What you can do if you have missed the last date of Income Tax Return Filing

The last date of the Income Tax Return Filing was 31 August. CBDT (Central Board of Direct Tax) had extended the last date from 31 July to 31 August 2018. But if you have missed the extended date of ITR (Income Tax Return) filing, you can still file your return. However, there are some points you need to understand and consider before you file the return in this last chance. People who file their return after the due date, this return is known as Belated Return. According to the Finance Act, 2017, when you pay the Belated Return, you will also have to pay some amount as a penalty for this year. So what you can do if you have missed the last date of Income Tax Return Filing.

So before filing the Belated Return, you have to first understand what is Belated Return?

According to the Section 139(4) of Income Tax Act, if any individual file his return after the last date of ITR filing. This return is known as Belated Return.

Deadline to file Belated Income Tax Return:

An individual can file the deadline ITR before the completion of the relevant assessment year. If the current Financial Year is FY & Assesment Year is AY 2018-19 than you have to pay the belated return before 31 March 2019. You have to pay the ITR for FY 2017-18, not for any previous or later Financial Year.

Revise of Belated Income Tax Return:

According to Section 139 (4), the Belated Tax returns can be revised. For example, belated returns for the financial year 2017-18 revised either before the end of the assessment year (31 March 2019) or end of the following financial year (31 August 2019), whichever is earlier.

The penalty for Belated Income Tax Return:

According to Section 234F of Income Tax Act, if an individual file a belated return; he would have to pay a fee up to Rs 10,000 after the last date ITR filing. If a taxpayer pays the return after the last date and before 31 December 2018, he had to pay up to Rs. 5000. If he pays the tax after 1 January 2019, he will have to pay up to Rs. 10,000 as a penalty for this year. However, if the annual income of an individual less than 5 lakh, the penalty amount will not exceed Rs. 1,000.

If a taxpayer files his return after the deadline, he cannot carry forward losses except loss from house property. The point to note down that in the case of Belated Return, Losses under Income from business, capital gains, and income from other sources, cannot carry forward.

Under section 234A, If you have any unpaid tax liability when you file your belated return; a penal interest will be levied as applicable in your case. If the income tax department, upon assessing your return, raises demand for additional tax payment then you would have to pay penal interest on that tax as well as the additional tax. Therefore, it recommended filing your return on time.