Every year the government sets a deadline to file your Income Tax Returns (ITR). The date this year is September 15. If you have missed filing your ITR and is confused whether you can still file after the deadline and what the consequences will be, here’s all you need to know.
Taxpayers can still file their ITR even after the due date by filing a belated return. The Income Tax Department allows this option so that people who missed the deadline can still report their income and pay taxes properly. (File Photo)
However, this late filing comes with some disadvantages. (File Photo)
If you miss the deadline, you may have to pay a penalty under Section 234F of the Income Tax Act. (File Photo)
If your total income is above 5 lakh, the penalty can be up to 5,000 (File Photo)
If your total income is below 5 lakh, the penalty is 1,000 (File Photo)
This penalty is charged while filing your belated return. (File Photo)
Apart from the penalty, you also have to pay interest on any unpaid tax amount under Section 234A. The interest is usually calculated at 1% per month from the due date until the date you actually file and pay. (File Photo)
Another disadvantage of late filing is that you cannot carry forward losses to future years if you miss the deadline. (File Photo)
With this, you lose the chance to save tax in the upcoming years by adjusting past losses. However, losses from house property can still be carried forward. (File Photo)
Additionally, the government has set a final date for filing belated returns. For the current assessment year, you can file your ITR until December 31, 2025. After this date, you cannot file for that year at all. (File Photo)
