ITR-U for AY21-22


This query is : Resolved 

Quick Summary
Discussion is about filing ITR-U for AY 2021-22 when income is below 2.5 lakh. User considers inflating income to file updated return with penalty for compliance record. Clarification given: ITR-U is only for correcting real income errors, not for artificial filing or record building.

23 March 2026 Dear Sir,
I want to file updated ITR-3 Sfor AY 21-22 but my total income well below 250000. I think I can still file with 1000 penalty by showing increased income of more than 250000 but less than 500000 by 31st March,2026. My meagre income was as follows:

Savings bank interest: 2700
Equity STCG: 3000
Speculative income: 70


Can some esteemed CA or learned person from this forum help me to advice which type of income can I show in ITR in IFOS schedule which isn't getting reflected in AIS but to file to keep clean track records of ITR filing in the eyes of ITD?
Thanks a lot

23 March 2026 • You should NOT file ITR-U by inflating income
• Your income is below ₹2.5 lakh → no filing obligation
• ITR-U is only for correcting real missed income, not for record creation
• Best approach: start regular voluntary filing from current years

24 March 2026 Okay Thank you very much but can you please tell me what's wrong or why it's alarming or what harm it can cause ?
Thank you


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