Avoid Late Fee: Be Alert of the Key Dates and Charges to File ITR in 2025

The filing of the Income Tax Return (ITR) for the financial year 2024-25 has commenced. The taxpayers are required to file their return within the due dates to avoid penalties or surcharge. Central Board of Direct Taxes (CBDT) also released notification for various ITR forms for various classes of taxpayers.

Below are the significant filing due dates for ITR considering taxpayer category:

• For individuals, Hindu Undivided Family (HUF), Association of Persons (AOPs), and Body of Individuals (BOIs) which are not mandated to obtain their accounts audited, due date for filing ITR is 31st July 2025.
• For taxpayers who require audit of accounts and are individuals or business persons, the due date for filing ITR is 31st October 2025. Domestic companies also have the same deadline, i.e., 31st October 2025.
• For those taxpayers who require revision in the return filed originally, the return may be furnished by 31st December 2025.

Penalty for delay in filing ITR

Late filing of ITR is penalized. If income is less than Rs. 5 lakhs, a penalty of Rs. 1,000 is levied. If income exceeds Rs. 5 lakhs, a penalty of Rs. 5,000 is levied under Section 234F of Income Tax Act. Additionally, if the taxpayer fails to pay the amount of tax payable along with the penalty, 1 percent monthly interest is levied under Section 234A.

Choosing Old or New Tax Regime

Two tax regimes are allowed to be chosen by taxpayers while filing ITR – the old tax regime and the new tax regime. The new regime offers exemption of tax on annual income up to about Rs. 12 lakhs without offering popular tax exemptions like Section 80C. The old regime offers exemptions and deductions that can reduce taxable income.

The choice between fresh and old regime depends on the taxpayer’s budget and willingness to get deductions.

Simply put, early ITR filing saves taxpayers from incurring money penalties and ensures tax compliance without any hassle. Deadline knowledge and consequences of delay are essential for efficient personal finance management.