The deadline for filing Income Tax Returns (ITR) for the financial year 2023-2024 is just around the corner. It’s essential to be aware of how important it is to meet this deadline. The last date for submitting your ITR is July 31, 2024. Missing this deadline can result in serious consequences but if you do miss it, you still have the option to file a belated return by December 31, 2024.
What is a Belated Return?
A Belated Return is an income tax return filed after the official deadline which for the current assessment year is July 31. If you miss this deadline, you can still file your belated ITR before December 31 of the same assessment year. Although filing late comes with some consequences, it’s much better than facing penalties for not filing at all.
Impact of Missing the ITR Deadline
According to income tax regulations, if you miss the deadline for submitting your Income Tax Return (ITR), you will automatically be assigned to the new tax regime. This means you’ll lose the option to choose the old regime for that financial year. Filing your ITR late will result in being placed under the new tax regime.
Choosing Your Tax Regime
It’s important to know that taxpayers can choose their tax regime when filing their Income Tax Return (ITR). The standard deadline for submitting your ITR is July 31. Meeting this deadline allows you to select the tax regime that best suits your financial situation, especially for salaried individuals.
Penalty for Late Filing
For the Financial Year 2023-24, the deadline to file income tax returns is July 31, 2024. If you miss this initial due date you can still submit a late return. However, according to Section 234F of the Income Tax Act, a late filing fee of Rs 5,000 may be charged. If your income is less than Rs 5 lakh, the late filing fee is reduced to Rs 1,000. It’s important to file on time to avoid these extra charges.
Capital Losses
If you file your income tax return late, you risk losing the chance to carry forward any capital losses you’ve incurred. This means you won’t be able to use these losses to offset future gains which would lead to a higher tax liability in the coming years. It’s important to note that, except for losses from house property, other types of losses can’t be carried forward if you submit your tax return after the due date.
