How to File ITR Online for FY 2024-25 – Your Beginner’s Guide
Learn how to File ITR Online for Financial Year 2024-25 (Assessment Year 2025-26) with this simple, step-by-step guide. Understand new rules, required documents, and common mistakes to avoid.
Big News: Your ITR Filing Deadline for FY 2024-25 is Extended!
For many of you, especially salaried individuals, pensioners, and Non-Resident Indians (NRIs), there is important news about your Income Tax Return (ITR).
The last date to file your ITR for Financial Year 2024-25, which is also known as Assessment Year 2025-26, has been moved. It is now September 15, 2025, instead of the usual July 31, 2025. This change offers a welcome relief, giving you more time to get your tax matters in order.
This extension was given by the Income Tax Department for good reasons. There were big changes made to the ITR forms this year, and the department needed more time to make sure their online system was fully ready. This extra time helps ensure that everyone can file their taxes smoothly and without problems. It shows that the government wants to make the filing process easier for you.
Here is even better news about penalties. If you file your ITR and pay any remaining tax you owe, called self-assessment tax, by this new date of September 15, 2025, you should not have to pay extra interest under Section 234A for filing late. Experts confirm that this new date is now the official “due date” for this specific purpose. This means you have a clear window to complete your filing without worrying about this particular late fee.
However, it is very important to understand that this extension does not change everything. Penalties for not paying your advance tax on time or paying too little, which fall under Sections 234B and 234C, still apply. These penalties are usually 1% per month.
So, if you did not pay your quarterly advance tax payments as required during FY 2024-25, these charges will still be there. This shows that while the final filing deadline has shifted, paying your taxes regularly throughout the year remains important to avoid other charges.
Why Filing Your Income Tax Return is a Must (Even if You Don’t Owe Tax)
Filing your ITR is more than just paying tax; it is a legal duty for many people in India. It helps the government understand your financial situation and makes sure you are following all the rules. Even if you think your income is too low to be taxed, you might still need to file.
You must file an ITR if you meet certain conditions, even if you do not have to pay tax. For instance, if you spent more than ₹2 lakh on foreign travel, or if your electricity bills for the year were over ₹1 lakh, you are required to file. Also, if you deposited more than ₹1 crore in one or more current bank accounts, or if you had Tax Deducted at Source (TDS) or Tax Collected at Source (TCS) of ₹25,000 or more (₹50,000 for senior citizens), filing becomes compulsory. If you hold signing power in any foreign bank account, you also need to file. These rules mean the Income Tax Department looks at more than just your income to decide if you need to file.
Filing your ITR on time also brings many important benefits for you. First, if you paid more tax than you owed, perhaps through TDS, you can only get your extra money back by filing your ITR. Second, if you had losses, like from selling shares, you can carry these forward to reduce your tax in future years, but only if you file your ITR by the due date. Third, banks often ask for your ITR as proof of your income and financial stability when you apply for loans or credit cards. Lastly, filing on time helps you avoid late fees and interest charges, keeping your financial record clean.
Understanding Key Tax Terms for Beginners
Before we go into the steps of filing, let us quickly understand some important words you will hear often. Knowing these terms will make the whole process much clearer.
Financial Year (FY): This is the period when you earn your income. In India, it starts on April 1st and ends on March 31st of the next year. So, for the income you earned from April 1, 2024, to March 31, 2025, it is called FY 2024-25.
Assessment Year (AY): This is the year after the Financial Year. It is when the Income Tax Department checks and taxes your income. For FY 2024-25, the Assessment Year is AY 2025-26. You file your ITR in the Assessment Year for the income you earned in the Financial Year.
TDS (Tax Deducted at Source): This is tax that someone else, like your employer or bank, cuts from your income before they pay it to you. They then send this tax directly to the government on your behalf.
Form 26AS: Think of this as your personal “tax passbook.” It shows all the tax that has been deducted from your income (TDS), any tax you paid yourself (like advance tax or self-assessment tax), and even any tax refunds you received. You can find this important document on the Income Tax e-filing portal.
Annual Information Statement (AIS): This is a more detailed statement than Form 26AS. It includes even more information about your financial dealings, such as foreign money transfers, mutual fund purchases, dividends, and a detailed breakdown of your salary.
