ITR (Income Tax Return) is the annual statement filed by every assessee with the Income Tax Department declaring their total income, deductions, tax liability, and taxes paid during a financial year. Under Indian law, the obligation to file an income tax return is governed by Section 139 of the Income Tax Act, 1961, and returns must be filed in one of seven prescribed forms (ITR-1 through ITR-7) depending on the category of the taxpayer and the nature of income.
Legal definition
Section 139(1) of the Income Tax Act, 1961 mandates:
Every person—
(a) being a company or a firm; or
(b) being a person other than a company or a firm, if his total income or the total income of any other person in respect of which he is assessable under this Act during the previous year, without giving effect to the provisions of [exemptions and deductions], exceeded the maximum amount which is not chargeable to income-tax,
shall, on or before the due date, furnish a return of his income or the income of such other person during the previous year, in the prescribed form and verified in the prescribed manner.
Due dates under Section 139(1):
- July 31: For individuals, HUFs, AOPs, and BOIs whose accounts are not required to be audited.
- October 31: For persons whose accounts require audit under Section 44AB (tax audit), including companies and firms with turnover exceeding prescribed limits.
- November 30: For persons required to furnish a transfer pricing report under Section 92E.
The 7 ITR forms:
- ITR-1 (Sahaj): Resident individuals with income from salary, one house property, other sources, and agricultural income up to Rs 5,000. Total income up to Rs 50 lakh.
- ITR-2: Individuals and HUFs not having income from business or profession.
- ITR-3: Individuals and HUFs having income from business or profession.
- ITR-4 (Sugam): Individuals, HUFs, and firms (other than LLPs) opting for presumptive taxation under Sections 44AD, 44ADA, or 44AE.
- ITR-5: Firms, LLPs, AOPs, BOIs, and artificial juridical persons.
- ITR-6: Companies other than those claiming exemption under Section 11.
- ITR-7: Persons including charitable trusts, political parties, and institutions required to file returns under Sections 139(4A), 139(4B), 139(4C), or 139(4D).
Mandatory e-filing: All returns must be filed electronically through the Income Tax e-filing portal (www.incometax.gov.in), except for certain categories of senior citizens filing ITR-1 or ITR-4 with income below Rs 5 lakh who may file paper returns.
How courts have interpreted this term
CIT v. Gujarat Electricity Board (2003) 260 ITR 84 (SC)
The Supreme Court held that the filing of an income tax return is a statutory obligation and the return must disclose the correct and complete income of the assessee. A return that does not reflect the true income is not a valid return under Section 139. The Court further held that the Assessing Officer has the authority to examine the return and assess income that has been suppressed or incorrectly disclosed.
CIT v. Kelvinator of India Ltd. (2010) 320 ITR 561 (SC)
The Supreme Court considered the distinction between the original return and a return filed under Section 139(5) (revised return). The Court held that a revised return can be filed at any time before the expiry of the relevant assessment year or before the completion of assessment, whichever is earlier. The revised return substitutes the original return and becomes the effective return for all purposes.
Wipro Ltd. v. Assessing Officer (2022) — Supreme Court
The Supreme Court held that a belated return filed under Section 139(4) is a valid return for the purpose of claiming refunds and other statutory benefits, subject to the limitations prescribed by the Act. However, certain deductions and exemptions that require the return to be filed within the due date (such as carry-forward of losses under Sections 72 and 74) cannot be claimed in a belated return.
Why this matters
The income tax return is the foundational document in India's self-assessment tax system. It is the mechanism through which every taxpayer declares their income, claims deductions, and pays the balance tax due. For the Income Tax Department, it is the primary source of information for assessing tax liability, issuing refunds, and initiating scrutiny.
For individuals, timely filing of the ITR is important beyond mere compliance. A filed ITR serves as proof of income for visa applications, loan approvals, and government tenders. Many financial institutions require ITR receipts for the preceding two to three years as a condition for extending credit. Additionally, the right to carry forward losses — a valuable tax planning tool — is available only if the return is filed within the due date.
Practitioners should note the penalty framework for non-filing and late filing. Under Section 234F, a late filing fee of Rs 5,000 is levied if the return is filed after the due date but before December 31 of the assessment year, and Rs 10,000 if filed thereafter (reduced to Rs 1,000 if total income does not exceed Rs 5 lakh). Under Section 276CC, wilful failure to file a return — particularly where tax evaded exceeds Rs 25,000 — can attract prosecution with imprisonment of six months to seven years.
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Frequently asked questions
Who is required to file an ITR in India?
Every person whose total income before deductions exceeds the basic exemption limit (Rs 2.5 lakh for individuals below 60, Rs 3 lakh for senior citizens, Rs 5 lakh for super senior citizens) must file an ITR. Additionally, all companies and firms must file regardless of income. Individuals meeting specified criteria — such as having deposits exceeding Rs 1 crore, electricity expenditure exceeding Rs 1 lakh, or foreign travel expenditure exceeding Rs 2 lakh — must also file even if their income is below the exemption limit.
What is the penalty for not filing an ITR?
Under Section 234F, a late filing fee of Rs 5,000 applies if the return is filed after the due date (reduced to Rs 1,000 if total income is below Rs 5 lakh). Interest under Section 234A at 1% per month is charged on the outstanding tax from the due date until the date of filing. Wilful failure to file can attract prosecution under Section 276CC.
Can an ITR be revised after filing?
Yes. Under Section 139(5), a taxpayer who discovers any omission or wrong statement in the original return can file a revised return at any time before the expiry of three months prior to the end of the relevant assessment year, or before the completion of assessment, whichever is earlier. The revised return completely replaces the original return.
What is a belated return?
A belated return under Section 139(4) is a return filed after the due date specified in Section 139(1) but before the end of the relevant assessment year. While a belated return is valid, it attracts the late filing fee under Section 234F, and the taxpayer loses the right to carry forward certain losses (business losses under Section 72 and capital losses under Section 74).
This entry is part of the Veritect Indian Legal Glossary, a comprehensive reference of Indian legal terminology grounded in statutory text and judicial interpretation.
Last updated: 2026-03-27. Veritect provides this content for informational purposes and does not constitute legal advice.