ITR 2024 deadline: Know all about penalties on late filing
The Income Tax Department has disclosed the penalties for late filing of Income Tax Return (ITR) for the financial year 2023-24. The deadline to file ITRs is July 31, 2024, but taxpayers can submit a belated return until December 31, 2024, with a penalty. The penalty amount varies based on the taxpayer's income level. Here's all you need to know.
Penalty structure for late ITR filing based on income
For individuals with a net taxable income exceeding ₹5 lakh for FY 2023-24, a belated return may result in a penalty of up to ₹5,000. Conversely, taxpayers with a net taxable income of ₹5 lakh or less face a maximum penalty of ₹1,000 for filing late. Those who file an ITR solely to claim a refund and have a net taxable income below the basic exemption limit, are exempt from penalties.
Consequences and benefits of timely ITR filing
Filing an ITR is not only a legal requirement but also offers peace of mind and can qualify taxpayers for specific tax benefits or refunds. Non-compliance can lead to penalties and potential legal consequences. Late filers may have to pay additional interest on any outstanding taxes from the initial due date until the payment date. In some instances, late filing could result in losing the opportunity to carry forward certain tax deductions or losses.
