The Income Tax Return (ITR) is a form for declaring your tax liability, claiming the available exemptions, and reporting your gross taxable earnings. It is mandatory for taxpayers to file their ITRs if their incomes exceed the minimum exemption limits.
All companies and firms, salaried and self-employed individuals, and Hindu Undivided Families (HUFs) are required to file their ITR with the Income Tax Department.
What is ITR filing?
ITR filing is the procedure by which taxpayers report their total earnings for a financial year (FY). They can file their ITRs through the official portal of the Income Tax Department. It is notified with seven forms, which include ITR 1, ITR 2, ITR 3, ITR 4, ITR 5, ITR 6, and ITR 7.
ITR filing due date for FY 2020–21 (AY 2021–22)
Section 139 of the Income Tax Act, 1961 provides the rules related to the due dates for filing ITRs. If required, the Central Government can modify these dates by issuing prior notices. In general, the ITR filing dates can be categorized in two parts, which are as follows:
- Taxpayers without any audit requirements like individuals, HUFs, Association of Persons (AOPs), and Body of Individuals (BOIs): July 31 of the relevant assessment year (AY).
- Audited taxpayers that include companies, working partners (wherein the firms’ books have to be audited): September 30 of the relevant AY.
Due to the COVID-19 pandemic, the Central Board of Direct Taxes (CBDT) has extended the ITR filing last date as follows:
- Taxpayers who do not need to be audited: December 31, 2021
- Tax audit cases: February 15, 2022
- Transfer pricing filing: February 28, 2022
- Belated or revised return filing: March 31, 2022
- Furnishing audit report: January 15, 2022
- Furnishing audit report for transfer pricing taxpayers: January 31, 2022
ITR due date for AY 2021–22 extended
Earlier, the CBDT had extended the last date for filing income tax returns for FY 2020–21. On June 7, 2021, the Income Tax Department introduced the new e-filing portal with a range of upgraded features for a seamless user experience. However, the portal faced multiple glitches and other issues.
Several taxpayers and other stakeholders reported trouble while filing their ITRs and audit reports for AY 2021–22. Considering these difficulties faced by the users, the CBDT gave an ITR date extension for this assessment year.
In the wake of the global pandemic, the due date for filing ITR by taxpayers who are not audited was extended to September 30, 2021. However, because of the delay in resolving the errors and glitches faced by the taxpayers on the new portal, the CBDT provided a further extension on the last date to file returns of income tax vide a circular dated May 20, 2021.
Although it is a well-appreciated move that has provided relief to the taxpayers, individuals must note that the interest levied on deferment and defaults in paying advance tax is still applicable. Therefore, it is recommended that taxpayers pay their income tax liability at the earliest and complete the procedure before the due date of filing income tax returns.
Important due dates of income tax return (ITR) filing in India
It is important that all taxpayers in the country are aware of the due dates for filing their ITRs to avoid penalties and other consequences. Generally, salaried individuals and other taxpayers who are not audited have to file their ITRs by July 31 of the relevant year. Similarly, companies that are covered under audit have to file their returns by September 30 of the relevant AY.
The table below shows the important ITR last dates for FY 2020–21 (AY 2021–22):Date Tax due June 15, 2021 The first installment of advance tax September 15, 2021 The second installment of advance tax December 15, 2021 The third installment of advance tax December 31, 2021 Last date for filing ITR by individuals and other taxpayers who are not liable for audit and have not entered into any international transactions January 15, 2022 Audit report submission under section 44AB for taxpayers who require audit under the Income Tax Act, 1961 February 15, 2022 ITR filing last date for 2021 for audited taxpayers who have not entered into international or specified domestic transactions February 28, 2022 Filing ITR for taxpayers having international and specified domestic transactions March 15, 2022 The fourth installment of advance tax Last date to file belated or revised returns The final due date for paying the entire advance tax amount for taxpayers covered under the presumptive scheme of section 44AD and 44ADA of the Income Tax Act, 1961
What happens if you miss the income tax return (ITR) filing deadline?
If taxpayers miss the deadline for filing income tax returns, they need to pay huge penalties. Additionally, there may be other consequences and inconveniences if the ITR is not filed on time.
The penalty may be between INR 1,000 and INR 10,000 based on the delay in filing the ITR. The following table shows the penalty that taxpayers must pay in case of delays.ITR filing date Penalty (income less than INR 5 lakhs) Penalty (income exceeding INR 5 lakhs) September 1 – December 31 INR 1,000 INR 5,000 January 1 – March 31 INR 1,000 INR 1,000
If taxpayers are eligible for income tax refunds, a delay in ITR due date results in them receiving the money late. Additionally, they must pay 1% interest on any amount that is pending if the ITR is not filed on time.
Frequently Asked Questions (FAQs)
What is the due date for filing ITR?
For individuals and non-audited taxpayers, the IT returns’ last date for filing is July 31 and for audited taxpayers, it is October 31 of the relevant AY.
How do we revise ITR before the due date?
If any taxpayer needs to revise the original ITR, it can be done under section 139(5) of the Income Tax Act, 1961.
The revised return can be filed before the end of the AY or before the assessment is complete, whichever is earlier.
Which section of the Income Tax Act, 1961 makes provisions for filing ITR after the due date?
Belated returns (ITR filed after the due date) are governed by the rules under section 139(4) of the Income Tax Act, 1961. However, taxpayers will have to pay the necessary penalty at the time of filing the belated ITR.
How do we revise ITR after its due date?
Revised returns can be filed as per the provisions of section 139(5) of the Income Tax Act, 1961. However, if the taxpayers fail to file a revised ITR, they cannot do it after the date has passed.
In some extreme situations, taxpayers can file a request with their assessment officer and procure permission to file past returns under section 119 of the Income Tax Act, 1961.
How do we pay income tax after the due date?
Delayed taxes and belated returns can be filed as per the rules under section 139(4) Income Tax Act, 1961.
However, taxpayers will be liable to pay the penalty depending on the date on which the tax is paid and the ITR is filed.
What is the last date for filing ITR for AY 2021–22?
For individual taxpayers, the last date is December 31, 2021. For audited taxpayers, the last date is February 15, 2022. The dates were extended first due to the coronavirus pandemic and the issues faced by the taxpayers while using the new e-filing portal.
Any delay in filing ITR before these dates will attract penalties as per the income tax rules and regulations.
This is a companion discussion topic for the original entry at https://jupiter.money/resources/itr-filing-due-date/