Are you aware of the ITR filing last date, FY 2023-24 (AY 2024-25)?

An Income Tax Return (ITR) is a form that a person must submit to the Income Tax Department of India. It includes information on the individual's income and the taxes that must be paid on it during the year. Information filed in the ITR should correspond to a certain fiscal year, beginning on April 1 and ending on March 31 of the following year.

Income can take different forms, such as:

• Income from salary
• Profits and gains in business and profession
• Income from residential property
• Income from capital gains
• Other income sources include dividends, interest on deposits, royalties, lottery winnings, and so on.

The Income Tax Department has specified seven types of ITR forms: ITR-1, ITR-2, ITR-3, ITR-4, ITR-5, ITR-6, and ITR-7, with the form's application determined by the nature and quantity of income as well as the type of taxpayer.

There is a certain deadline for the submission of ITR. Let's have a thorough understanding of it:

Understanding the vocabulary FY and AY

In the upcoming year, you will be required to file a return for the income you earned in FY 2023-24, which spans from April 1, 2023, to March 31, 2024. The assessment year is the review year for FY 2023-2024, during which you are required to file your returns and declare all incomes, exemptions, deductions, losses, and other aspects that have been made or incurred during the year for tax assessment. The assessment year for the income earned during the fiscal year (here, FY 2023-24) would be the immediately following year, which is the period from April 1, 2024, to March 31, 2025. Subsequently, the assessment year will be AY 2024-25.

Start date for filing the ITR

The e-filing of Income Tax Returns (ITRs) for the fiscal year 2023-24 (AY 2024-25) commenced on April 1, 2024.

Due dates for filing the ITR

Last date for filing the ITR

The deadline for filing the income tax return (ITR) for FY 2023-24 (AY 2024-25) without a late fee is July 31, 2024. Taxpayers who file their returns after the due date must pay interest under Section 234A and a penalty under Section 234F. If you fail to submit by the due date, you can still file a belated return by December 31, 2024.

Consequences for missing the deadline

Interest: As per Section 234A, you will be required to pay interest at a rate of 1% per month or part month on the unpaid tax amount if you submit your return after the deadline.

Late fee: If the filing is delayed, Section 234F imposes a late fee of Rs.5,000. However, this fee is reduced to Rs.1,000 if the total income is less than Rs.5 lakh.

Adjustment of losses: If you have suffered losses from sources such as the stock market, mutual funds, properties, or any of your enterprises, you have the option to carry them forward and offset them against your income in the following year. This provision significantly reduces your tax liability in subsequent years. Nevertheless, if you fail to submit your ITR by the deadline, you will be prohibited from carrying forward these losses.

Belated return: A belated return is a type of return that can be filed after the due date if the ITR filing deadline is missed. Nevertheless, you will be required to pay the late fee and interest charges, and you will not be permitted to carry forward any losses for future adjustments. The deadline for submitting a belated return is December 31 of the assessment year unless the government extends the deadline. Consequently, the belated return may be submitted by the latest on December 31, 2024, for this year.

Updated return: Although the December 31 deadline was missed due to unforeseen circumstances, the updated (ITR U) return can still be submitted, provided that the conditions are met.

Due dates for advance tax instalments

When discussing income tax, there are specific tax formalities that must be adhered to within the designated due dates, including the timely payment of advance tax and the submission of income tax returns. The deadlines for the payment of advance tax are as follows:

Who should be filing an ITR?

Any individual whose income exceeds the base exemption limit of Rs 2.5 lakh is required to submit an ITR. Individuals with taxable incomes of up to Rs 5 lakh are currently exempt from paying tax. Beginning in the fiscal year 2024-24, the fundamental exemption threshold under the New Tax Regime will be Rs 3 lakh.

Where should the ITR be filed?

The Income Tax Department's e-filing website (www.incometax.gov.in) provides the ITR submission facility at no cost. Specified inputs are provided by the website to facilitate the filing of returns by individual and salaried taxpayers.

