Deadline to file belated ITR & Revised ITR: March 31
As per the Income tax laws, the taxpayers are allowed to file a belated tax return and also provides an option to revise or rectify the original or the belated income tax return. A belated income tax return can be filed before the end of the year from the end of the applicable financial year in question or before the culmination of assessment proceedings, whichever is earliest.
Income Tax Return
The last date to file income tax return in India for the financial year (FY) 2018-19 was 31 August for all salaried taxpayers who are ordinarily residents in India own foreign assets or whose gross income is more than the basic exemption limit as per income tax laws. For persons who are partners of a business firm or are applicable to tax audit, the due date is 31 October, 2019.
Even after more effort, there is a possibility for some taxpayers who aren't able to meet the deadline to file the income tax return or for some taxpayers who have filed the tax return but realizes that there was a mistake in the filing form. There’s no need to worry as there is still time to file or to correct the mistakes or scope to make amends. As per Income tax laws, the taxpayers are allowed to file a belated income tax return and also provides a chance to revise the original or the belated income tax return.
Belated tax return
A belated income tax return can be filed before the end of the year from the end of the applicable financial year in question or before the culmination of assessment proceedings, whichever is earliest and convenient for you. In case, if you fail to file your income tax return within the notified due date, you can file your income tax return as a belated income tax return. To make it very clear, a belated income tax return for FY2018-19 that is period from 1 April 2018 to 31 March 2019, can be filed till 31 March 2020, allowed for the tax officer does not complete your assessment legal proceedings by then. So, it is best to file the income tax return on time.
No pain no gain and if there is a gain then there will be a pain, so in the case of belated income tax filing. It is very important for all taxpayers to be cognizant or aware of the following consequences or updates of income tax return filing after the due date.
Fees of Late filing
With effect from Financial Year 2017-18, the government has declared a late filing penalty or fee to boost the taxpayers to file their income tax return on or before the due date. This penalty fees has to be paid before or at the time of belated income tax return filing. A fees amount of Rs.5,000 is applicable for taxpayers who file their belated income tax return before 31 December 2019. The late filing fee of Rs.10,000 for taxpayers who file their belated income tax returns between 1 January 2020 and 31 March 2020. And in cases, the total income for the Financial Year does not exceed more than 5 lakh, then the late filing fee is restricted to Rs.1,000.
Restriction on carry forward of losses
If the income tax return is not filed before the notified last date because of certain losses. Actually, there are certain losses that are not allowed to be carried forward to later years for a set off. For instance, if you have undergone a loss under the head such as ‘Income from House Property’, then you are not allowed to be carried forward to later years for a set off even in the case of a belated tax return. But, if there is a loss under the head, such as ‘Income from Capital Gains’, ‘Profits and Gains of Business and Profession’ or ‘Income from Other Sources like the activity of owning and maintaining race horses, then they will not be allowed to be carried forward to later years for a set off.
Additional interest on tax liability
There are few cases in which a tax liability is still collectable; the taxpayers have to deposit additional interest @ 1% every month of postponement of the outstanding tax liability. In these cases, even a part of a month is considered as an entire month and the interest will be calculated for the whole month.
Revised tax return
There are some scenarios, in which you have an option to rectify or revise the error(s) in your income tax return filing form with a revised return. The certain scenarios such as, a mistake was made in the income tax return either in disclosure of certain information or in the calculation of income and so on. And, it is also possible of lacking some information at the time of income tax filing return and consequently, income has not been received correctly or some documents or disclosures have been unknowingly missed out. In these cases, you can use this chance to rectify the error(s) by filing a revised return.
Taxpayers who have filed their income tax return on or before the due date can file a revised return to rectify the errors. Even the taxpayers who have filed a belated income tax return are also allowed to rectify such returns.
The deadline for filing a revised income tax return is the same as the due date for filing a belated income tax return that is on or before the end of one year from the end of the relevant financial year in question or before the completion of assessment proceedings, whichever is earlier. Consequently, a revised income tax return for FY2018-19 can also be submitted till 31 March 2020, with the same consideration that the authorized tax officer does not make out your assessment proceedings by then.
Generally, there is no restriction to revise your income tax returns. If you find any mistake or error or omission in your revised income tax return, you can file another revised return to revise and rectify the report all income and other authorized information. However, it is important to give extreme care and caution while filling and revising the income tax return to avoid such revision income tax return practice. The procedure of filing a revised return and a belated return is almost the same as in the case of filing the original income tax return.
