Paying self-assessment tax does not automatically complete your ITR filing. Today's Ask Wallet Wise query decodes what happens if you fail to verify the return before the due date.
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I am a salaried individual, and tax is deducted by my company. I reviewed my Income Tax Return (ITR) through the income-tax portal and paid the balance tax payable of Rs 750, for which I also received an acknowledgement from the bank in June 2025. However, after making the payment, I failed to submit and verify the ITR using Aadhaar OTP. I was under the impression that I had completed the ITR filing process.
I realised the omission only when I later logged in to the income-tax website. Now, when I try to file the saved ITR, the system does not allow me to file it under the old tax regime. By default, it shifts me to the new tax regime, where my tax liability shows Rs 48,000, including the late filing fee.
Please advise whether there is any way to appeal to the Income-tax Department in this situation and avoid paying such a large amount of tax.
Expert's Advice: An ITR is considered to be filed only after all prescribed steps are completed. While payment of self-assessment tax is an important part of the process, merely paying the tax while reviewing the return on the income-tax portal does not amount to successful filing of the ITR.
To complete the filing process, the ITR must be submitted and subsequently verified using one of the prescribed methods. The verification must be completed within 30 days of submission. If the return is not verified within this period, it is deemed under law that the ITR was never filed.
For individuals without business income, the choice between the old tax regime and the new tax regime can be exercised each year, depending on which regime results in lower tax liability. However, this option must be exercised on or before the due date while filing the ITR.
The new tax regime is the default regime. If the ITR is not filed by the due date, the taxpayer is required to file the return under the new tax regime, unless they have income under the head Profits and Gains of Business or Profession and had opted for the old tax regime in the preceding year.
Since you paid the self-assessment tax but did not complete the filing process by submitting and verifying the ITR before the due date, you now have no option but to file the return under the new tax regime. Unfortunately, there is no legal remedy under the Income-tax Act to allow a switch back to the old tax regime after the due date has passed.
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