The new ITR forms that the tax department has announced include separate schedules for income generated from crypto and other virtual digital assets. The government disclosed regulations regarding the taxation of cryptocurrency income in the 2022 budget.

Income tax calculator

There are many tax calculators available online to help individuals calculate their tax liabilities.

One of the most popular ones being https://www.bankbazaar.com/tax/income-tax-calculator.html.

Comparison between the old and new tax regimes

People frequently ask about the distinction between the old and new tax regimes. The new income tax regime would be beneficial to persons who do not want excessive deductions or do not want to avoid tax preparation difficulties. This may include non-salaried taxpayers (such as consultants) who are ineligible for Section VIA exemptions and deductions.

It may also include elderly people who do not receive a pension from their jobs and hence are ineligible for the INR 50,000 standard deduction. Senior citizens, on the other hand, receive a considerable portion of their interest income, with an entitlement to INR 50,000 under the recently established Section 80TTB. As a result, the earlier approach would provide them with more security.

There are advantages and disadvantages to both the old and new tax regimes. Before deciding, it is important to learn about the distinctions between the old and new tax regimes. The prior tax structure instills in taxpayers the desire to save. Employees who earn less and invest less benefit from the new tax structure, which provides fewer deductions and exemptions.

Frequently Asked Questions

1. What is the process for claiming an income tax refund after the due date?

The only way to claim an income tax refund is to file an ITR. However, if you fail to submit your ITR by the deadline, you may submit a belated return by December 31 of the assessment year. The delay incurs a penalty of Rs.5,000. Nevertheless, the charge is Rs.1,000 if the individual's total income is less than Rs.5 lakh.

2. What is the process for paying income tax after the deadline has passed?

If you have neglected to submit your return and pay taxes by the deadline, you will still be permitted to do so after the deadline has passed. Nevertheless, a late filing penalty and interest will be assessed during the submission of the ITR. The delay in submitting the return results in a penalty of Rs.5,000. The fee is Rs 1,000 if the individual's total income is less than Rs. 5 lakhs.

3. Under which section of the Income Tax Act is it permissible for an individual to submit an ITR late?

A belated return, which is filed after the due date, is permissible under Section 139(4). Delays in submitting returns incur penalties of up to Rs.5,000.

4. What is the deadline for submitting an income tax return?

Typically, the deadline for filing an income tax return is July 31 for individuals and non-audit cases and October 31 for audit cases of the relevant assessment year.

5. How can income tax returns be revised prior to the deadline?

The assessee may revise the original return that was submitted by utilising the revised return in accordance with Section 139(5). The standard procedure for submitting the original return can be used to file the revised return. Nevertheless, the taxpayer is required to transmit the ITR in accordance with Section 139(5). While revising the return, the entire e-verification procedure must be completed.

6. How can income tax returns be revised after the deadline?

The revised return may be utilised by the taxpayer to revise the original return after the due date, as per s. 139(5). Before December 31 of the assessment year, it is possible to submit a belated return. Taxpayers are prohibited from submitting any returns after this date has passed. Nevertheless, if the return was overlooked as a result of an extraordinary circumstance, you may submit a request to your A.O. to request authorization to submit old returns under Section 119.

7. What consequences may result from failing to submit the income tax return by the deadline?

A belated return may be submitted if an income tax return is not submitted by the deadline. A penalty of up to Rs.5,000 will be imposed for late filing of belated returns. The fee is Rs.1,000 if the individual's total income is less than Rs.5 lakh.

8. What is an income tax audit?

It involves the examination and inspection of an entity's records of accounts to guarantee adherence to the Income Tax Act of 1961. A CA or a firm is required to conduct a tax audit of only specific categories of assesses.

9. If the income is below the taxable limit, will there be a penalty for submitting the return?

If the income is below the taxable limit, there is no penalty or interest imposed for submitting an income tax return after the due date.

10. In the event that the December 31 due date return is also overlooked, what actions can be taken?

If any omission or incorrect statement is identified after the revised return is submitted, it may be submitted on or before December 31 of the relevant assessment year. Additionally, an updated return may be submitted within two years of the conclusion of the pertinent assessment year.