Missed the ITR Deadline? Here’s What Deductions You Can Still Claim Under the New Tax Regime

—

by

Himanshu
in

Many taxpayers across India missed the recent deadline for filing their Income Tax Returns (ITR). With the government having shifted to a “default” new tax regime, a large number of individuals are now wondering what happens to their deductions and tax savings after the due date has passed. This article explains in detail how the rules work under the new tax regime if you have missed the filing date, which deductions are still allowed, and which benefits are lost.

Understanding the New Tax Regime

The new tax regime was introduced as an optional alternative to the old one. It offers lower slab rates but in exchange removes most exemptions and deductions. From the recent assessment year, it has become the default option, meaning that unless you specifically opted out on time, you will be considered under this regime.

Unlike the old regime where taxpayers could claim multiple deductions under Sections 80C, 80D, 24(b) and so on, the new regime focuses on simplicity: fewer deductions but lower tax rates.

What Happens If You Miss the ITR Filing Deadline?

If you miss the original due date, you can still file a belated ITR within the permitted window, but two key consequences apply:

  1. You are automatically under the new tax regime and cannot opt for the old regime after the deadline.
  2. You lose many deductions and carry-forward benefits that are only available to timely filers.

Therefore, knowing exactly what is still allowed under the new regime is crucial.

Deductions Still Allowed Under the New Regime

Even though the new regime removes most exemptions, a few important deductions remain. Here is a clear table summarizing them:

Deduction / Benefit (Section)Allowed Under New Regime?Key Details
Standard Deduction (Salary/Pension)✅ YesIncreased to ₹75,000 for FY 2024-25 under the new regime. Available automatically if you have salary or pension income.
Rebate Under Section 87A✅ YesFull tax rebate up to certain income thresholds for resident individuals, effectively reducing tax liability to zero in eligible cases.
Employer Contribution to NPS (Sec 80CCD(2))✅ YesDeduction allowed on employer’s contribution to the National Pension System, even under the new regime.
Agniveer Corpus Fund Deduction (Sec 80CCH)✅ YesContributions to Agniveer Corpus Fund are deductible for those eligible.
Family Pension Deduction✅ YesFamily pensioners can claim a limited deduction even under the new regime.

These are the main deductions still open to taxpayers filing belated returns under the new system.

Deductions Lost Under the New Regime

By contrast, the following commonly used deductions from the old regime are not available once you miss the deadline and are forced into the new regime:

  • Section 80C (PF, ELSS, LIC, principal repayment of home loan, etc.)
  • Section 80D (Health insurance premium)
  • House Rent Allowance (HRA) exemption
  • Leave Travel Allowance (LTA)
  • Deduction on interest paid on housing loan under Section 24(b)
  • Various allowances and exemptions like children’s education allowance, professional tax deduction, etc.

These are the benefits that taxpayers will no longer be able to claim once the due date has passed.

Other Consequences of Filing Belated ITR Under New Regime

Filing after the deadline also comes with other implications that affect your overall tax planning:

ConsequenceImpact on Taxpayer
Late Filing Fee (Sec 234F)A fixed penalty is levied depending on income and date of filing.
Loss of Carry-Forward of LossesLosses from house property, capital gains, or business may not be carried forward if return is filed late.
Interest on Tax Due (Sec 234A/B/C)Additional interest charges apply on unpaid or late-paid tax.
No Option to Switch BackYou cannot opt back into the old regime while filing a belated return.

This makes timely filing critical for anyone who wishes to maximise their tax benefits.

Practical Steps If You’ve Missed the Deadline

  1. File the Belated Return Promptly
    Don’t delay further — belated returns are still accepted within the statutory window, but the sooner you file, the lower the penalty and interest.
  2. Claim Whatever Is Allowed
    Make sure to claim deductions that are still available under the new regime, such as standard deduction, rebate under 87A, employer NPS contributions, and Agniveer deductions.
  3. Prepare for the Next Year
    If you prefer the old regime’s deductions, plan ahead for the next assessment year and opt out of the new regime before the due date.
  4. Keep Proofs Ready
    Maintain proper documentation for allowed deductions so that your belated ITR is processed smoothly.

Key Takeaways

  • After the ITR filing deadline has passed, the new tax regime becomes mandatory, and you lose access to most old-regime deductions.
  • Some deductions are still available, especially standard deduction, Section 87A rebate, employer NPS contribution, and Agniveer corpus deduction.
  • Belated filing also restricts carry-forward of losses and attracts late fees, so act quickly.

Understanding these rules can help you avoid surprises and plan your taxes more effectively for the future.

Disclaimer: The information provided here is for general awareness purposes and based on the prevailing income-tax provisions as of the current assessment year. Tax laws are subject to change. For personalised advice, consult a qualified tax professional or the official Income Tax Department guidelines.