ITR Filing Deadline Extension Live: Last Day To File Returns — Check Process, Penalty And Mistakes To Avoid

1. For FY 2024-25, resident individuals with taxable income up to Rs 7 lakh are eligible for a rebate of up to Rs 25,000 under the new tax regime under Section 87 A. 

2. A standard deduction of Rs 75,000 is also available to salaried individuals under the new tax regime.

3. Taxpayers who opt for the new tax regime can choose Section 80CCD(2) to claim deduction for employer contributions to the Central Government Pension Scheme. There is a deduction limit of up to 14% of the employee’s salary.

4. Section 24(b) allows deduction on interest paid on housing loans. In the case of let-out properties, there is no maximum limit on the amount of interest that can be claimed as a deduction.

5. Contributions made toward Agnipath Scheme can also be claimed.

If you owe taxes and fail to file the return, interest will be levied on the unpaid tax amount under Section 234A of the I-T Act. A simple interest of 1% per month (or part of a month) will be charged on the unpaid tax, calculated from the return filing due date until the actual filing date.

If you deliberately fail to file your ITR despite receiving notices from the Income Tax Department, the assessing officer can initiate prosecution proceedings. This may lead to imprisonment ranging from three months to two years, along with a fine. If the unpaid tax amount is substantial, the jail term can extend up to seven years.

If one fails to file the ITR by the due date, then they could face a penalty under Section 234F of the Income Tax Act, 1961. A delay could attract a late fee of Rs 5,000.

However, if the total income is below Rs 5 lakh, the penalty is limited to Rs 1,000. It’s advisable to file your ITR within the due date and avoid the penalties.

The income from multiple sources, such as investments, capital gains, rental properties and multiple employers, should be declared properly in the ITR filing to avoid notices and penalties.

For taxpayers with multiple sources of income, it’s advisable to declare all income sources and amounts clearly in the ITR form. It’s also necessary to submit relevant documents where needed.

Earlier, the Central Board of Direct Taxes (CBDT) had extended the original July 31 deadline to Sept. 15 due to changes in ITR forms and Excel utilities. But with just hours left, many are still facing challenges in completing their income tax filing.

If a taxpayer misses the ITR deadline and fails to report the income within the stipulated time, they are likely to face penalties. The Income Tax Department allows taxpayers to file belated returns, but it may come with additional fines.