be penalized with a fine or even imprisonment. If revised return is filed to correct a bonafide mistake then no penalty can be levied, otherwise it can be levied which could be 100 to 300 percent of tax dues.
In case of concealment of income and furnishing of inaccurate information in income tax return an individual will be penalized under Section 271(1)(c) of Income Tax Act

What happens to the Earlier Return?

Once, a revised Return is filed, the originally filed return is taken to have been withdrawn and substituted by the Revised Return. Revised Return Substitutes the Original Return. You need to send both original and revised return ITR-V forms to IT department Bangalore within 120 days.

Difference between Revision and Rectification of ITR?

Both Revising the return and rectification are similar but not same. A taxpayer can rectify his income tax return online if there is an apparent mistake in the return already filed. The change can be effected only after the taxpayer has received an order. Rectification enables correcting the error and refilling the return for assessment. So summarizing :

Revised Return can be filed only if you have done any mistakes(omissions or commissions) in filing your original return of income. It can be filed before the expiry of one year from the end of the relevant assessment year or before the completion of assessment, whichever is earlier.

Rectification is filed after processing of return or after receiving Intimation u/s 143(1), to rectify the mistakes in the order passed by the Income Tax department. Only those mistakes which are apparent from records can rectified u/s 154 upto 4 years from the end of the financial year in which order sought to be rectified was passed.

Is there some fine or payment for filing Revised Income Tax Return?

No, there is no fine or payment to be made for filing revised return. As you have already filed original return within due time, therefore no need to pay interest u/s 234A, but if any tax is due then you have to pay interest under section 234B, 234C.

How should the revised returns be filed – Online or Physical?

To file revised returns, one can use both the online and physical methods. However, you can revise returns online only if you have filed the original returns online and have the 15-digit acknowledgement number with date of filing original return.

Procedure of filing Revised Return u/s 139(5)

To file Revised Income Tax Return gather following information:

1. Receipt No. of Original Return
2. Date of Submission of Original Return

  Procedure for revising return is simple :

• Check for the discrepancy in the original return e-filed
• Log on to h t t p s: // i n c o m e t a x i n d i a e f i l i n g . g o v .i n /
• Prepare Return just like like you filed the first time, correcting or filling what had got omitted earlier.
• Go to part of ITR with Filing Status , for example Income Details in ITR1 shown in image below (Fill Excel ITR form : Personal Information,Filing Status)
• For Whether original or revised return select R-Revised.
• For Return filed under section select Revised 139(5).
• Enter the E-filing acknowledgement receipt number from the ITR-V Which you would have got after filing the original return.
• Press Submit button on completion of data . You will get a new ITR-V marked as revised return.
• Once you receive the ITR-V form, you are supposed to send across both original and revised return ITR-V forms to IT department Bangalore within 120 days.