The BuyT Desk
From Financial Year 2020-21 the last date for filing your belated and revised income tax return will be 31st December. Till now, a full financial year was available for filing returns and one could file the late return till the end of the next financial year i.e by 31st March. Usually, returns have to be filed by 31st July of every year. After this, the taxpayer had time until 31 March of the next financial year to file late and revised returns with a penalty. But Budget 2021-22 changed this. Finance Minister Nirmala Sitharaman reduced the deadline by three months. Now, a taxpayer must file his/her late and revised return by December 31.
What are belated and revised returns?
When the last date for filing the IT Return is missed, you file a belated return with a penalty. If there is a mistake from the taxpayer in filing the return, such as wrong calculation, forgetting any income or investment, giving wrong bank account details – to rectify them, the taxpayer files the revised return.
Why was the deadline shortened?
The government has taken several steps to make the process of filing IT Return easy. With the upgrade of technology, a large number of taxpayers are getting pre-filled return forms. Soon the pre-filled return forms will have the details about the capital gain as well. There is more ease in filing return as taxpayers will have much information in their hands now thus making return filing easy.
What if I miss the deadline?
If you do not file your income tax return by the date prescribed by the IT department, then you can get a notice and you will have to pay tax with a penalty if there is outstanding tax. However, if you are unable to file the return due to an unforeseen situation that could not be avoided, then you can file the Condonation of Delay under Section 119 (2) (b) of the Income Tax and request the IT department to allow you to file delayed return. You must have a valid reason for not filing your IT return on time or else you may just lose the chance of filing your return.
Why is it important to file your return?
An income Tax return is an important official document that is required in many important places. Like at the time of visa application, passport and loan application. So it’s important to file it on time and keep a record of the same. Now since you will have less time to file your IT return you must adhere to the new deadline and finish it timely
