How To File Updated ITR: In view of the bad economic conditions going on for some time, many companies are doing layoffs. Not only the new ones, but many big companies are also being affected by the adverse situation.
Update ITR Deadline: Filling Income Tax Return is beneficial in many ways. First of all, you avoid getting trapped in unnecessary legal tangles, while it is also needed in taking a loan. However, even after this, there is no dearth of people who forget to file ITR. Many times people are careful, but due to the habit of procrastinating, the deadline is crossed. Later such people are left with only the option of repenting.
Income tax sends this notice
If you also do not file income tax return within the stipulated time, then the Income Tax Department can send you a notice under section 142 of the Income Tax Act. Especially if you fall under the taxable bracket, then non-filing of returns can lead to a lot of difficulties. However, there is no need to panic after seeing the notice received under section 142 of the Income Tax Act. This is actually a reminder from the department, which is sent to the taxpayer to remind him to rectify the mistake. Yes, if you take it too lightly, then the matter can become serious.
Second deadline passed
Before proceeding further, let us tell you that the date for filing income tax return for the financial year 2021-22 i.e. assessment year 2022-23 was 31 July 2022. If the taxpayer is not able to file the return by July 31 for any reason, then the Income Tax Department gives him a chance. In such cases, the taxpayer can file belated ITR by December 31, 2022, by paying a late fee of Rs 5,000. There is a late fee of Rs 1,000 if the total income does not exceed Rs 5 lakh in a financial year. In addition, penal interest is charged.
There is still this chance
Now the question arises that what will happen if you have missed the chance to file the belated return… We are going to tell you the same. The Finance Act, 2022 has given the facility of new Income Tax Return (ITR) filing, which is named as Updated Return (ITR-U). For this, a new sub-section 8(A) has been added to section 139 of the Income Tax Act. If there is any mistake or mistake in your old ITR or there is any income which you forgot to show, then you can choose the path of updated return. Apart from this, even if you have not filed the return earlier, you can also use the updated return. Updated returns can be filed up to two years from the end of the relevant assessment year.
Have to pay this price
However, you will have to pay the price for this. Additional tax equal to 25% of the tax and interest will be payable if the updated return is filed within 12 months from the end of the relevant assessment year. Similarly, after 12 months and before 2 years, 50 percent additional tax will have to be paid for filing updated returns, apart from this, late fees will also have to be paid.
Keep this in mind
There is one more thing to note. You get a chance to file an updated return only once. In such a situation, while filing the updated return, keep in mind that no additional income should be left out, because if you fail to show any income, then you will not get a chance to file the updated return again.
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