New penalty for late filing of Income Tax Return under section 234F is introduced in Budget 2017. Although this penalty is applicable only for income tax return of Financial Year 2017-18 and onwards. If a person who is compulsorily required to file Income Tax Return (ITR) doesn’t file return on time then he is liable to a penalty as follows
Amount of Penalty
For person with Total Income of more than Rs. 5,00,000
- If ITR is filed on or before 31st December following the last date – Rs. 5,000
- If ITR is filed after 31st December – Rs. 10,000
For person with Total Income of less than Rs. 5,00,000 – Rs. 1,000
Penalty is not applicable if ITR is filed before due date but verification is done after the due date.
In addition to the penalty interest under Section 234A is also levied on late filing of Income Tax Return.
Due Dates for filing ITR
Due date for filing return for person required to gets accounts audited under Section 44AB – 30th September
For all other persons – 31st July
Due dates in other cases see here.
Persons for whom it is mandatory to file Income Tax Return
The following persons are mandatorily required to file income tax return
- Firm (In Income Tax Act Firm means a Partnership Firm, Sole proprietor firms are considered as an individual)
- Any other person whose total income exceeds the maximum amount which is not chargeable to income tax.
- A person is required to file ITR if total income of any other person in respect of which he is assessable under this Act during the previous year exceeded the maximum amount which is not chargeable to income-tax.