Return filing for AY 19-20


Time Limit under Section 139(1) taxpayers are required to furnish the return of income on or before the due date mentioned in Section 139(1) of the Income-Tax Act. For Assessment Year 2019-2020, as per section 139(1), the due dates mentioned were 31st July 2019, and 30th September 2019 for different types of assessees. Belated Returns under section 139(4) If the ITRs could not be filed on or before the above due dates, then a Belated Return under section 139(4) can be filed at any time.  This can happen before the end of the relevant assessment year or before the completion of the assessment, whichever is earlier. So, for AY 19-20, the due date for filing a belated return was 31st March 2020. Extension of time limit by CBDT Considering the COVID-19 situation and the difficulties faced by the taxpayers, CBDT extended the time limit for filing belated and revised ITRs for AY 19-20. For those who had not filed the return on time, the due date was March 31, 2020, which was later extended to June 30, 2020, and again to July 31, 2020, and later to September 30, 2020. Now, the CBDT has extended the last date for furnishing of belated and revised ITRs for Assessment Year 2019-20 from 30th September 2020 to 30th November 2020. Fees & Penalties for default in furnishing ITRs Under the Income-Tax Act, when an individual is required to furnish a return of income under section 139 but fails to do so within the time prescribed in section 139(1), he shall attract fees and penalties for default in furnishing the ITR. • Late Filing Fee under Section 234F has been tabulated below:   Return Filing Date  Late Filing Fee     Total Income < Rs 5 Lakhs Total Income > Rs 5 Lakhs     Between Sep 1,2019  to Dec 31,2019 Rs 1,000 Rs 5,000     After Dec 31,2019 but  Before Mar 31,2020 Rs 1,000 Rs 10,000      • Taxpayers shall also be liable to pay interest at a simple interest rate of 1 percent per month or part of the month till the date of filing of return under section 234A of the Income-Tax Act for default in filing Return of Income, in addition to the above late filing fees.   • Additional Interest, under Section 234B shall be payable if there is a default in payment of advance tax during the FY 2018-19. Additional interest has to be paid if the assessee has discharged less than 90 % of liability by advance tax, at 1% per month or part of the month till the date the entire tax liability has been paid. Other Implication for default in filing ITRs • In case you are eligible to claim a refund of the excess taxes paid and you have not filed a return on time, you may get delayed Refunds. • 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, carry forward losses are permitted. • For quick visa processing, copies of tax returns are to be furnished at the time of visa application. • Filing ITR will help to get easy loan approvals.