Missed filing Income Tax Return for FY 2013-14 and FY 2014-15? Last Chance to file your Income Tax Return before 31 March 2016

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The deadline to file your Income Tax Return has already lapsed. Income Tax Act Says, If a person has not furnished the return of income within the time allowed under section 139 (1), then he may furnish the return of income at any time before the expiry of one year from the end of the relevant assessment year or before the completion of assessment, whichever is earlier. So the assessee who has not filed his return for Financial Year 2013-14 can has last chance to file before March 2016 and person who has not filed his income tax return for 2014-15 has last chance to file before March 2017 with penalty or before March 2016 without penalty

There are many advantages to file return on time. The most important is that you can revised the return later also. Return filed after due date cannot be revised. Filing return before due date make you eligible to carry forward your losses of the business which can be set off for future profits. Filing after deadline you are not allowed to carry forward the losses of business.

Penalty for Delay in Filing

An Assessee can file his Income Tax Return for Financial Year 2014 -2015 before 31 March 2016 to avoid penalty and interest. For the Financial Year 2013-14 the last date to file Income Tax Return is 31 March 2016 with penalty. Penalty is Charged Rs 5000/- for delay in filing. However most of time penalty is waived or not charged.

Interest Penalty on Unpaid Tax

Interest @ 1% p.m. on the balance tax payable from the due date to the actual date of filling gets attracted on failure to file Returns within the due date. The Assessee has to calculate Tax amount due and pay penal interest.

Important Points

1. As returns cannot be revised, be extra careful while filing as figures cannot be revised later.
2. Check Proper Bank Account details which are filed in the return for processing of Refund
3. Even if there is loss, you will have to forgo the benefit of carrying forward losses incurred under the head `Capital Gains' and `Business Losses in case you fail to file returns before due date.
4. You have to pay interest for delay filing before filing the returns.
5. Penalty is levied at the discretion of Assessing Officer and in most cases it is not levied.

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Post Credit: Chirag Chauhan, Tax Expert