Income Tax Return Late Fees:

• If Income is Upto Rs. 5 L: Rs. 1000 [Section 234F]
• If Income is More than Rs. 5 L: Rs. 5000 [Section 234F]
• No Late Fees if Taxpayer was not required to file ITR. [Section 234F is applicable on Taxpayers who were liable to File Return under Section 139]

Text of Bare Act

Fee for default in furnishing return of income.

234F. (1) Without prejudice to the provisions of this Act, where a person required to furnish a return of income under section 139, fails to do so within the time prescribed in sub-section (1) of the said section, he shall pay, by way of a fee, a sum of five thousand rupees :

Provided that if the total income of the person does not exceed five lakh rupees, the fee payable under this section shall not exceed one thousand rupees.

(2) The provisions of this section shall apply in respect of the return of income required to be furnished for the assessment year commencing on or after the 1st day of April 2018.

Section 234A

• The provisions of section 234A will continue to be applicable as before. Introduction of new section 234F  will not have any impact. As per section 234A, if the tax amount is not paid within the stipulated due dates then simple interest is levied at the rate of 1% per month or part of it on unpaid amount of tax  due.
• The interest u/s. 234A will be payable for the period starting from due date of filing return till the date the return is filed.
• In case the return of income has not been filed at all then interest will be calculated from the due date till the date of completion of assessment order passed by the assessing officer.