Whatever the deadline for submitting an ITR, we often forget everything at the very end and manage and sometimes miss the deadline. As you know, the Central Commission for Direct Taxes (CBDT) has extended the deadline for submitting the ITR for the 2020-21 fiscal year once on 31 December. However, if you forget to submit the ITR on time, you will pay a penalty of 5,000 rupees. Recall that the previous deadline was September 30th.
For the inexperienced, the penalty for late submission of ITR was 10,000 rupees until last year, but this year it has been reduced to 5,000 rupees. Until last year, if a person submitted an ITR between August-December or December-March, the total late fee had to be paid Rs 10,000 (Rs 5,000 each time). However, the maximum amount for the current evaluation year has now been raised to 5,000 rupees.
In particular, if someone’s annual income is less than 5 rupees, no income tax will be paid for the annual income of less than 5 rupees, so a penalty of 1,000 rupees will have to be paid. However, under Section 234A of the Income Tax Act, if a person pays more than 1 rupee, he will be fined 1% per month. This penalty will continue to be imposed until you submit the ITR.
ITR alert! Delayed submission of the ITR can cost Rs 5,000 and only these taxpayers are exempt.
Source link ITR alert! Delayed submission of the ITR can cost Rs 5,000 and only these taxpayers are exempt.