What Is The Last Date For Filing Income Tax Returns (ITR)?

Filing Income Tax Returns (ITR) on time is essential for complying with tax regulations. The government sets specific deadlines for both individuals and businesses, and missing these deadlines can result in penalties, interest charges, and loss of certain benefits. Being aware of the last date for filing and understanding the consequences of late submission can help avoid additional financial burden.

Last Date for Filing ITR:

For Individual Taxpayers:

The general deadline for individuals to file their ITR is July 31st of the assessment year. However, if the individual is involved in a business or profession and their accounts are audited, the last date is extended to September 30th.

For Businesses (audit required):

For businesses subject to audit under Section 44AB of the Income Tax Act, the last date for filing ITR is generally September 30th. This is applicable for taxpayers whose accounts need to be audited, including corporate entities.

For Extended Deadlines:

In some cases, the government extends the due date due to unforeseen circumstances, such as natural disasters, technical glitches on the Income Tax Department portal, or other emergencies. It's advisable to regularly check for official notifications regarding extensions.

Consequences of Missing the Due Date:

Late Filing Fees:

If you miss the deadline, a penalty is imposed. For individuals filing after the due date, the fee can range from ₹1,000 to ₹10,000, depending on how late the return is filed. If the total income is less than ₹5 lakhs, the fee may be limited to ₹1,000.

Interest on Late Payment:

If there is any outstanding tax liability, the taxpayer will be charged interest on the amount at the rate of 1% per month or part of the month, starting from the due date until the tax is paid.

Loss of Certain Benefits:

Missing the due date could lead to the forfeiture of certain benefits, such as the carry forward of losses. This means you may not be able to offset losses from the current year against future income, which could result in higher taxes in subsequent years.

Scrutiny and Penalties:

A late filing may increase the chances of scrutiny by the Income Tax Department, leading to potential audits and further penalties.

Example:

Suppose a person fails to file their ITR for the assessment year 2024-25 by the due date of July 31st, and instead files it on October 15th. They will incur a penalty of ₹5,000 for the late submission. In addition, they will be charged interest of 1% per month on the outstanding tax amount. If the individual had incurred a loss in the current year, they will not be able to carry forward those losses, leading to higher tax liability in the next year.