Big Relief for Taxpayers: Due Date Extended & New ITR Forms Released
Meet Anjali – A Freelance Designer Who Almost Missed the Deadline
Anjali, a 32-year-old freelance graphic designer from Pune, had a successful financial year. She earned through design contracts, invested in mutual funds, and even made some profit from trading listed shares.
As July 2025 approached, she started receiving reminders about filing her Income Tax Return (ITR) before the deadline of 31st July. But with client deadlines, travel, and some confusion about capital gains reporting, she kept delaying it.
One morning in late May, she read some good news online:
“The due date for non-audit ITR filing has been extended to 15th September 2025!”
To her relief, she now had more time. But that wasn’t the only update. The new ITR-1 and ITR-4 Excel utilities had just been released — and they made reporting long-term capital gains (LTCG) and agriculture income much easier.
Let’s break down what these updates mean for taxpayers like Anjali — and you.
🗓️ Due Date Extended for Non-Audit ITR Cases
✅ What’s the New Deadline?
Old deadline: 31st July 2025
New deadline: 15th September 2025 (for non-audit cases)
For audit cases: 30th September 2025
This extension gives individuals and professionals more time to:
Gather financial documents
Reconcile Form 26AS and Annual Information Statement (AIS)
Confirm TDS and interest income details
File error-free returns
✳️ Why the Extension?
This move reflects the government’s responsiveness to:
Feedback from professionals and tax consultants
The need for extra time to handle complex transactions (like capital gains, dividends, etc.)
Ensuring accurate reporting before filing
📄 New Excel Utilities for ITR-1 and ITR-4 Released
🔍 What Are These Forms?
| Form | Who Should Use It? | Type of Income Covered |
|---|---|---|
| ITR-1 (Sahaj) | Salaried individuals & pensioners | Salary, 1 house property, other sources |
| ITR-4 (Sugam) | Individuals, HUFs & firms (non-audit) under presumptive income scheme | Business income under Sections 44AD, 44ADA, 44AE |
📥 Where to Download?
Download from the official Income Tax website:
👉 Income Tax Portal – Downloads Section
📈 Major Improvements in the New ITR Forms
📌 1. Long-Term Capital Gains (LTCG)
Reporting Simplified
Now allows easier reporting of LTCG from listed shares.
Taxpayers can report LTCG up to ₹1.25 lakh directly in ITR-1 or ITR-4.
Earlier, taxpayers had to shift to ITR-2 for capital gains, even if gains were small. This update makes it user-friendly.
📌 2. Agriculture Income up to ₹5000 Can Be Declared
ITR-1 and ITR-4 now allow you to report agriculture income up to ₹5,000.
No need to move to a complex form if your agri-income is minimal.
📌 3. Designed for Better Accuracy
Updated to auto-calculate tax, deductions, and interest
Cross-checks data with AIS and Form 26AS to minimize mismatches
🧾 Why It’s Important to File Smart and Timely
💡 Important Tips:
✅ Reconcile AIS and TIS with your actual bank and investment data.
✅ Declare all interest income, especially from savings and fixed deposits.
✅ Don’t ignore small capital gains, even if they’re exempt — always report them.
✅ File only after June 15 if you want to ensure that all TDS entries are reflected properly.
✅ Keep a record of mutual fund transactions, bank deposits, and trading activity to ensure full compliance.
📅 Key Deadlines to Remember
| Event | Deadline |
|---|---|
| TDS & interest reporting by banks/mutual funds | 31st May 2025 |
| Ideal time to file after TDS/AIS reconciliation | After 15th June 2025 |
| Due date for ITR (non-audit cases) | 15th September 2025 |
| Due date for audit cases | 30th September 2025 |
🧠 Stay Informed and Avoid Last-Minute Hassles
The Income Tax Department is updating tools, forms, and information regularly. To make life easier:
🟢 Join tax update groups or WhatsApp communities for reminders.
🟢 Subscribe to email alerts from trusted financial sites.
🟢 Visit the Income Tax e-filing portal often for new tools and guides.
✅ Conclusion: Don’t Delay, Just Prepare Smartly
Anjali was lucky to get an extension this year. But she learned that waiting till the last minute increases stress and chances of errors. With the new ITR forms and more time, filing is now simpler — if you start early.
Whether you’re salaried, a freelancer, or a small business owner using ITR-4, these updates are made to help you file faster and more accurately.
📘 Moral of the Story
“Deadlines may extend, but peace of mind comes from filing early.”
Take advantage of the extra time, but don’t wait till the last minute.