ITR-2 And ITR-3 Excel Utilities Finally Arrive, After A Long Wait

The income tax department has posted a message on X (formerly Twitter), bringing relief to many taxpayers. It has released the Excel utilities for ITR forms 2 and 3. These forms are essential for a significant number of taxpayers. The delay in the release of these forms over the past three months has significantly disrupted the ITR filing process for the assessment year 2025–26.

“Attention Taxpayers! Excel Utilities of ITR-2 and ITR-3 for AY 2025-26 are now live and available for filing,” the income tax department wrote on X.

With the release coming a full 100 days after filing officially began, the delay has created unnecessary anxiety and a time crunch, especially for people with income from capital gains, multiple properties, or those in self-employment.

Filing Season Began, But Most Couldn’t File

The tax filing window technically opened at the end of May, but only ITR-1 and ITR-4 were ready for use. ITR-2 came a little later in JSON format, but the Excel versions—preferred by many for ease and compatibility—remained missing. ITR-3, meanwhile, was previously entirely unavailable in both formats.

As a result, thousands of professionals, consultants, traders, and even salaried individuals with more than one income stream were left in limbo, unable to move forward with their returns.

Why These Forms Are So Critical

ITR-2 is used by people with income from salaries, more than one house property, or capital gains, like from selling stocks or mutual funds. It also applies to those who have assets abroad. ITR-3, on the other hand, is for individuals who earn from a business or profession, including freelancers and small business owners.

Both forms deal with more complex income profiles. Without them, a huge segment of taxpayers was essentially locked out of the system.

The Timing Problem

Releasing these utilities so late in the game puts unnecessary pressure on taxpayers. People now have much less time to calculate their taxes, organise documents, cross-check figures, and file accurately. It also increases the risk of mistakes, which can lead to delays in refunds or penalties.

To make things worse, Excel utilities for ITR-5, ITR-6, and ITR-7—meant for firms, companies, and trusts—are still pending. And we’re already halfway through July.

The 15th September Deadline Is Not Far Off

For individuals who don’t require an audit, the last date to file returns is 15th September 2025. And unless the deadline is extended—which hasn’t been indicated so far—there isn’t much room left to breathe.

Between now and the due date, taxpayers need to finalise their financials, check for errors, and complete e-verification, all while navigating a compressed filing window.

Tax Professionals Frustrated

Tax consultants and chartered accountants aren’t mincing words. Many say the system lacks planning and transparency. Releasing core filing tools this late into the cycle not only increases stress for individuals but also pushes professionals to work against the clock. That’s when errors creep in. Refunds get delayed. Notices go up.

And this isn’t the first time it’s happened. For years, there’s been a pattern of late rollouts, leaving taxpayers and advisors scrambling just weeks before the deadline.

What Taxpayers Should Do Now

If you’re someone who needs to file using ITR-2 or ITR-3, don’t wait another day. Get your documents in order, review your income sources, and start preparing your return right away. With time running short, every day counts.

As for those who are waiting on ITR-5, 6, or 7, the hope is that the department will act quickly. But in the meantime, getting everything else lined up—like balance sheets, audit reports, and disclosure details—will help you file as soon as the forms are available.