"Income Tax Return" is a term which is often used when we talk about income tax. It is a way by which we pay this tax. When total annual income of a person, including all sources, is more than maximum unchargeable limitation ( At present it is Rs. 1,50,000/-) then that person is liable to pay income tax.
Any person not filing the return within the time mentioned is allowed to file a late return at any time before the expiry of one year from the end of the relevant assessment year or before the completion of the assessment year, whichever is earlier.
Penalty for delay filing of return is calculated as a percentage of the shortfall of tax. In case where tax has been deducted at source, or advance tax has been duly paid, no penalty is leviable.
If the return of income furnished by the assessee is defective according to assessing officer, it is intimated to the assessee and given an opportunity to rectify the defect within 15 days from the date of such intimation or within such further period as may be allowed by the assessing officer on the request of the assessee. If this is not rectified by the assessee within the aforesaid period then the return shall be deemed invalid and further it shall be deemed that the assessee had failed to furnish the return.
Under section 139(1) of the Income Tax Act, there are additional six conditions, which forces a person to file his income tax return. These condition are:-
- Owner of a Motor vehicle
- Owner of immovable property
- Person who does foreign-travel
- Subscribers of a telephone
- Holder of a credit card
- Incurs expenses on himself