Missed to file ITR: You might get jailed for as much as seven years. Check particulars

ITR submitting 2023: If you might have didn’t file your earnings tax return (ITR) for the Financial yr 2022-23 by July 31, you possibly can nonetheless file a belated return until 31 December, however that comes with a value. The final date to file ITR handed on July 31, and as anticipated the federal government didn’t lengthen the deadline for a similar. While knowledge confirmed that the overall variety of ITR filers has scaled a peak with over 6.50 crore ITR fillings until 6 pm Monday. Of the overall, about 36.91 lakh ITRs have been filed at the moment until 6 pm, Income Tax Department mentioned in a tweet on July 31.

From jail to penalty: Repercussions of lacking ITR submitting deadline

ITR submitting after the due date will entice penalties relying upon the earnings tax slab through which the person taxpayers fall. They may even land in jail for such earnings tax return violations and the jail sentence may be to the tune of a minimal of three years and a most of seven years.

“The penalties of lacking the deadline may lead to penalties. Taxpayers who fail to file their ITR by the deadline might incur a penalty of ₹5,000 below Section 234F. However, for people with an earnings of lower than ₹5 lakh, the penalty can be a diminished quantity of ₹1,000,” said Abhishek Soni, CEO and Co-founder Tax2win.

“Failing to file ITR by given final date, the earnings tax division might levy a penalty of fifty per cent to 200 per cent on taxpayer’s precise earnings tax outgo, along with the tax and curiosity legal responsibility until the date a taxpayer information its ITR in response to the earnings tax discover from the division,” Mumbai-based tax and investment expert Balwant Jain said.

Also Read:  Why salaried individuals should not indulge in F&O trading

He added that the Indian government has the power to initiate prosecution against the salaried individuals who have missed filing ITR by 31st December 2023.

“The current earnings tax guidelines prescribe a minimal sentence of three years of imprisonment and a most sentence of seven years of imprisonment. It will not be that the division can launch prosecution in opposition to you in every occasion of failure to file the ITR. The earnings division can launch prosecution solely in case the quantity of tax sought to be averted exceeds ₹10,000,” mentioned Balwant Jain.

Not submitting ITR on time might lead to a protracted watch for the earnings tax refund.

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Updated: 01 Aug 2023, 12:37 PM IST