The principal Board of Direct Taxes (CBDT) has given a final possibility to taxpayers to complete pending tax returns for the preceding six evaluation years (AYs). In a circular dated nine may additionally, itturned into stated that that is being done to regularise sure returns. those could be income tax returns (ITR) which have remained pending due to the fact the ITR-V (acknowledgement) was no longeracquired. Returns for AYs from 2009-10 to 2014-15, which were uploaded electronically by using the taxpayer in the time allowed but have remained incomplete because of non-submission of ITR-V for verification, may also be allowed for verification through an electronic Verification Code (EVC).
it’s miles mandatory for all the taxpayers who have annual overall income of more than Rs.five lakh or have money back claim, to e-file their ITR. the next step is to affirm the use of ITR-V. earlier, there have been two options to do that: verification using a digital signature or through a signed form that was sentto tax branch’s Centralized Processing Centre (CPC).
thinking about that the general public do no longer have a virtual signature, from AY 2015-sixteen, e-verification of ITR-V the usage of a one time password (OTP), either through Aadhaar or internet banking,turned into brought. however many people overlook to finish the acknowledgement part of the manner, which technically method that the go back has not been filed.
Pending returns, where tax filers have not submitted their ITR-V in the stipulated time period of one hundred twenty days, can now be regularised for the cited years. “but the possibility is only for the oneswho have filed their return inside the due time, and their ITR-V is pending. It is not an possibility to reporta belated or revised go back,” said Amit Maheshwari, dealing with director, Ashok Maheshwary &associates, a chartered accountancy company.
if you appear to be many of the taxpayers whose ITR is pending due to non-submission of ITR-V, you willacquire an intimation regarding this from the tax department. you can also find out the popularityyourself by using logging directly to the tax department’s website: https://incometaxindiaefiling.gov.in.
click on the e-filing tab and below offerings, you will discover an choice ‘ITR-V Receipt fame’. inputyour permanent Account quantity (PAN) and AY or e-filing Acknowledgement quantity. If ITR-V has now not been acquired within the prescribed time, its popularity will now not be displayed, for you to implythat you need to take steps to finish the submitting manner.
you could both complete the verification system thru OTP or you could send a signed replica of ITR-V to CPC, present day with the aid of 30 August 2016, by way of speed publish.
If there is a pending refund, hobby on it’ll be calculated based totally at the regulations beneath section244(A)2 of the Act.
“This section provides for fee of hobby on refund due to the taxpayers on the price of 1.5% in step withmonth,” said Suraj Nangia, associate, Nangia & Co. however, “sub-segment 2 to phase 244A presents thatwhere the motives for put off in processing of refund is on account of the taxpayer, such period of put offresulting from the assessee shall be excluded whilst computing the length for which interest in refund is payable,” added Nangia. In different phrases, if your ITR-V is pending, it will be regarded as your mistake, and hobby on due refunds will be calculated most effective until the date of submitting returns.
at the same time as the circular states that those returns can be regularised, it additionally warns taxpayers against not finishing the pending ITRs even after this final opportunity. “In case the taxpayerinvolved does now not get his return regularized by way of furnishing a legitimate verification (both EVC or ITR-V) until 31.08.2016, important results as provided in law for non-filing the go back can alsoobserve,” it said.
So, what will be the penalty for nonetheless not completing the manner for these particular years?
“effects of non-submitting ITR-V inside the time allowed are vast as this kind of go back may bedeclared ‘Non-Est’ (does no longer exist) in keeping with the regulation and the assessee shall face repercussions. as an example, underneath phase 271F a penalty Rs.5,000 may be levied. An interest can be levied on pending taxes, and others,” said Nangia.
if you have now not filed your ITR-V for any of the six years cited above, or in case you are not sure of having submitted the acknowledgement, check the status on the tax department’s website and do theneedful as early as possible. This is a great opportunity to get your tax filings in order.