CBDT Issues Corrigendum to Form ITR-U, Adds ‘Wrong Heads of Income’ as Separate Reason [Read Notification]

The Central Board of Direct Taxes has issued a corrigendum to the recently notified Form ITR-U, which is used for filing updated income tax returns. The correction was notified on 10 April 2026 and makes a specific change to the reasons taxpayers can select while updating their income.

Form ITR-U was introduced earlier through a notification dated 30 March 2026 to allow taxpayers to update their income or correct errors in their returns within 48 months from the end of the relevant assessment year.

The latest corrigendum focuses on Part A of the form, under “General Information”, especially Row A10, which lists the reasons for updating income.

What has changed

• A new reason has been clearly added:
• “Wrong heads of income chosen”
• This has been placed as a separate line after:
• “Loss not reported correctly (in case of reduction of loss)”

Earlier, this reason was not distinctly mentioned, which could create confusion for taxpayers who wanted to correct classification errors.

In income tax returns, taxpayers must correctly classify income under different heads such as:

• Salary
• House property
• Business or profession
• Capital gains
• Other sources

If income is reported under the wrong category, it can affect tax calculation and compliance. The updated Form ITR-U now allows taxpayers to clearly state that they are correcting such errors.

Impact on taxpayers

• Makes it easier to correct mistakes in income classification
• Improves clarity while filing updated returns
• Helps reduce confusion during filing and processing

Such corrections, though small, are useful for ensuring accurate reporting and smoother compliance.

Background

Form ITR-U is part of the government’s effort to encourage voluntary compliance. It allows taxpayers to:

• Update missed income
• Correct errors in earlier returns
• Pay additional tax and avoid future disputes

With this corrigendum, the government has made the form more user-friendly by clearly listing all possible reasons for updating income. The change has come into effect immediately and will apply to all taxpayers using Form ITR-U going forward.

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