Income Tax Return filing: Consequences of missing Income Tax return filing deadline

Income Tax Return 2019: All those who are waiting to file their Income Tax returns should now be alerted and start preparing to file their returns. The process of filing Income Tax return has already started and the last date to file the returns is July 31.

Filing of Income Tax return is not a complex process as some people might think and one can easily file their returns following government guidelines. 

People need to fill Income Tax return forms from ITR 1 to ITR 7, depending on the type of income.

There is no need to worry if in case one ends up paying extra money as it will get refunded.

Though the deadline to file Income Tax return is July 31, but for those whose accounts are audited is September 31. 

Consequences of missing Income Tax return filing deadline:

• One has to pay a late penalty and might even face prosecution.
• If a person misses the deadline, the penalty amount until December 31 will be Rs 5,000.
• If a person even misses December 31 deadline, and files return between January 1 and March 31, then one has to pay a penalty amount of Rs 10,000.
• 1% interest rate per month on the unpaid amount will also be charged if one misses the deadline to file Income-Tax return.
• Those who will fail to file Income Tax return might face prosecution under section 276CC.
• The imprisonment could last between 3 months to 3 years depending on the unpaid amount
• Another important fact which taxpayers must know that if in case their venture is not able to make capital gains and they fail to pay tax on due time, then they won't be allowed to continue with their loss except those dealing in house property.