Every year, the Income Tax Department brings in new rules, forms, and compliance requirements, but one common misunderstanding remains among taxpayers: treating the ITR filing deadline as the tax payment deadline. For FY 2024–25 (AY 2025–26), this confusion is especially important to clear up. The government has extended the due date for filing the Income Tax Return (ITR) to 15th September 2025, but the deadline for payment of taxes remains unchanged.
Many taxpayers believe that since the due date to file the return has been pushed, the entire process can be postponed. However, delaying tax payments can lead to interest, especially if you are liable to pay self-assessment tax.
Let’s understand why this extension doesn’t mean you can relax, especially if you owe taxes, and why filing under the old tax regime requires more preparation and accurate documentation.
The Extended ITR Deadline and Its Limitations
The Central Board of Direct Taxes (CBDT) has extended the due date for filing ITR for non-audit cases to 15th September 2025, from the usual 31st July. This decision was welcomed by salaried individuals, freelancers, and small business owners who were struggling with documentation or delayed Form 16 issuance.
However, it’s important to understand what the extension covers and what it doesn’t:
| Particulars | Old Due Date | Extended Due Date |
| ITR Filing (Non-Audit Cases) | 31st July 2025 | 15th September 2025 |
| Advance Tax Installments | 15th June, 15th Sept, 15th Dec, 15th March | No change |
Key point: If your total tax liability exceeds TDS or advance tax already paid, and you fail to pay the balance amount (self-assessment tax), you will be liable to pay interest.
ITR Filing Under the Old Tax Regime is Time Consuming
Many taxpayers choose the Old Tax Regime to avail deductions under Section 80C, 80D, 80CCD, 80G, and other heads. While this regime often results in tax savings, it comes with a compliance burden this year.
The Income Tax Department now requires detailed disclosures and documentary proofs for each deduction you claim:
Mandatory Disclosures (Old Regime)
If you’ve opted for the Old Tax Regime, you may be planning to claim deductions under Sections 80C, 80D, 80CCD, etc. But here’s what many don’t realize:
- You now need to report detailed information such as:
- Policy numbers
- Payment dates
- Names of insurance companies or financial institutions
- Document Identification Numbers
- Claims under Section 80C (like LIC premiums, PPF, school fees, ELSS), 80D (medical insurance), and 80CCD(1B) (NPS) require authentic documentation.
This makes filing under the old regime time-consuming and documentation-intensive, especially if you start late.
Challenges Faced:
- Gathering receipts from multiple platforms.
- Verifying details with AIS and Form 26AS.
- Cross-checking whether employer-declared deductions match actual documents.
All this makes the process time-consuming and documentation-heavy. Filing at the last minute often results in missing deductions, errors, or incorrect declarations that can attract scrutiny.
False Deduction Claims Can Trigger Notices
The Income Tax Department now has access to extensive financial data through AIS (Annual Information Statement), Form 26AS, TDS returns, PAN-Aadhaar linkages, and integrations with financial institutions.
This year, authorities are particularly strict about bogus or inflated deduction claims. The following may attract scrutiny:
- Fake rent receipts for HRA deduction without genuine landlord PAN or address.
- Claiming LIC/PPF investments not reflected in bank accounts.
- Declaring donations under Section 80G without approved 80G certificate and Donation Reference Number.
- Declaring NPS investments without genuine PRAN or employer contributions.
Don’t Wait Till September – File Early
Here’s why you should not wait till 15th September to file your ITR:
1. Faster Refunds
Filing early results in quicker processing and refunds—often within 7 to 15 days.
2. Error Correction Time
Filing now gives you time to review, rectify, and refile if any error or mismatch is detected.
3. Avoid Portal Load and Last-minute Failures
The income tax portal faces heavy traffic closer to the deadline. This may result in login issues, submission errors, or delays in acknowledgment generation.
4. Help from Professionals
Tax consultants and CAs are usually overbooked closer to deadlines. If you start now, you get better attention and accurate filing.
5. Peace of Mind
Delaying compliance is stressful. Early filing frees you from the pressure and ensures you’re covered in case of scrutiny or document requisition.
Final Thoughts:
The extension of the ITR filing date is a relief but not a reason to delay. If you are liable to pay tax, that liability must be discharged by the original due date to avoid interest penalties. Moreover, with the increasing scrutiny and requirement for detailed disclosures under the old tax regime, it’s prudent to start the filing process early.
Don’t fall into the trap of false deduction claims this year. The Income Tax Department has become smarter, faster, and stricter in identifying suspicious ITRs. Save yourself from notices, penalties, and late-night stress by filing your return early, accurately, and with full disclosure.
File early. File right. Stay compliant.
