Belated Income Tax Return Filing AY 2024-25: If you are among those taxpayers who have missed the July 31 ITR filing deadline, you still have a chance to file a belated income tax return for Assessment Year 2024-25 with a late fee and interest on outstanding tax amount, if any.
If you could not file your ITR for AY 2024-25 by July 31, you can file a belated return until December 31, 2023. The last date to file ITR without any penalty for taxpayers whose accounts are not supposed to be audited was July 31.
The Income Tax Department Data shows that over 7 crore ITRs were filed until July 31 and over 2.5 crore ITRs processed before the deadline ended.
One of major consequences of belated ITR filing is that you have to pay a penalty for late filing of tax return. This late fee or penalty depends on your annual income level. If you annual income is more than Rs 5 lakh then you will be charged a penalty of Rs 5,000 for missing the original ITR filing due date of 31 July 2024. But if your income is less than Rs 5 lakh, in that case you will have to pay a penalty of Rs 1,000 on filing of a belated return for FY 2023-24.
On top of the penalty, you will also pay a penal interest on outstanding tax amount due. In the case of an ITR field after July 31, you will be charged a penal interest at the rate of 1% per month.
One major loss for taxpayers under the old tax regime is that they will now have to file the ITR under the new tax regime, foregoing all the deduction and exemption benefits of the old regime.
When you file file ITR before the due date, you are paid an interest at the rate of 0.5% per month on the refund amount from April 1 till the date of refund. However, in case of a belated return, this interest gets calculated from the date of ITR filing till the date of refund.
No carry forward of losses: Belated ITR filers are not allowed to carry forward their losses to subsequent assessment years.