Penalty for Not Filing Income Tax Return (ITR) in 2023

May 11, 2023 Rajeev Kumar

There are several disadvantages or penalties for not filing Income Tax Return (ITR) on time in AY 2023-24. Read on to find

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You will have to pay penalty of Rs 5,000 for not filing ITR by the due date for an assessment year.

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The fine could reach Rs 10,000 if you fail to file even a belated ITR.

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If you owe any taxes and do not pay them by the last date, you will have to pay interest on the amount still owed.

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If you have paid excess taxes in a year, you cannot claim Income Tax Refund if not filing ITR on time.

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You may not get a credit card if not filing IR on time.

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Your eligibility for taking a loan will suffer as banks ask for three year ITRs to assess your income and repaying capacity.

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ITR filed after the due date has more chances of scrutiny by the taxmen.

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You cannot set off-off or carry forward capital gain losses if not filing ITR on time.

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If filing ITR on time, you will get time till the end of year to rectify errors.

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