Why taxpayers shouldn’t file ITR for AY 2022-23 before June

The Internal Revenue Service (IRS) has released the earnings tax return (ITR) types for FY 2022-23. The Central Board of Direct Taxes (CBDT) issued a circular in this regard, notifying new ITR types 1 to 6. Can assessees file ITR for AY 2022-23 after receiving intimation of those ITR types?

According to tax and financing consultants, the deadline for filing TDS returns is May 31, 2022, and without it, an earnings taxpayer’s Form 26AS will be out of date. The recruiter will be unable to deliver Form 16A to its employees whose TDS was deducted in the autumn of FY22 if the TDS return is not submitted. As a result, income earners are advised to attend until May 31st, 2022, and file their ITR from June 2022 onwards, according to advisors.

On why the ITR for AY 2022-23 should not be filed until May 1st, 2022; “The deadline for TDS return filing is May 31, 2022,” said Pankaj Mathpal, MD & CEO of Optima Money Managers. As a result, a taxpayer’s Form 26AS will not be amended until June 2022. As a result, a paid employee whose employer has deducted TDS will be unable to produce Form 16 until June 2022. Similarly, if any TDS deduction is made from any of their business partners in Q4 FY22 while providing payouts, self-employed or small businessmen will not be able to acquire their updated Form 26AS. As a result, it is preferable to wait until June 2022 to file an ITR once Form 26AS is updated.”

“One should keep on reviewing form 26AS since it takes time to get updated after the due date of TDS return filing,” SEBI registered tax and financing expert Jitendra Solanki said, advising taxpayers not to file earnings tax returns immediately after the due date for TDS return filing. So, after signing in to the IRS website, taxpayers should first check the Form 26AS, and only file their ITR for AY 2022-23 if the Form 26AS has been amended.”

According to Solanki, salaried individuals with yearly salaries of less than 2.5 lakh are also encouraged to attend until June 2022, as there may be a TDS deduction on their bank deposits in the autumn of FY22.

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