The Income Tax Department has urged taxpayers to file their income tax return (ITR) for the assessment year 2023-24 before 31st July 2023 as it is the deadline for filing the ITR without any late fees or penalties.
The Income Tax Department mentions: “31 July 2023 –
Return of income for the assessment year 2023-24 for all assessee other than (a) corporate-assessee or (b) non-corporate assessee (whose books of account are required to be audited) or (c) partner of a firm whose accounts are required to be audited or the spouse of such partner if the provisions of section 5A applies or (d) an assessee who is required to furnish a report under section 92E.”
Many people are rushing to file the ITR before the deadline but it won’t be possible since there are many unforeseen natural disasters in many parts of the country such as heavy rainfall and floods.
📢 Kind Attention 📢
Here are some statistics of the Income Tax Returns filed.
5.83 crore #ITRs have been filed till 1 pm today (30th July) crossing the number of ITRs filed till 31st July, last year.
We have witnessed more than 46 lakh successful logins till 1 pm today and…
— Income Tax India (@IncomeTaxIndia)
July 30, 2023
Will the Tax Return Date Be Extended?
The Income Tax Department has made no official announcements as of now to extend the ITR filing deadline. According to the organisation’s Twitter, the deadline remains 31st July till 6:30 PM IST, and they continuously encourage tax filers to complete their tax returns before the deadline.
Time is running out.Only 2 days left to file your #ITR#FileNow if you haven’t filed your return for AY 2023-24 yet.
Due date to file your ITR is 31st July, 2023.
Pl visit https://t.co/GYvO3mStKf#ITD pic.twitter.com/cpJCFPHHru
— Income Tax India (@IncomeTaxIndia)
July 30, 2023
📢 Kind Attention 📢
A new milestone!
More than 6 crore ITRs have been filed so far (30th July), out of which about 26.76 lakh ITRs have been filed today till 6.30 pm!
We have witnessed more than 1.30 crore successful logins on the e-filing portal till 6.30 pm, today.
To… pic.twitter.com/VFkgYezpDH
— Income Tax India (@IncomeTaxIndia)
July 30, 2023
Many people are still expecting an extended deadline due to the ongoing floods in several parts of the country as one of the major reasons.
The government has not yet responded to these requests, but it is possible that an extension to file the ITR may be granted. In the past, the government has extended the ITR filing deadline on a few occasions, usually due to natural calamities or other unforeseen circumstances.
If you cannot file your ITR by the July 31 deadline, you should keep an eye on the government’s announcements. If an extension is granted, you will be able to file your ITR by the new deadline.
What Happens if You Miss the ITR Filing Deadline?
The Income Tax Department has set a deadline for filing income tax returns (ITRs) for each financial year. If you miss the deadline, you may have to witness the following penalties from the department:
Late filing fee: Tax filers are required to pay a late filing fee. The amount of this fee depends on the duration after the deadline when you file your ITR. The amount is 1000 rupees if the taxpayer has an income of less than 5 lakh rupees.
The Income Tax Department mentions: “234F. Fees for default in furnishing return of income.—(1) Without prejudice to the provisions of this Act, where a person required to furnish a return of income under section 139, fails to do so within the time prescribed in sub-section (1) of said section, he shall pay, by way of fee, a sum of,—
- five thousand rupees, if the return is furnished on or before the 31st day of December of the assessment year;
- ten thousand rupees in any other case:
Provided that if the total income of the person does not exceed five lakh rupees, the fee payable under this section shall not exceed one thousand rupees.
(2) The provisions of this section shall apply in respect of return of income required to be furnished for the assessment year commencing on or after the 1st day of April, 2018.”.
Interest: If you fail to file your return by the due date, then the Income Tax Department charges an interest rate of 1% per month on the amount.
The Income Tax Department states: “Where the return of income for any assessment year under sub-section (1) or sub-section (4) of section 139, or in response to a notice under sub-section (1) of section 142, is furnished after the due date, or is not furnished, the assessee shall 66 be liable to pay simple interest at the rate of 67[one] per cent for every month or part of a month comprised in the period commencing on the date immediately following the due date.”
Best judgment assessment: If a tax filer, misses the ITR filing deadline and they don’t apply for an extension then their ITR can be processed under the “best judgment assessment” scheme.
Under this scheme, the department will calculate the income based on the already available information.
Here is what the Income Tax Department mentions: “This is an assessment carried out as per the best judgment of the Assessing Officer on the basis of all relevant material he has gathered. This assessment is carried out in cases where the taxpayer fails to comply with the requirements specified in section 144.”
“Scope of assessment under section 144
As per section 144, the Assessing Officer is under an obligation to make an assessment to
the best of his judgment in the following cases:-
If the taxpayer fails to file the return required within the due date prescribed under
section 139(1) or a belated return under section 139(4) or a revised return under
section 139(5), or an updated return under section 139(8A).
If the taxpayer fails to comply with all the terms of a notice issued under section
142(1),” the department adds.
In conclusion, the Income Tax Department might extend the filing deadline so it is important to keep an eye on official announcements. But, it is best practice to file the Income Tax Return on or before the due date to avoid any penalties/charges.
Categories: Trends
Source: vcmp.edu.vn