New Delhi: The government gives taxpayers an opportunity of four months in every assessment year (AY) to properly compile their income information and file their ITR for the applicable financial year. April 1 marks the start of a four-month period, ending July 31 (unless extended).
If you fail to submit your ITR by the deadline, you may be fined and receive a notification from the Income Tax Department.
You can claim various deductions and exemptions on your ITR, which can reduce your tax liability. You may be eligible to write off things like home loan interest, insurance and medical costs.
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Penalty for missing ITR deadline
Late ITR submission option is available for taxpayers who miss the deadline. The deadline for late ITR submission for FY 2022-23 (Age 2023-24) is December 31. If the ITR is filed after the deadline (which is July 31) but on or before December 31, late filing fee will be levied.
If you file your ITR due date after 31st July but before 31st December 2023, you will be charged a maximum penalty of Rs 5,000 under section 234F of the Income Tax Act.
up to Rs. The total annual income will be Rs.5 lakh. 1,000 fine. The penalty for filing ITR after December 31, 2023 will be Rs 10,000.
penal interest
If you file a late return and have any tax due, you will be assessed penal interest on the amount, depending on your situation. The taxpayer will not be bound to pay this interest if there is no tax due – just because the ITR was filed late.
prosecution
If a person willfully fails to file the return after being so informed, the Income Tax Officer can initiate legal action. Failure to file ITR can lead to a jail term of three months to two years.
If the amount of tax evaded exceeds Rs. 25 lakhs, imprisonment for a term of 6 months to 7 years.