The Income Tax Act, 1961, allows taxpayers to file a belated income tax return if they miss the original deadline for filing their returns. The belated return provision is covered under Section 139(4) of the Income Tax Act.
The Government of India (GoI) imposes a tax liability on taxable income of all persons as defined under the Income Tax Act, 1961, who are individuals, Hindu Undivided Families (HUF's), companies, firms, LLP, association of persons, body of individuals, local authority and any other artificial juridical person.
Income tax return (ITR)
An Income tax return (ITR) is a form used to file information about your income and tax to the Income Tax Department. The tax liability of a taxpayer is calculated based on his or her income. The Income Tax Return (ITR) must be filed every year on or before a specified / due date.
Due Date for AY 2023-24& Belated ITR
The deadline for filing Income Tax Returns (ITRs) for the assessment year 2023-24 is July 31st, 2023 and and the same has not been extended by the govt. as of now.
There is no need to worry if you are among taxpayers who have not filed ITR by the due date i.e. on or before 31.07.2023, as the process can be completed by December 31, 2023 by filing a Belated ITR.
In short, the last date to file the income tax return (ITR) for FY 2022-23 (AY 2023-24) is July 31, 2023. But individuals missing that deadline can still file their ITRs. It will be termed as belated ITRs. The last date to file a belated ITR for FY 2022-23 (AY 2023-24) is December 31, 2023.
Belated ITR
If the income tax is filed after the due date, it is called a ‘belated return’. However, for this, the taxpayers will need to pay a penalty fee, as fixed in the Finance Act.
The process of filing a belated ITR is the same as filing ITR before the expiry of the deadline. However, while filling out the belated ITR form, an individual is required to select section 139(4) instead of 139(1).
Those who were not able to file their returns by the due date, i.e. by 31.07.2023 can still do so but they have to pay penalty fee for late ITR filing.From FY 21 or Assessment Year 2021-22 (AY22), the penalty amount for late filing beyond ITR filing deadline was reduced to Rs 5,000 from Rs 10,000 earlier.
As per Income Tax Act, 1961 Provisions
- the belated ITR can be filed with a penalty of ₹5,000.
- If the total income does not exceed ₹5 lakh, then taxpayers will pay a fine of ₹1,000 only.
- There is no late fee for those whose income is below the exemption limit
Those who have already filed their ITR can also file a revised return if there was a lapse in filing the original tax return.
Non-Compliance is very expensive
Penalty for not filing ITR on time - Belated ITR
- Due Date filing of belated ITR for AY 2023-24 is 31st December, 2023.
- According Section 234F and provisions made under the Income Tax Act, 1961, the penalty for belated ITR could be up to Rs 5,000/-.
- Kindly note that, in case where total incomeof the Taxpayer is not more than Rs 5 lakh in a financial year, the maximum penalty for the delay is Rs 1000.
- Taxpayers also have to pay penal interest on any unpaid tax liability if filing a belated ITR.
- Kindly note that
- Belated ITR filers cannot carry forward losses under any head of income (other than income from house property).
- This facility is available only when the ITR is filed within the due date. However, loss under the head of income from house property can be carried forward.
- an individual cannot opt for the new tax regime while filing belated ITR for AY 2023-24
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