Updated ITR Filing Last Date: If you fall in the category of people who have missed the belated or revised income tax return filing date for FY 2021-22 (AY 2022-23) by December 31, 2022, then worry Don’t You still have a chance to file ITR.
Budget 2022 has introduced an option to file an updated ITR (ITR-U) for individuals who have missed the chance to file tax returns for a financial year. In this, offers are also being given by the government. For the assessment year 2020-21, only 50 percent of the interest and tax will have to be paid. For the assessment year 2021-22 and assessment year 2022-23, total tax and interest will have to be paid at 25 percent.
Earlier, a person could file three types of income tax returns: Original (filed on or before the due date), Belated (filed on or before 31st December) or Revised (submitted after the original file but on 31st December or earlier).
But the taxpayer cannot file the updated ITR or ITR-U in this case before the end of the assessment year March 31, 2023.
Penalty for not filing ITR-U
A person filing ITR-U is liable to pay some penal interest. If ITR-U for FY 2021-22 (age 2022-23) is filed within the first relevant assessment year – i.e. between April 1, 2023, and March 31, 2024. If ITR-U is filed between April 1, 2024 and March 31, 2025, then 50 percent additional tax will have to be paid on the outstanding tax.
Please tell, a person can file an updated return. If he has not filed any ITR earlier and does not have any income tax dues. However, for late filing of return under section 234F, the person will have to pay penalty.
Under Section 234F of the Income Tax Act 1961, a penalty of Rs 5,000 is imposed on a person filing ITR after the end of the due date – July 31, 2022 – in this cycle. However, small taxpayers with taxable income up to Rs 5 lakh will have to pay a penalty of Rs 1,000 only. This late filing fee should be deposited before starting the process of filing belated ITR.
Procedure to file updated ITR
The process of filing an updated ITR is the same as that of a normal ITR. Updated ITR is filed under section 139 (8A) of the Income Tax Act, 1961.
Once you have filed the Income Tax Return (Belated, Revised or Updated), make sure you get it verified within 30 days. If the filed ITR is not verified then the Income Tax Department will not take it for processing. Along with this, it will also be assumed that you have not filed ITR.