Belated and Revised Return

A belated return implies the delayed filing of returns. If the taxpayer has not submitted his return of income within the due date as specified, or within the time allowed under a notice issued by an assessing officer, the need for filing a belated return arises. If an assessee discovers any omission, fault or wrong statement, a revised return may be filed. In this article, we look at the procedure for filing a belated and revised income tax return.

Due Date for Filing Income Tax Returns

The due date for filing income tax returns for salaried and self-employed individuals is 31st of July of each year. In case of a company or any person requiring tax audit, the due date for filing an income tax return will be the 30th of September of each year.

Due date for Filing of Belated Returns

Belated returns can be filed before the end of the relevant assessment year or before the completion of the assessment, whichever is earlier.

Penalty for Late Filing Income Tax Returns

It is always appropriate to be punctual as far as income tax filing is concerned. The new Income Tax rules, applicable from the current financial year (2017-18), prescribe a penalty of Rs. 5000 for returns filed after the due date and before 31st of December. If returns aren't filed by this period, a penalty of Rs 10,000 will be applicable. The income tax late filing penalty will be applicable for all persons whose income is above 5,00,000. People whose income is below 5,00,000 would be imposed with a penalty of Rs 1000. Moreover, delayed filing of returns makes it void to carry forward some of the losses to the subsequent year.

When to file a Revised Income Tax Return?

Revised return is filed on any omissions, mistakes or wrong statements made by the assessee during filing of income tax return. It must be noted that only unintentional mistakes are allowed to be revised. Revised returns have no room for concealment or false statement.

Due Date for Filing of Revised Returns

A revised return can be filed before the expiry of one year from the relevant assessment year or before the completion of the assessment, whichever is earlier.

Important Note: The Central Board of Direct Taxes (CBDT) emphasises that Foreign assets & income must be reported accurately in the ITR-2 form to avoid penalties of up to Rs.10 lakhs. The Income Tax Department allows taxpayers to correct any omissions or inaccuracies by filing a revised return. For the A.Y.2024- 25 revised return can be filed upto “December 31, 2024”.

How many times can revised return be filed?

Revised returns can be filed repeatedly, restriction comes only in the form of date, which means that revised return can be filed any number of times, until the prescribed date. Furthermore, a particular return can be revised despite availing refunds for the same.

Revising of Belated Returns

Belated returns filed under Section 139(4) can be revised. This is applicable for returns of the assessment year 2016-17 onwards, and not before that as the Income-tax laws were different prior to this period.

Revised Return's Impact on Carrying Forward Losses

The results of the revised return would substitute that of the original return, which implies that losses or incomes newly calculated would henceforth be applied, and the losses as updated in the revised income shall be carried forward.

Imporant Judicial Decisions Relating to Revised Income

The following are some of the judicial decisions related to revised income:

Mere discovery of omission/mistake wouldn't constitute a revised income, but a bona fide inadvertence or mistake would qualify for a revised return under Section 139(5).
Mistakes/omission must be discovered by the assessee himself. Any interference in discovery by the assessing officer wouldn't constitute a revised return under Section 139(5).
A revised return cannot be filed where the assessee merely changes status and the accounting year or for that matter the method of accounting.