What is Belated Return, Penalty, How to File Income Tax Return after Due Date?

What is Belated Return?

A belated return is a return of income that is filed after the due date specified under the Income Tax Act, 1961. In India, the due date for filing an income tax return for individuals is generally July 31 of the assessment year. However, if a taxpayer fails to file the return by this due date, they have the option to file a belated return till 31st December of Assessment year.

Filing ITR for Previous Years

If you missed filing ITR for previous years, you can file a belated return on or before 31st December of the relevant assessment year. For Example, for the AY 2023-24, the timeline to file a belated return is on or before 31 December 2023 (if income tax authorities do not complete the assessment on their own). 

In case you miss the belated return deadline, then you may file ITR-U in certain specified cases.

The amendment vide Finance Act 2021 reduced the timeline of filing the belated return. With effect from AY 2021-22, you can file the belated return three months before the end of the relevant assessment year or before the completion of the assessment, whichever is earlier.

Consequencies of Filing Late Return

The following are the disadvantages of filing a belated return:

• Interest may be applicable under sections 234A, 234B and 234C
• A late fee will be levied under Section 234F while filing a belated return: 

• If you have incurred losses, like business and capital losses, they cannot be carried forward and set off in the subsequent years. However, an exception is available for losses from house property that can be carried forward even if you file your returns late.
• Deductions/ Exemptions Disallowed: Deductions/ exemptions u/s 10A, 10B, 80-IA, 80-IB, 80-IC, 80-ID and 80-IE shall not be available if you delay ITR filing. These tax-saving benefits are allowed only if the ITR is filed before the original deadline.

How To File Belated Returns?

Online Method

Step 1: Log in to your account on the e-filing account

Step 2: > Click on ‘e-File‘ 
> Choose ‘Income Tax Returns‘ and 
> Select ‘File Income Tax Return‘

Step 3: Select the relevant assessment year

Step 4: If you select the mode of filing as ‘Online’, follow Steps 5-10. If you select the ‘Offline’ mode of filing, skip to Step 11.

Step 5: Click on the ‘Start new filing’ button

Step 6: Select the applicable status

Step 7: Now, select the applicable ITR form

Step 8: Click on the ‘Personal Information’ section and ensure all your personal details are correct.

Step 9: Scroll down to the filing section and select 139(4).

Step 10: Fill in all your income details under various source heads and proceed to make the tax payment.

Offline Method

Download Offline ITR Preparation Utility and prepare the ITR. Once done, upload .json file and proceed to verification.

File your returns in just 3 minutes

Yes, a late fee of Rs 5,000 will be levied under Section 234F while filing a belated return. If the total income is less than Rs 5 lakh, the late filing fee shall be reduced to Rs 1,000. However, if your income is less than the taxable limit, no late fee shall be levied u/s 234F.

Visit www.cagurujiclasses.com for practical courses