ITR Filing Deadline On December 31: Here’s how much penalty you will have to pay for belated returns

financialexpress.com:

To all those who have missed to file ITRs, the Income Tax Department of India has notified the final date to file belated and revised income tax returns (ITRs) for Fiscal Year (FY) 2022-23, Assessment Year (AY) 2023-24 under section Section 139(4) for belated returns and revised return can be filed under Section 139(5) of the Income Tax Act. Don’t forget to mark December 31, 2023, on your calendar and avoid the last-minute rush by following these simple steps.

As per reports, the taxpayers will have to pay a late filing penalty of Rs 5,000 or Rs 1,000 if their income is less than Rs 5 lakhs. Before filing the return there are a few terminologies to understand for a secure and better process.

The Financial Year is just a 12-month time span when you make money. It’s like a yearly earning period.

Example: If you earn money from your job or business between April 1, 2022, and March 31, 2023, that’s all part of the Financial Year 2022-23.

Wherese after the Financial Year ends, there’s something called the Assessment Year. This is the next 12 months, from April 1 to March 31, where the money you made in the Financial Year gets looked at for tax purposes.

Example: If you earned money between April 1, 2022, and March 31, 2023, the Assessment Year for that income would be 2023-24.

In simple terms, the Financial Year is like your earnings calendar, and the Assessment Year is when the government checks in on what you earned to figure out taxes.

Belated Return: If you miss the deadline to file your income tax return, don’t worry—you can still do it! It’s called a belated return, and you can file it under Section 139(4) of the Income-tax Act, 1961. However, keep in mind that there’s a penalty of Rs 5,000 under Section 234F for filing