Missed Benefits on Not Filing ITR
- Carry Forward of Losses: If you have incurred business or capital losses, you can usually offset them against future income. However, not filing your ITR means you lose this opportunity.
- Processing of Refunds: If you’ve overpaid taxes, you’re entitled to a refund. But without filing your ITR, the refund process gets delayed or even halted.
- Loan Applications and Visas: Many lenders and visa authorities require ITR filing as proof of income and compliance. Failing to file can hinder your loan eligibility or visa application.
The consequences escalate with the delay in filing. It’s always better to file a late income tax return than not at all, even if you have to pay a penalty. Ignorance of the law is not an excuse. Familiarize yourself with basic tax rules and deadlines to avoid complications.
Additional Resources:
What is Income Tax? | Tax Slab | Deductions Allowed
Types of ITR | Which ITR Should I File?
How to calculate Income Tax on salary (with example)?
What Will Happen if We Don’t File ITR?
In India, filing your Income Tax Return (ITR) is not just a formality – it’s a legal obligation. While navigating the tax system can be complex, neglecting your ITR altogether can have significant consequences. Let’s explore what happens if you miss the deadline: