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Filing of Income Tax Return & Few Points


Every Individual, whose taxable income exceeds the prescribed exemption limit (which is Rs. 2,50,000 for male/female assesses and Rs. 3,00,000 for those above 60 years of age [i.e. Senior Citizens) and 5 lakh for Very Senior Citizens those above 80, is required to file an ITR on or before the prescribed due date. If you have agriculture income as well as non-agriculture income and your non-agriculture income is less than the minimum threshold limit, you will not be obliged to file an ITR. In case of a deceased person, his executor, administrator or other legal representative would be required to file an ITR for the deceased.

What is the Due Date ? :

The prescribed due date is September 30, 2015 for F/Y 2014 -15, if the individual, being a sole proprietor, whose accounts are subject to tax audit or is a partner of a partnership firm whose accounts are subject to tax audit. In all other cases, the due date is July 31, 2015

Who should sign the ITR ? :

The ITR is required to be signed by the individual himself or herself. However, in case the individual is not physically present in India to sign the ITR or in case of a Non-resident, a power of attorney holder could sign the ITR. In case of deceased assessee, the executor, administrator or other legal representative would be required to sign the ITR.

A word of caution: An unsigned return is not a valid return.

Can you file ITR electronically?: Well, yes an ITR can be filed electronically on the website ( with or without a digital signature. In case an ITR is filed online without the digital signature, the acknowledgement generated is required to be signed and sent to the Central Processing Centre (CPC).

Are any documents needed?:

Currently, no documents can be submitted alongwith the ITR. However, the tax authorities sometimes ask for a copy of the PAN card or acknowledgement of previous ITR filed, to verify the tax jurisdiction. In case the ITR is signed by a legal representative, copy of the power of attorney is required to be filed.

Mandatory E.Filing of ITR - For whom?

The process of electronically filing Income tax returns through the internet is known as e-Filing.

  • e-Filing of Returns / Forms is mandatory for any assessee having total income of Rs. 5 Lakh and above, Individual! HUF, being resident, having assets located outside India from NY 2012-13 and subsequent Assessment Years.
  • An assessee required to furnish a report of audit specified u/s 1 0(23C)(iv), 1 0(23C) (v),1 0(23C)(vi), 10(23C)(via) , iDA, 12A(1)(b), 44A8, 80-IA, 80-IB, 80-IC, 80-ID, 8OJJAA, 8OLA, 92E or 115JB of the Act, shall furnish the said report of audit and the return of Income electronically from A/Y 2013-14 and subsequent Assessment Years.
  • All companies.
  • Firm (to whom provisions of section 44AB is not applicable), AOP, BOl, Artifici Juridical Person, Coop Society and Local Authority required to file ITR 5 from NY 2014 -15 & subsequent Assessment Years. An assessee required to funish return u/s 139 (4B) in ITR7.
  • A resident who has signing authority in any account located outside India.
  • A person who claims relief u/s 90 or 90A or deduction u/s 91.
  • individuals primarily with salary income and certain other tax payers are required to file their tax returns by July, 31st, for the F/Y 2014 -15 (A/Y 2015-16).

Belated Tax Returns :

As per the provisions of the Income Tax Act, 1961 (the Act), a tax payer who has not filed his tax returns within the due date or as per the time specified under a notice issued to him by tax authorities, may do so for a financial year before the expiry of one year from the end of relevant assessment year or before the completion of assessment, whichever is earlier. Thus, in case a tax payer has missed his due date of filing his returns by July, 2015 - for the F/Y 2014-15, he could still file his tax return by March 31,2017.

Penalty for Non-filing:

If a tax payer fails to file his returns before the end of the relevant assessment year, then tax authorities may impose a penalty of Rs. 5,000. Therefore, it would be prudent for the tax payer who has missed the deadline to file his returns latest by March31, 2017, to avoid any penalty.

Revised Returns:

Furthermore, there may also be instances where returns have been filed by the due date and subsequently, the tax payer finds some error in the same. In such an event, he may file revised returns any time before expiry of one year from the end of the relevant assessment year or before the completion of the assessment, whichever is earlier.

Defective returns:

It is also possible that certain errors are observed by the Tax Department in the filing. Thus, where such authorities consider that returns of income are defective, they may intimate the anomaly to the tax payer and give him a chance to rectify it within 15 days from the date of such intimation or within such further period as may be specified. If the tax payer fails to correct, then the returns filed by him shall be treated as invalid and the provisions of the Act shall apply as he has failed to file his tax returns.

Why one should stick to the deadline of July, 31 to file IT. Returns ?

July31 is the last date for filing IT returns. But a lot of people use the two year extended window to file their returns.

Is this advisable ? And what are the implications of missing the July31 deadline?

As per Income Tax Department of India: “A tax return may be furnished any time before the expiry of two years from the end of the financial year in which the income was earned.” This means that if you earned your income during F/Y 2014 -15, you may file a belated return any time before 31 s March, 2017. –

But there are some disadvantages if you don’t file your returns on time.

You will not be able to carry forward your Business loss (Speculation or otherwise), capital loss, loss due to owning and maintaining of race horses.

Loss of Interest on refund :

You may lose interest on refund u/s 244A specially in case if you are claiming a Major amount as refund.

You cannot revise your return.

Late filing can delay processing for tax refunds.

Incremental Interest uls 234A:

If the tax has not been paid before the end of the tax year concerned and you file the return late, incremental interest at the rate of 1% p.m. will be payable on the unpaid amount after the due date. This is in addition to the 1% p.m. interest for Non-payment of Advance Tax, i.e., tax due after tax deduction at source exceeding Rs. 10,000. Thus, late returns can result in an additional interest burden.

If no tax is due and return is delayed then one can file the return after July, 31. No penalty, no penal interest, only in a situation when no tax is due.


Time Limit for Reopening Assessmert:

Time limit from the end of the relevant Assessement Year

If the escaped income is Rs. 1 lakh or more.

Upto six years.

If the escaped income is less than Rs.1 Iakh.

Upto four years.


Time Limit For Filling Return Of Income [Section 139]


Nature of Compliance

Time Limits of relevant assessment year ( For A.Y. 2014-2015)


Where the assessee [other than an assessee referred to in, clause (aa)]

30th September


(i) Return of income by a corporate assessee
other than a company referred to in clause (aa)]

30th September

(ii) Return of income by a non-corporate assessee-
(a) whose accounts are required to be audited
(aa) Assessee being a company, who is required to furnish a report in Form 3CEB u/s 92E


30th September

(b) who is a working partner of a firm and the accounts of which are required to be audited

30th September

(c) in other cases

31st. July

(d) In the case of person other than company referred in the first proviso of section 139(1).

31st. October


Return of loss

Within time allowed u/s 139(1)


Belated return of income

Within 1 year from the end of the relevant assessment year or before completion of assessment, whichever is earlier.


Return of a person derived from property held under trust/legal obligation, wholly or partly for charitable or religious purposes etc

  • 30th September (where the accounts are required to be audited.)
  • 31st. July ( Other Cases)


Return of Political Party

  • 30th September (where the accounts are required to be audited.)

31st. July ( Other Cases)


Revised Return

Within 1 year from the end of the relevant assessment year or before completion of assessment, whichever is earlier.


Rectification of defect in return

Within 15 days from the date of intimation by Assessing Officer or extended time.


Application for allotment of Permanent Account Number (PAN)

On or before 31st May of assessment year where income exceeds maximum amount not chargeable to tax or before the end of previous year, where the sales, turnover or gross receipts are likely to exceed Rs. 5 lakh.

Note :
    Failure to file Returns within the due date attracts interest @ 1% p.m. on the balance tax payable from the due date to the actual date of filling.

    If a person required to file Return u/s 139(1) fails to file Return before the end of the relevant Assessment Year a penalty of Rs. 5,000 shall be levied.

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