Record 7.28 Crore ITRs Filed for AY 2024-25: A Milestone in India’s Tax Compliance
The Indian tax system witnessed a significant milestone with a record 7.28 crore Income-tax Returns (ITRs) filed for the Assessment Year (AY) 2024-25, as of July 31, 2024. This remarkable achievement reflects a 7.5% increase compared to the 6.77 crore ITRs filed by the same date in the previous year, AY 2023-24. The surge in filings underscores the proactive approach of taxpayers and tax professionals in adhering to compliance requirements.
The New Tax Regime: A Popular Choice Among Taxpayers
An interesting trend observed this year is the overwhelming preference for the New Tax Regime. Out of the total 7.28 crore ITRs filed, 5.27 crore were under the New Tax Regime, compared to 2.01 crore under the Old Tax Regime. This indicates that approximately 72% of taxpayers opted for the New Tax Regime, showcasing a significant shift in taxpayer preference. The remaining 28% continued with the Old Tax Regime, indicating a balanced consideration of both tax structures.
A Historic Day: July 31, 2024
July 31, 2024, the due date for salaried taxpayers and other non-tax audit cases, saw an unprecedented peak in ITR filings. Over 69.92 lakh returns were filed on this single day, setting a new record. The e-filing portal experienced its highest per-hour filing rate between 07:00 PM and 08:00 PM, with 5.07 lakh returns submitted. The highest per-second filing rate was 917, recorded on July 17, 2024, at 08:13:54 AM, and the highest per-minute rate was 9,367, recorded at 08:08 PM on July 31, 2024. These figures highlight the efficiency and capacity of the e-filing system, ensuring smooth compliance for a large number of taxpayers.
A Growing Tax Base: First-Time Filers on the Rise
The AY 2024-25 also marked a significant increase in first-time ITR filers. A total of 58.57 lakh first-time returns were filed by July 31, 2024, indicating a broadening tax base and greater awareness among citizens about the importance of tax compliance. This influx of new taxpayers reflects the government’s successful outreach and education efforts, encouraging more individuals to participate in the formal economy.
Efficient and Timely Deployment of ITR Forms
For the first time, the ITR forms (ITR-1, ITR-2, ITR-4, ITR-6) were made available on the e-filing portal on the very first day of the Financial Year, April 1, 2024. This early deployment facilitated taxpayers in timely filing their returns. Additionally, the ITR-3 and ITR-5 forms were released earlier than in previous years, further easing the filing process. The Department’s emphasis on educating taxpayers about the Old and New Tax Regimes through FAQs, educational videos, and other resources played a crucial role in this smooth transition.
A Comprehensive Outreach Campaign
The success in filing ITRs can also be attributed to the Department’s comprehensive outreach campaign. Social media platforms were extensively used to encourage early filings. Unique creative campaigns, along with informational videos in 12 vernacular languages besides English and Hindi, were displayed on digital platforms. Outdoor campaigns further enhanced the reach, ensuring that the message reached taxpayers across the country. These concerted efforts resulted in increased awareness and a higher number of filings, as evidenced by the data.
A Year of Records: Comparative Data Analysis
The comparative data of ITR filings over the last few years clearly shows a steady increase in compliance:
| Assessment Year | Due Date | No. of Returns Filed |
| 2020-21 | 10/01/2021 | 5,78,45,678 |
| 2021-22 | 31/12/2021 | 5,77,39,682 |
| 2022-23 | 31/07/2022 | 5,82,88,692 |
| 2023-24 | 31/07/2023 | 6,77,42,303 |
| 2024-25 | 31/07/2024 | 7,28,80,318 |
The AY 2024-25 not only set a new record in terms of the number of returns filed but also demonstrated the effectiveness of the tax administration’s efforts to simplify and streamline the filing process.
Breakdown of ITR Types Filed
The distribution of ITR types for AY 2024-25 is as follows:
- ITR-1: 45.77% (3.34 crore)
- ITR-2: 14.93% (1.09 crore)
- ITR-3: 12.50% (91.10 lakh)
- ITR-4: 25.77% (1.88 crore)
- ITR-5 to ITR-7: 1.03% (7.48 lakh)
Furthermore, 43.82% of these ITRs were filed using the online ITR utility available on the e-filing portal, with the remaining filed using offline ITR utilities.
In Conclusion, The record-breaking ITR filings for AY 2024-25 are a testament to the growing awareness and compliance among Indian taxpayers. The government’s efforts to simplify the tax filing process, combined with proactive outreach and education campaigns, have resulted in a broader tax base and higher compliance rates. As India continues to modernize its tax administration, these trends are likely to persist, contributing to a more transparent and efficient tax system.
The milestone achieved in AY 2024-25 is not just a numerical success but a reflection of the collective effort of taxpayers, tax professionals, and the government. It sets the stage for a more robust and inclusive tax regime in the future.
