Penalty on late filing of ITR
Penalty for filing ITR post the deadline was announced in Budget 2017 and came into effect from the AY 2018-19, for the tax returns filed for FY 2017-18. Prior to this, it was the sole discretion of the assessing officer to levy penalty if the individual failed to file his/her tax return before the end of the relevant assessment year.Section 234F was introduced in the Income Tax Act which made late filing mandatory.
The late filing fee structure is as follows:
| Date of filing ITR | Amount (Rs) |
| After August 31 but on or before December 31 | 5,000 |
| Between January 1 and March 31 | 10,000 |
Penalty for Late Filing of Income Tax Return
For small taxpayers whose total income does not exceed Rs 5 lakh, the maximum late fee amount will not exceed Rs 1,000 irrespective of when it is filed, i.e., before March 31.
Do remember that if an individual's gross total income does not exceed the basic exemption limit, then he/she will not be liable to pay late filing fees if he/she files belated ITR. As per the current income tax laws, the basic exemption limit is as follows:
| Age of resident individual | Basic Exemption limit (Rs) |
| Below 60 years | 2, 50,000 |
| 60 years or more but below 80 years (senior citizen) | 3,00,000 |
| 80 years and above (Super senior citizen) | 5,00,000 |
Missed filing income tax return? Face penalty or even jail term
However, there is a catch on non-levy of late filing fees on belated ITR in the above case. If a resident individual has income from foreign assets and he files belated ITR, then late filing fee will be levied even if gross total income does not exceed the tax exemption limit.
