With the Calendar 12 months set to culminate in just a few days, there are just a few income tax deadlines which are set to run out on the identical time. These deadlines relate to the submitting of belated earnings tax return (ITR), Vivad Se Vishwas and declaration of overseas belongings.
Allow us to perceive every of the three intimately right here:
I. Submitting of belated return: Usually, the final date to file earnings tax return (ITR) is July 31 for the previous monetary yr. And people tax filers who fail to file their earnings tax returns by July 31 are permitted to file their tax return three months earlier than the top of the evaluation yr i.e., by December 31.
Nonetheless, taxpayers should pay a small fee once they file a belated tax return. For the gross earnings upto ₹5 lakh, late submitting charge is ₹1,000 and for the gross earnings greater than ₹5 lakh, the late submitting charge is ₹5,000.
II. Vivad Se Vishwas: The finance ministry division rolled out a dispute decision mechanism referred to as Vivad Se Vishwas (a Hindi phrase which accurately means belief from communication) whereby taxpayers can keep away from authorized disputes by paying tax earlier than Dec 31.
There are, nevertheless, some phrases and circumstances that apply. As an example, the matter ought to at present be into consideration by a court docket of regulation for this to be resolved beneath Vivad Se Vishwas. The earnings tax division launched a set of frequently asked questions to resolve the doubts among the many taxpayers’ minds.
III. Declare overseas earnings: A while in the past, the earnings tax division introduced that taxpayers should declare foreign assets and earnings earlier than Dec 31, failing which they are going to be made to pay a positive of ₹10 lakh. The rule primarily applies to these taxpayers who didn’t report their overseas earnings within the return they’ve already filed, and subsequently, they’re meant to file a revised return with overseas earnings added to it.
Failure to reveal overseas belongings and earnings can result in stringent penalties and prosecutions beneath the Black Cash (Undisclosed International Revenue and Belongings) and Imposition of Tax Act, 2015.
