In this article our main objective is to save taxpayers from paying unnecessary penalties.
Government has introduced new income tax forms for AY 2018-19.
A new section Sec 234F is inserted to levy penalty for late filing of ITR. Sec 234F is effective from Assessment Year 2018-19 ( Financial Year 2017-18).
If ITR for AY 2018-19 is filed after due date (31th July for individuals without audit, 30th Sept for other persons) but before 31st December of the Assesment year (31-12-2018 in case of Assessment year 2018-19) then Penalty of Rs.5000/- will be levied and If ITR is filed after 31st Dec then Rs. 10000 will be levied as penalty.
There is some relief for small tax payer, If the total Income of assessee is below or equal to Rs. 5 Lakhs, then penalty will be restricted to Rs.1000 only.
Apart from penalty on late filing of ITR, if you make a mistake while filing for FY2017-18, then you would have time till 31 March, 2019 to file your revised return. Earlier a taxpayer was allowed to revise his returns up till two years from the end of the financial year for which the return was filed.
Thus, taxpayer are advise to file their income tax return before 31 july 2018 in order to avid late filling fees.
FOR FURTHER DETAILS CONTACT US.