Update 7:08 PM: The government has extended the 2019-20 ITR filing deadline till January 10.
If you miss filing Income Tax Return (ITR) on the due date, i.e. December 31, for the financial year 2019-20, you will have to pay a double penalty, as per the order by the government.
The fine this year for missing ITR filling has been increased from Rs 5,000 from last year to Rs 10,000. The practice of charging late filing fees under section 234F was introduced in the Budget of 2017. The same has become effective for the financial year 2017-18.
The penalty on late filing of ITR is applicable to individuals earning Rs 2,50,000 and more. For the unaware, people whose yearly net income is between Rs 2,50,000 to 5,00,000 don’t have to pay tax to the government but are required to file ITR. And failing to do so will invite a penalty of Rs 1,000.
For individuals whose net total income, i.e. income after claiming eligible deductions and tax exemptions, exceeds Rs 500,000, have to pay Rs 10,000 in penalties in case they miss filing ITR on December 31.
There are, however, some exemptions to the above rule. And these would be:
- Individuals who have deposited an amount or aggregates of the amount exceeding Rs.1 crore in one or more banking accounts
- A person who has incurred expenditures exceeding Rs 2 lakh due to foreign travel.
- Individuals who incur expenditure or aggregate expenditures of Rs 1 lakh and more due to electricity consumption.