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ITR not filed for 2 years? Know how to file belated ITR, penalty, deadline and more
Income Tax Department has fixed March 31, 2018 as the last date to file tax returns for AY 2016-2017 and 2017-2018.
New Delhi: The end of financial year 2017-2018 is March 31, but this time the particular date is crucial for those who have not filed their Income Tax Return (ITR) for the last two assessment years (AY).
Income Tax Department has fixed March 31, 2018 as the last date to file tax returns for AY 2016-2017 and 2017-2018.
The Income Tax Department too has been constantly reminding taxpayers to file their tax returns for the aforesaid on its portal.
Check out the table and find your AY and deadline
Financial Year | Assessment Year | Belated Return Filing Deadline |
2015-2016 | 2016-2017 | March 31, 2018 |
2016-2017 | 2017-2018 | March 31, 2018 |
Here is why it is important to file your tax returns this March:
Tax returns for fiscal 2016-17 (assessment year 2017-18) were originally to be filed by 31 July last year. But in view of the reports that the e-filing website was facing glitches, the deadline was extended. Reports say that IT department will not further extend the date beyond March 31.
However, tax payers should not confuse this deadline with current financial year, ITR filing for which is on or before July 31.
How to file belated return
The process of filing belated return is the same as that of filing regular ITR. You need to select ITR form applicable to you and fill the form in the same manner as when you filed the return on time and choose the assessment year for which you are filing the belated return.
Belated filing drawbacks
On belated ITR filing , you are not eligible for select exemptions and carry forward losses (other than house property loss). Furthermore, you may also have to shell out more on interest under different sections of the IT Act.
Penalty
You will be charged an interest of one percent per month (simple interest) on the tax amount outstanding. This interest will be calculated from the due date applicable. For returns of FY 2017-18 and onwards, penalty of Rs 5,000 will be charged for returns filed after due date but before December 31. If returns are filed after December 31, a penalty of Rs 10,000 shall apply. However, penalty will be Rs 1,000 for those with income upto Rs 5 Lakh.