It helps you see all your financial transactions in one place. It is very important to check both Form 26AS and AIS. While Form 26AS is like your traditional tax record, AIS gives a much wider view of your financial activities. Comparing these two documents carefully helps ensure that all your income and tax details are correctly reported, preventing any problems with the Income Tax Department later.
Documents You’ll Need to File Your ITR
Gathering these documents is the very first step to a smooth ITR filing experience. They help you understand your income sources, choose the right form, and ensure your information matches what the Income Tax Department already has.
Your Identity Proofs:
PAN (Permanent Account Number): This is your main tax identification number. Your PAN must be linked with your Aadhaar card.
Aadhaar Card: Your Aadhaar number is now a mandatory detail to mention in the ITR form. The option to use an Aadhaar enrolment ID has been removed this year.
Income and Tax Proofs:
Form 16: If you are a salaried person, your employer gives you this form. It shows your salary, any tax deducted from it, and details of deductions you claimed.
Other TDS Certificates (Form 16A, 16B, 16C, 16D): These are for tax deducted from other incomes. For example, Form 16A is for tax on fixed deposit interest, and Form 16C is for tax on rent paid to your landlord (if rent is over ₹50,000 per month).
Capital Gains Statement: If you sold shares, mutual funds, or property, you will need this statement. It shows your profit or loss from these sales. Please remember that capital gains tax rules changed from July 23, 2024, so your statement will help you apply the correct rules for tax purposes.
Annual Information Statement (AIS) and Form 26AS: Always download these from the Income Tax e-filing portal. They are very important for checking that all your income, tax deductions, and tax payments are correctly shown. Cross-checking these helps prevent mistakes and ensures you declare all your financial transactions accurately.
Bank Statements and Interest Certificates: Collect interest certificates from your banks and post offices. Also, download your bank statements for FY 2024-25. These documents help you verify all interest income and dividends, and also allow you to spot any income that might not be reported elsewhere.
Proofs for Deductions and Exemptions (if choosing Old Tax Regime):
Tax-Saving Investment Proofs: If you decide to opt for the Old Tax Regime, you will need documents for various investments and expenses.
These include investments like Public Provident Fund (PPF), Equity-Linked Savings Schemes (ELSS), life insurance premiums, and principal repayment on home loans (under Section 80C). Also, keep proofs for health insurance premiums (Section 80D) and donations (Section 80G).
Home Loan Interest Certificate: If you are repaying a home loan, get this certificate from your bank or financial institution. It is essential for claiming deductions on the interest you paid.
House Rent Receipts: If you claim House Rent Allowance (HRA) exemption, make sure you have your rent receipts ready. For annual rent above ₹1 lakh, your landlord’s PAN is also needed.
Bank Account Details: You must report all your active bank accounts held during FY 2024-25 in your ITR form. This is required even if you do not expect a refund. You need to mention the bank name, account number, account type, and IFSC code for each account.
The requirement to list all active bank accounts and the mandatory Aadhaar number means the Income Tax Department is collecting a complete financial picture of taxpayers. This makes it very important for you to be fully transparent, as the system can now easily cross-check information from many sources.
Picking the Right ITR Form
The Income Tax Department has different forms for different types of taxpayers. Choosing the correct one is an important step to avoid mistakes and ensure your return is processed correctly. There are 7 ITR forms in total, but for most individuals, it is usually one of the first few.
ITR-1 (Sahaj): This is the simplest form and is mainly for resident individuals whose total income is up to ₹50 lakh. Your income should primarily come from salary, one house property, and other sources like interest or dividends. You can even use ITR-1 if you have long-term capital gains from listed shares up to ₹1.25 lakh.
ITR-2: This form is for individuals and Hindu Undivided Families (HUFs) who do not have income from a business or profession. However, they might have capital gains (including those from unlisted shares), or income from more than one house property.
ITR-3: This form is specifically for individuals and HUFs who do have income from a business or profession.
ITR-4 (Sugam): This form is for individuals, HUFs, and firms (other than LLPs) who have income from business and profession and choose the “presumptive taxation scheme,” which is a simpler way to calculate business income.
How the Portal Helps You: Do not worry if you are unsure which form to pick. The Income Tax e-filing portal has a helpful tool called “Help me decide which ITR Form to file”.
