Navigating ITR Penalties: What you need to know for FY 2023-24?
income tax returns (ITR) for FY 2023-24. This article aims to guide taxpayers through the intricacies of the process, highlighting crucial deadlines, potential penalties, and other pertinent considerations based on information from the official Income Tax Department regulations.
Understanding Filing Deadlines and Penalties
The due date for filing income tax returns for individuals for FY 2023-24 is July 31, 2024. Failing to meet this deadline can result in penalties. According to ET Wealth, late filing penalties include a fixed penalty of Rs 5,000 if the return is filed after the due date. Moreover, taxpayers with a tax liability exceeding Rs 10,000 may face an additional 1% interest per month on the outstanding tax amount.
TDS-Related Obligations and Penalties
Tax deducted at source (TDS) plays a significant role in income tax compliance. If TDS is not deducted on property purchases exceeding Rs 50 lakh, or if it's deducted but not deposited with the government, penalties can range from 1% to 1.5% per month, respectively. These penalties are designed to ensure timely compliance with tax regulations and avoid financial penalties.
Other Tax Violations and Consequences
Various other violations can lead to severe consequences. For instance, providing an incorrect PAN number can result in a penalty of Rs 10,000. Cash transactions exceeding Rs 2 lakh attract penalties equivalent to 100% of the transaction amount. Moreover, tax evasion penalties range from 100% to 300% of the evaded amount, with potential imprisonment
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