What happens if you don't file Income Tax Returns on time? Penalties on late filing of ITR | INDmoney Classroom #12
Having understood the importance of filing Income Tax Returns. Head over here, to know how to file income tax returns on the income earned from US Stocks and ETFs, all under 30-mins!
When is the last date to file ITR?
For the financial year 2021-22 or assessment year 2022-23, the last date to file your income tax return is 31st July 2022.
Can I file ITR after the due date?
Yes, you can. But it shall be considered as belated or late filing of ITR and a penalty shall be applicable. The end date for the belated filing of ITR is 31st December 2022.
What is the penalty for late filing of ITR?
If your income is above Rs 5 lakhs, you shall have to pay INR 5000 as a penalty. If it is below Rs 5 lakhs, you shall be liable to pay INR 1000.
What is advance tax and who shall have to pay?
Advance tax is the tax that you are required to pay prior to the end date of filing income tax returns.
Advance tax is applicable for the following people:
- Salaried employees or self-employed, professionals (CAs, Lawyers, etc), and businessmen.
- If you fall in any of the above categories, and if your total tax payable is above INR 10,000; you shall have to pay advance tax.
- You have income from other sources that do not qualify for tax-deductible at source, such as income from the sale of shares or mutual funds, rental income, income from fixed deposits, and winnings from lottery.
If you satisfy the above conditions, you shall have to pay advance tax.