ITR filing: What are the consequences of missing December 31 income tax return filing deadline?

Sometimes, individuals might be unaware of the deadline for various reasons, such as not receiving notifications, overlooking communications, or assuming incorrect deadlines.- Besides, it may happen that financial hardships or difficulties hinder someone from gathering the necessary funds to pay for professional tax assistance or to cover potential tax liabilities, leading to delays.

However, missing the December 31 deadline for filing income tax returns (ITR) can have consequences such as penalties, interest on taxes owed, and a delay in receiving potential refunds. Thus, it is crucial to be aware of the deadlines and try to file your ITR on time.

What if you miss the December 31 deadline? “Any taxpayer who fails to furnish a belated return on or before December 31 may still be eligible to file an updated return u/s Section 139(8A) of the IT Act within 24 months from the end of the relevant assessment year. However, the updated return cannot be filed if such an updated return in certain cases where it constitutes a loss return or a nil return, in case of pendency of any assessment or reassessment proceedings, in case of initiation of search or survey or prosecution proceedings, etc.,” says Dr. Suresh Surana, Founder, RSM.

However, it is pertinent to note that the taxpayer would be required to pay an additional tax of 25% of the aggregate of tax and interest payable u/s 140B of the IT Act. Such additional tax would be further enhanced to 50% wherein the updated return is furnished after the expiry of 12 months from the end of the relevant assessment year but before the completion of the period of 24 months from the end of the relevant assessment year.

Also read: Attention! Missed July 31 ITR filing deadline for FY 2022-23? File your belated ITR by December 31

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Thus, to comply, follow the steps below to file your ITR on time.

Steps to file revised ITR: Taxpayers who discover any error, omission or wrong statement in their original return of income furnished u/s 139(1) or 139(4) (i.e., Belated Return) of the IT Act, shall be eligible to file a Revised Return of Income u/s 139(5) of the IT Act.

1. Login to the Income Tax e-Filling Portal (i.e., using Password and PAN.

2. Click on the e-File

3. On the Income Tax Return Page, the taxpayer would be required to select the “Assessment Year” and “Submission Mode” as online or offline

4. In case the taxpayer opts for “Offline”, the website shall further ask for “Filing Type” as Original, Revised or Belated and “ITR Form” as ITR-1, 2, 3, etc. and subsequently the taxpayer needs to upload the ITR in proper format.

5. In case the taxpayer opts for “Online”, the taxpayer would be required to file a return on the website itself

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