E-file your income tax return (ITR) online through Delhi GST & Tax Experts quickly at lowest pric…

E-file your income tax return (ITR) online through Delhi GST & Tax Experts quickly at lowest price. Get support from income tax experts for ITR filing. Consequences of Not Filing by the Due Date Prosecution

The income tax officer can initiate proceedings for prosecution if the person willfully fails to file a return even after issuing notices. The imprisonment can be for a term of three months to two years with a fine.

If the tax you owe to the income tax department is higher, the prosecution period may extend to seven years.

Penalty

Further, the income tax officer may impose a penalty of up to 50% of the tax due in case of underreporting income.

Apart from the penalty levied by the IT department, there are other consequences that a taxpayer may face for late filing of returns:

Unable to set off losses

Losses incurred (other than house property loss) are not allowed to be carried forward to subsequent years. You cannot set off these losses against future gains if the return has not been filed within the due date. However, if there are losses under house property, carrying forward losses is permitted.

Interest in the delay of filing the return

Apart from the penalty for late filing, interest will be charged under Section 234A at 1% per month or part thereof on tax due until the payment of taxes.

The interest calculation under the said section will start from the date falling immediately after the due date, i.e. 31 July 2025 for FY 2024-25.