Income Tax Return Due by December 31, 2022
Individuals and corporations must submit an Income Tax Return form to the Income Tax Department. ITRs are used to declare and pay taxes on income earned within a fiscal year.
Depending on their sort of income and type of business, an individual or company may need to file one or more ITR forms. ITR-1, ITR-2, ITR-3, ITR-4, ITR-5, and ITR-7 are some examples of frequent ITR forms.
To file ITR, you will need to have certain documents and information ready, including:
- PAN (Permanent Account Number)
- Bank account details
- TDS (Tax Deducted at Source) certificate(s)
- Details of income earned from salary, house property, capital gains, business or profession, and other sources
- Details of tax payments made during the financial year Details of any exemptions or deductions claimed
You can file ITR either online or offline. It’s important to note that ITR must be filed within a certain time period. For individuals, the deadline is usually July 31 of the assessment year (the year following the financial year for which you are filing the ITR). For businesses, the deadline is usually October 31 of the assessment year which was extended to 7th November 2022. So, If a person has not filed an IT return, this is the last chance to file your belated IT return which is on or before 31st December 2022. Also, if you have filed your return but found a mistake in it you can file a revised return by 31st December 2022.
Reason To File Revised ITR
There are several reasons why an individual or business may need to file a revised income tax return, including:
Incorrectly reporting income or claiming deductions or credits: If you made mistakes in your original return, such as underreporting your income or claiming deductions or credits that you were not eligible for, you may need to file a revised return to correct these errors.
Receiving additional income: If you receive additional income after you have filed your original return, you may need to file a revised return to report this additional income and pay any additional taxes that may be due.
Claiming additional deductions or credits: If you become eligible for additional deductions or credits after you have filed your original return, you may need to file a revised return to claim these deductions or credits.
Penalties For late ITR Filling
There are several penalties that may be imposed for failing to file ITR or for filing it incorrectly. Some common penalties for failing to file ITR or filing it late include:
Interest on unpaid taxes: If you fail to file ITR or pay your taxes by the due date, you may be charged interest on the unpaid amount. The interest rate is usually around 1% per month.
Late filing fees: If you file ITR after the due date, you may be required to pay a late filing fee. The amount of late fee is 5000 u/s 234F and 1000 for the taxpayer if the total income is less than 5 lakh.
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Disallowance of exemptions and deductions: If you fail to file ITR or file it late, you may not be able to claim exemptions or deductions that you would otherwise have been eligible for.
It’s important to note that these penalties can be avoided by filing ITR on time and accurately. By staying up to date with your tax obligations, you can avoid the potential consequences of failing to file an ITR or filing it incorrectly.