- The last date to file income tax return was extended till August 5
- But, returns can still be filed after paying penal interest
- Assessing officer could levy a penalty of Rs 5,000 for belated returns
Under section 271F, the assessing officer could levy a penalty of Rs. 5,000 for belated returns (ITR).
You can file belated return till March 2018 for financial year 2016-17. But the only difference is that you have to file ITR under section 139(4) instead of filing your ITR under section 139(1).
However, you may not be able to avail some tax benefits like carrying forward of capital losses over next assessment years. Income tax rules in India allow loss under the head 'capital gains' to be set off against any profit under 'capital gains' head in the following assessment years.
'Long term capital loss' can be set off only against 'long term capital gains'. But, 'short term capital losses' are allowed to be set off against both 'long term gains' and 'short term gains'. If you are not able to set off your entire capital loss in a particular assessment year, both short term and long term loss can be carried forward for 8 assessment years immediately following the assessment year in which the loss was first booked.