9 Consequences of Belated ITR Filing in India

May 18, 2025 Kuhu Verma

Late Filing Fee

Under Section 234F, missing the ITR deadline can cost you up to Rs 5,000. Source: canva

Tax Due Interest

Unpaid taxes trigger interest at 1% per month or part thereof from the due date till the filing date. - Section 234A Source: canva

Loss of Interest on Refund

Any tax refund gets delayed, and you might lose interest on it depending on when you file the return. Source: canva

Non-Carryforward Losses

Belated ITR filers cannot carry forward certain losses, like capital gains or business losses, into future years to set off against profits. Source: canva

Delayed Processing

Last-minute or missed deadlines means your return goes to the bottom of the processing queue. Source: canva

Increased Scrutiny

Belated returns may attract additional scrutiny from the Income Tax Department, especially if your profile or data mismatch is flagged. Source: canva

Revised Returns Eligibility

If you miss the original deadline, you lose the right to revise your ITR—even if you discover an error later. Source: canva

Loan or Visa Barrier

Banks and consulates often ask for timely filed ITRs. A belated return can create hurdles in getting loans or visas approved. Source: canva

Prosecution

In extreme cases, a belatd ITR filing might lead to legal intervention. Source: canva

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