Due date for Filing Income Tax Return & Consequences of not filing IT Return within Due Date

Due date for Filing Income Tax Return & Consequences of not filing IT Return within Due Date

The Income Tax Depart Act has prescribed various due dates for filing of Income Tax Return by different class of assessees. Section 139 of Income Tax Act, 1961 provides for following different due dates for different class of assesses:

  1. 30th day of September of Assessment Year in following cases
    1. Company – e Companies registered under Companies Act, includes body corporates registered under law of a foreign country.
    2. Person (other than company) whose accounts are required to be audited under this Act or under any law for the time being in force. For example, Societies required to get books of accounts audited under Societies Act, LLP required to get books audited under LLP Act etc. Section 44AB of Income Tax Act  prescribes that Books of an Assessee is required to be audited if turnover of business exceed Rs 1 Crore or Gross Receipts of Professional Exceed Rs 50 lakh, hence these cases are covered under this due date.
    3. a working partner of a firm whose accounts are required to audited. Remuneration of working partner of a firm is linked to profit declared by the firm, that is reason person tax filing due date for working partner is same as applicable to the firm.
  2. 30th Day of November of the Assessment year in case of Assessees who is required to get Transfer Pricing Audit done under Section 92E of Income Tax Act,1961
  3. 31st Day of July in case of Assessees who are neither companies nor otherwise required to get the books of accounts audited.

Belated filing of Income Tax Return  & consequence of not filing IT return within the due date :

Belated Filing :

If the return is not filed within due date same can still be filed within the end of Assessment year, i.e March 31st of the year following the financial year.  For example if Return pertain to Financial year 2017-18, the assessment year is 2018-19, and if the return is not filed within due of July 31st or Sep 30th of 2018, belated return can still be submitted by March 31st 2019.

Consequences of not filing IT return within the due date :

  1. Late fees of Rs 5,000 is applicable if the return is filed by December 31st of Assessment Year / Late fees of Rs 10,000 is applicable if return is filed after December 31st of Assessment Year. ( Late fee will be limited to Rs 1,000 for those with income up to Rs 5 lakh).
  2. Carry forward of losses (other than loss under House Property) are not allowed unless return is filed within due date.
  3. Interest under section 234A @ 1% per month becomes applicable on amount tax payable after the due date. This is in addition to interest @ 1%  per month under section 234B. So on any tax which is not paid within the due date for filing return, interest required to paid @ 2%  per month on taxes paid after due date. It is advisable to deposit tax before the due date, even if for some reason return can’t be filed before due date to avoid interest @ 2% per month.

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