This tool guides you with simple questions to find the right form for your specific income sources. This feature is designed to make the initial step of filing much less confusing, helping you avoid a common error of selecting the wrong form.
Step-by-Step Guide to Filing Your ITR Online
Filing your ITR online is simpler than you might think, especially with much of your information already filled in. Here is a clear guide to help you through the process:
Step 1: Visit the Official Website: Open your web browser and go to the official Income Tax Department e-filing portal. The correct website is https://www.incometax.gov.in/iec/foportal/.
Step 2: Log In or Register: If you are new to the portal, click ‘Register’ and follow the steps to create an account. You will need your PAN or Aadhaar for this. If you have filed before, simply click ‘Login’ and enter your PAN/Aadhaar and password.
Step 3: Go to ‘File Income Tax Return’: After logging in, look for the ‘e-File’ tab on the menu. Then, click on ‘Income Tax Returns’, and finally select ‘File Income Tax Return’.
Step 4: Select the Right Year: You need to choose the correct Assessment Year. For the income you earned in Financial Year 2024-25, select ‘AY 2025-26’.
Step 5: Select ‘Online’ Mode: Choose ‘Online’ as your mode of filing. This is usually the easiest way because the system can help you by pre-filling much of your data.
Step 6: Tell Them Who You Are: Select your status. For most individuals, you will choose ‘Individual’.
Step 7: Pick Your ITR Form: Select the ITR form that applies to you (for example, ITR-1 Sahaj for salaried individuals with simple income). If you are still unsure, use the “Help me decide” tool mentioned earlier to guide your choice.
Step 8: Choose the Reason for Filing: The system will ask you why you are filing your return. Common reasons include “Taxable income is more than the basic exemption limit” or “Meets specific criteria and is mandatorily required to file ITR”.
Step 9: Check Pre-Filled Details Carefully: The portal will show many details already filled in for you, such as your PAN, Aadhaar, name, address, and bank details. It is very important to check these details carefully to make sure they are absolutely correct. Also, ensure your bank account details are pre-validated, as this is where any refund will be sent. While pre-filling makes the process quicker, it is your responsibility to verify that all the information is accurate by cross-referencing it with your own documents like Form 16, AIS, and Form 26AS.
Step 10: Fill in Your Income and Deductions: Now, you will add all your income details (like salary, interest, capital gains, etc.) and any deductions or exemptions you want to claim. Much of this information might already be pre-filled from your Form 16, AIS, and Form 26AS, but always review it thoroughly to ensure accuracy.
Step 11: Review and Pay: The system will then show you a summary of your tax calculation. If you owe any tax, you must pay it at this stage. If you are due a refund, the system will show that too.
Step 12: E-Verify Your Return: This is the final and most crucial step. Your ITR is not considered filed until you e-verify it within 30 days of submitting it.
The easiest way to e-verify is usually with an Aadhaar OTP (One-Time Password) sent to your registered mobile number. Other options include using Net Banking, ATM, or your Demat account. If you do not e-verify, it is as if you never filed your return, and you could face penalties.
What’s New for FY 2024-25? Important Updates to Know
The Income Tax Department has made some important changes for this year’s filing. Knowing these will help you avoid surprises and ensure correct filing.
The New Tax Regime is Now Default: From Assessment Year 2024-25 (which covers income earned in FY 2023-24), the “New Tax Regime” became the default option for tax calculation. This means if you do not actively choose, your taxes will be calculated under this new system. This policy change is significant because it means you must make an active choice if you prefer the old system.
Old vs. New Tax Regime: A Quick Look:
Old Tax Regime: This option allows you to claim many popular deductions and exemptions. These include investments under Section 80C (up to ₹1.5 lakh), health insurance premiums (80D), House Rent Allowance (HRA), Leave Travel Allowance (LTA), and interest on home loans.
It has different tax slabs, and senior citizens get higher basic exemption limits (₹3 lakh for those aged 60-80 years, and ₹5 lakh for those over 80 years).
New Tax Regime: This option offers lower tax rates and simpler tax slabs, but it allows very few deductions and exemptions. For salaried individuals, you can claim a standard deduction of ₹75,000 and a deduction for your employer’s contribution to NPS (under Section 80CCD(2)). The basic exemption limit is ₹3 lakh for all individuals, and there are no special benefits for senior citizens based on age.
