Don't Miss Out: File Your Belated Income Tax Returns Before December 31

Even though the July 31 deadline for filing your Income Tax Return (ITR) for the fiscal year 2023-2024 has passed, you still have the choice to file a late return. With the December 31 deadline fast approaching, it’s crucial to take action now to avoid penalties and complications. Here’s what you need to know to stay on track with your tax obligations.

What is a Belated ITR?

A belated ITR is a return filed after the original deadline (July 31). The Income Tax Act's Section 139(4) permits taxpayers to submit their ITRs after the deadline but before December 31. Although there are late costs, this alternative enables people who missed the original deadline to regularize their tax returns.

Penalties for Delayed Filing

If you are filing after the original deadline of July 31 but before December 31, you will be charged a late fee:

• Rs 5,000 if your annual income exceeds Rs 5 lakh.

• Rs 1,000 if your annual income is below Rs 5 lakh.

These charges are in addition to any taxes due and interest on outstanding payments.

Here’s What Happens After December 31

Missing the December 31 deadline for filing your belated ITR results in a Rs 10,000 penalty for individuals earning above Rs 5 lakh annually. Also, the delay could result in legal repercussions and heightened scrutiny for your subsequent tax returns.

Meanwhile, taxpayers who miss the deadline may only file an amended return upon the Income Tax department's instruction, and they may be penalized up to 50 per cent of the unpaid tax.

How to File a Belated ITR?

Here’s how to file your belated ITR before December 31:

1. Login to the e-Filing Portal: Use your PAN to log in to the Income Tax e-Filing portal

2. Choose the Correct ITR Form: Select the form corresponding to your income sources

3. Select the Assessment Year: Choose Assessment Year 2024-25 for the financial year 2023-24

4. Enter Required Information: Provide details of your income, deductions, and any tax liabilities

5. Clear Outstanding Payments: Settle any unpaid taxes, late fees, and penalties

6. Submit and Verify: Verify the return using Aadhaar OTP, net banking, or in-person submission to finish the procedure.