![Time Limit For Filing Correction Statements (TDS Or TCS) Reduced To 2 Years [READ TRACES PORTAL ADVISORY]](https://www.jurishour.in/wp-content/uploads/2025/11/income-tax-3.jpg "income tax (3)")
As per the Advisory of the TRACES portal the time limit for filing correction statements (TDS/TCS) has been reduced to 2 years.
In other words, the correction statements for FY 2018-19 (Qtr. 4), FY 2019-20 to 2022-23 (Qtr. 1 to Qtr. 4) and FY 2023-24 (Qtr. 1 to Qtr. 3) shall be accepted only up-to 31st March 2026. The same are time barred by limitation on 31.03.2026 and would not be accepted from 01.04.2026 onwards.
The Income Tax Act 1961 stands repealed w.e.f 01.04.2026 by virtue of section 536 of Income Tax Act 2025.
Further, as per section 397(3) (f) of Income Tax Act, 2025, deductor/collector may deliver a correction statement in such form and verified in such manner as may be prescribed, to the prescribed authority within two years from the end of the tax year in which such statement is required to be delivered under the said clauses or under section 200 of the Income-tax Act, 1961.
“The income tax department Deductors/Collectors and other stakeholders may take note of the same and they are advised to take necessary steps to ensure all corrections for the above period, if any, are carried out in time as filing of the same for above period would be barred by limitation on 31.03.2026,” the advisory read.
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