ITR-U – What is ITR-U Form, Eligibility & How to File Updated Income Tax Return? – Tax2win

ITR-U stands for Updated Income Tax Return, introduced under Section 139(8A) of the Income Tax Act. It allows taxpayers to update their previously filed income tax return or file an original return if it was not filed earlier, in order to correct errors or disclose income that was missed earlier.

The key benefit of ITR-U is that it gives taxpayers a second chance to comply voluntarily with tax laws. An updated return can be filed within 4 years from the end of the relevant assessment year, subject to payment of applicable additional tax, interest, and penalties. However, ITR-U cannot be filed to claim a refund or reduce tax liability; it is meant only for reporting additional income.