This year the government has raised the penalty amount for missing the deadline, by imposing a fine up to Rs.10,000 as opposed to the Rs.5,000 imposed last year. income after claiming eligible deductions and tax exemptions, exceeds Rs 500,000 in the current financial year. Individuals with taxable income up to Rs 500,000 will have to pay a fine of Rs 1,000 if they file their ITR after December 31. For individuals whose taxable income is more than Rs 500,000, the same penalty will go up to Rs 10,000. Filing ITR dues also guarantees that the interest payable on the tax refund is calculated from April 1 of the relevant assessment year.

Source: Hindustan Times December 30, 2020 05:32 UTC