Consequences of Late Filing of Income Tax Return (ITR)

Consequences of Late Filing of Income Tax Return (ITR)

Filing your ITR on time or before the due date is the most significant errand for any taxpayer. The late filing of ITR forms removes numerous advantages from the taxpayer. Aside from lesser assumptions, the taxpayers will also have to pay penalties.  Taxpayers should avoid the act of filing the ITR after the deadline.

Consequences of Late Filing of Income Tax Return

Following are the outcomes of postponement in filing the income tax return:


Losses other than the loss from house property can’t be conveyed forward.

Levy of Interest under Section 234A

 The taxpayer is required to pay basic interest at 1% per month or part of a month for delay in filing the return of income.

Late filing fees

A late filing charge under Section 234F is demanded return filed from AY 2018-19 onwards. In the event that the return is filed after the due date yet before December 31st of the assessment year, a fine for late filing of ITR is Rs.5000. In the event that the return is filed later than December 31, a late filing fee of Rs.10,000 is payable. However, a charge of late filing fees to be paid can’t surpass Rs.1,000, if total income doesn’t surpass Rs.5 lakh.

Lesser Benefits

Apart from paying the penalty, a taxpayer will likewise need to relinquish certain assumptions and deductions for that year. The exemptions and deductions which won’t be available if ITR is filed after the due date are mentioned below:

  1. Exemptions under Section 10A​, Section 10B to the new foundations are not available
  2. Derivation under 80-IA, 80-IAB, 80-IB, 80-IC, 80-ID, and 80-IE, in regard of benefits and gains from industrial endeavors or ventures, occupied engaged in infrastructure are unavailable
  3. Deductions under Section 80IAC, 80IBA, 80JJA, 80JJAA, 80LA, 80P, 80PA, 80QQB, and 80RRB are unavailable.

For more information, visit the website of All India ITR


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