Government has not extended the deadline for filing income tax returns for the financial year 2023-24. The last date for filing ITR was July 31, 2024. If you are unable to file your income tax return, then you can file your return by paying a penalty till December 31, 2024. However, there are many disadvantages of filing late returns. For filing ITR after the deadline, you have to pay a penalty of Rs 5,000 and interest under section 234A of the Income Tax Act, 1961.
You cannot choose the old tax regime
Another big disadvantage of filing returns after the deadline is that from August 1, 2024, one cannot opt for the Old Tax Regime while filing their tax returns for FY24. The default tax regime under the current income tax laws is the New Tax Regime. If you file ITR late, you will not be able to claim tax exemptions available under the Old Tax Regime rules.
Penalty will also have to be paid
If you have not been able to file your return by July 31, then now you can file ITR by paying your penalty till December 31, 2024. If late ITR is not filed by December, then individuals will only be able to file updated returns. In this, 25-50% penal interest will have to be paid on the tax dues, along with a fine of Rs 5,000. Filing updated ITR can increase tax payment. According to tax experts, there are many disadvantages of not filing ITR. These include penalty, notice etc.
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