Taxpayers Can File Updated Return Within 2 Yrs. Of Relevant Ass. Year

For taxpayers while there is no good news on the personal income tax front or increase in Section 80 C limit as highly expected, the FM however announced a new provision for filing updated returns within 2 years of relevant assessment years. The proposal shall ensure reduced litigation as well as voluntary tax filing.

The government through this step poses trust on the business community and this is a right step in the right direction.

"To provide an opportunity to correct an error, taxpayers can now file an updated return within 2 years from the relevant assessment year," announced FM Nirmala Sitharaman in her Budget 2022 speech.
Further, Sitharaman said that the government has decided to reduce the corporate surcharge from 12% to 7%. Additionally, both Centre and States govt employees' tax deduction limit will be increased from 10% to 14% to help the social security benefits of state govt employees and bring them at par with the central govt employees.