How to Choose: If you want to use the Old Tax Regime, you simply need to select “Yes” for the “Opting out of new regime” option directly in your ITR-1 or ITR-2 form. You do
not need to file a separate Form 10-IEA if you do not have business income. Making this choice actively is crucial to ensure you benefit from the regime that suits your financial situation best.
Changes in Capital Gains Tax: New rules for capital gains apply from July 23, 2024. If you sold shares or mutual funds, your capital gains statement will need to show gains separately for periods before and on or after this date. This helps apply the correct tax rates based on the new regulations.
Aadhaar and Bank Accounts are Mandatory: As mentioned earlier, your Aadhaar number is now a must-have in your ITR form, and you need to report all active bank accounts you held during FY 2024-25.
This increased requirement for personal financial details shows the Income Tax Department’s aim to have a complete view of your financial activities.
More Details for Deductions: If you claim common deductions like those under Section 80C (for investments), 80D (for health insurance), or others (like 80DD, 80U, 80E, 80EE, 80EEA, 80EEB, 80GG), you will now need to provide more specific details in the ITR form. This could include policy numbers, loan account numbers, or even filing separate forms like Form 10BA or Form 10IA before filing your ITR.
TDS Schedule Update: When claiming TDS, you must now specifically select the section under which the tax was deducted. This adds a layer of detail to your tax return.
Avoid These Common Mistakes for a Smooth ITR Filing
Even with an extended deadline, making small errors can lead to problems like notices from the Income Tax Department. Being careful to avoid these common mistakes will ensure a smooth filing process for you.
Choosing the Wrong ITR Form: Using an incorrect ITR form for your income type is a very common error. Always use the “Help me decide” tool on the portal or carefully check the eligibility criteria for ITR-1, ITR-2, ITR-3, or ITR-4 before you begin.
Not Checking Your AIS and Form 26AS: Many people forget to cross-check their Annual Information Statement (AIS) and Form 26AS with their own records, such as Form 16.
These documents provide comprehensive details of your financial transactions and tax payments. Not verifying them can lead to incomplete income declaration or missing tax credits, which the Income Tax Department’s system can easily spot.
Incomplete Income Declaration: Make sure you declare all your income sources. This includes income from salary, house property, business, capital gains (from selling shares, property, etc.), and “other sources” like interest from savings accounts, fixed deposits, or dividends. Even exempt income (income that is not taxed) should be reported in the correct section. Missing any income can lead to penalties.
Overlooking Income from Previous Employers: If you changed jobs during FY 2024-25, make sure to report income from all employers. Sometimes people mistakenly claim deductions twice, which can lead to issues with the tax department.
Not E-Verifying Your Return: This is a big one! Your ITR is not considered filed until you e-verify it within 30 days of submission. If you do not e-verify, it is as if you never filed, and you could face penalties.
Filing After the Deadline: Even with the extension, filing after September 15, 2025 (for non-audited cases), can lead to late filing fees (up to ₹5,000) and interest on any tax you owe. You might also lose the ability to carry forward losses to future years.
The consistent need for verification and complete declaration across these common mistakes shows that the Income Tax Department’s system is becoming very smart at checking information from different places. This means that being careful about omissions or inconsistencies in your reported data is more important than ever.
Conclusion
Filing your Income Tax Return online for FY 2024-25 (AY 2025-26) might seem complex at first, but with the right information and a step-by-step approach, it is very manageable. The extended deadline till September 15, 2025, gives you more time, but it is always best to start early to avoid any last-minute rush.
Remember to gather all your necessary documents, especially your PAN, Aadhaar, Form 16, AIS, and Form 26AS. Carefully choose the right ITR form that fits your income situation, and double-check all pre-filled information on the portal. Most importantly, do not forget to e-verify your return after submitting it.
By following this guide and being mindful of the latest updates and common mistakes, you can ensure your tax filing is accurate, timely, and completely hassle-free.
Disclaimer: The information provided in this article is for general informational purposes only. We are not certified financial advisors. While we strive to keep the content accurate and up-to-date, we do not guarantee the completeness, reliability, or accuracy of the information.
Readers are advised to consult with a qualified financial advisor or professional before making any financial decisions. We are not liable for any loss or damage incurred from the use of this information.
