ITR Filing: Income tax department shortens time limit for condonation of delay – What it means for taxpayers

The Income Tax Department has recently made important changes in its refund claim procedures which have led to the reduction of the period when taxpayers could claim old income tax refunds. The onus has shifted now to the taxpayers to keep all the required documents amidst the transactions in future and submit them before the tax authorities at the prescribed time or else they will lose their tax refund to which they are otherwise entitled by law," said Siddharth Maurya, Founder & Managing Director of Vibhavangal Anukulakara Private Limited "This policy change demonstrates the Government’s determination to enhance tax collection method, improve operational efficiencies, and push for on time payment of taxes. Carrying forward and setting off losses to reduce future tax liabilities," said Abhishek Soni, CEO and Co-founder Tax2win Time limit for applying for condonation You have five years from the end of the relevant assessment year to submit an application for a condonation of a delay in claiming refunds or carry forward of losses. Court-related income tax refund claims The time frame during which the case was ongoing in court will not be considered for calculating the five-year limit for refund claims resulting from a court order.