If you have not filed the Income Tax Return (ITR) for the financial year 2023-24 or you discover any mistake in the return filed, then the last date to file the return or revise it is December 31, 2024. Returns filed after the due date (July 31, 2024) are called belated returns. It can be filed by 31st December of the concerned assessment year. The return can also be revised only till 31st December. If both the tasks are not completed by this deadline, a penalty may have to be paid. In some cases, one may have to face legal action including jail.
Filing of updated return
Taxpayers after December 31 have the option to file updated returns (ITR-U) till March 31, 2025. If there is tax liability in this, additional tax penalty is imposed. This is 25 percent of the total outstanding tax (including cess, surcharge and interest). Therefore, to avoid paying heavy penalty, it is important to file or revise the return before the December deadline.
If you are filing return or revising ITR then you have to keep the following things in mind:
1. Review your Annual Information Statement (AIS) and Form 26AS
Annual Information Statement (AIS)
AIS has become an important tool for tax authorities. Through this, the authorities keep an eye on the income from many sources. These include bank interest, stock transactions and other investments. It includes income from multiple sources and is updated from time to time.
Even if you have filed ITR for FY2023-24, there is a possibility of new data being included in your AIS. You have to match the data of your filed ITR with the new data of AIS. You can revise the return if necessary. You can view your AIS by logging in to the Income Tax e-filing portal.
Form 26AS
Form 26AS mainly contains the details of Tax Deducted or Collected at Source (TDS/TCS). If your previously filed ITR does not include any TDS/TCS, you can revise the return. This may help you get a refund.
2. E-verification within 30 days
After filing belated or revised return, you will have to verify it within 30 days. You can do this work electronically or manually. In manual mode you have to send the signed physical copy to Centralized Processing Center (CPC) Bengaluru. If the return is not verified within 30 days from the date of filing, the return becomes invalid. Due to this, one may have to face penalty and other action under the Income Tax Act.
It has to be kept in mind that if you are sending ITR-V then you have to send it only through speed post and keep the postal receipt safe with you.
3. Late filing fees and interest
If you miss the original date to file your return, you will have to pay late filing fees:
-A penalty of Rs 1,000 will be imposed on income less than Rs 5 lakh
If the income is more than Rs 5 lakh, a penalty of Rs 5,000 will be imposed.
Apart from this, if tax is outstanding, interest may have to be paid under sections 234A to 234C of the Income Tax Act.
4. Criminal case on non-filing
Under the Income Tax Act, willful non-filing of ITR can lead to a jail sentence of up to 7 years. However, if the tax amount is less than Rs 10,000 then no criminal case will be filed.
In the past years, the Income Tax Department has increased its strictness against people who do not file ITR and evade tax. Legal action is being taken against such defaulters.
The deadline of 31st December is nearing. This is the last chance to file or revise income tax return. With this the taxpayer can avoid penalties and notices from the Income Tax Department. There will be serious consequences for not following income tax rules or showing less income. You may have to pay a fine or face legal action.
Also read: These tasks related to tax and money must be completed before 31st December, there will be no problem later.
Log in to the Ekanam Tax e-filing portal today. Then file or revise your return. If you face any problem in this then you can take help of your chartered accountant.
(The author is a CA. He is an expert in matters related to personal finance, especially income tax)