Final Up to date: March 21, 2024, 12:29 IST
Taxpayers are mandated to submit an up to date Earnings Tax Return (ITR-U) by the tip of March 2024 for the fiscal yr 2021 (Evaluation 12 months 2021–22). ITR-U is a manner of correcting errors in beforehand submitted ITRs, corresponding to revenue underneath or misreported.
As soon as the relevant evaluation yr has ended, the Earnings Tax Act means that you can revise your ITR underneath Part 139(8A). An individual could also be topic to fines of as much as 200% of the tax due in the event that they fail to appropriate the errors and the taxing authority finds out.
Founding father of Delhi-based CA agency Ravi Rajan & Co., S Ravi, defined to the Financial Occasions that with impact from A.Y. 2017–18, a brand new part 270A has been carried out that stipulates a penalty of both 50% or 200% of the tax owed if a person hides revenue and doesn’t disclose it.
Nevertheless, the utmost penalty underneath Part 271 of the Earnings Tax Act, 1961 could be as much as 300% of the quantity payable until A.Y. 2016–17, S Ravi added.
When is the deadline for submitting an up to date return?
After the related evaluation yr ends, taxpayers have 24 months to file a revised return (topic to sure pointers). If taxpayers missed the deadline for FY20-21, they’ve till March 31 to file.
Who must file an ITR-U?
Taxpayers who both filed their ITR (on time, late or perhaps a revised return) or didn’t file their ITR for that evaluation yr can file their return doc along with an up to date return.
It must be famous that the ITR-U can’t be used to acquire a refund of tax paid.
Does submitting an ITR-U require paying extra taxes?
ITR-U can’t be submitted with out paying extra tax, relying on the situations.
The additional tax shall equal 50% of the entire tax and curiosity due by an individual upon submitting the revised return.
Nevertheless, if the up to date ITR-U is submitted after the deadline for submitting a revised or belated return has handed however earlier than the 12-month interval that ends with the tip of the related A.Y. has handed, 25% of the entire quantity of tax and due curiosity.
Who’s ineligible to file an ITR-U?
- In case an up to date return has already been submitted.
- For submitting a loss or nil return.
- To get or enhance the quantity of the return.
- If submitting a revised return reduces your tax obligation.
- A search course of underneath Part 132 has been launched in opposition to you.
- A survey is carried out per Part 133A.
- If belongings, information, or books are seized or demanded by the Earnings Tax authorities underneath part 132A.
- If an evaluation, reassessment, revision or re-computation is pending or has been accomplished.
- You can not file an up to date ITR if there is no such thing as a new tax outgo (that’s if the tax legal responsibility adjusts with TDS credit score or losses and also you don’t have any additional tax legal responsibility).
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