ITR Filing: 7 reasons you can get Income Tax Department notice! Remember these points while filing belated ITR
Income Tax Notice: When you sell a real estate property or invest in equity or mutual funds for more than a year, you pay tax on long term capital gains. But if you knowingly or unknowingly miss this information in your ITR, the I-T Department can send you a notice.
Belated ITR Filing: Have you failed to file your Income Tax Return (ITR) till its deadline of July 31 and think you can't file it now? That's not the case. You have to pay a penalty, but you can file your ITR for sure. ITR return that you file after missing the deadline is known as belated ITR. You can pick the old or the new tax regime, file ITR yourself, or take the assistance of a chartered accountant (CA). But if you are filing ITR on your, remember these 7 points! Missing anyone of them may invite a notice from the Income Tax (I-T) Department.
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Wrong details about income
If you give wrong details in ITR about your income, there are high chances that the I-T Department will send you a notice.
Didn't disclose details about investment in your spouse's name
In order to save tax, sometimes we invest in the name of our spouse, but in that case, it is necessary to disclose details in your ITR form. If the I-T Department finds out unfurnished details, it can send a notice.
Wrong information about long-term capital gains
When you sell a real estate property or invest in equity or mutual funds for more than a year, you pay tax on long term capital gains. But if you knowingly or unknowingly miss this information in your ITR, the I-T Department can send you a notice.
Unmatched claims on Form 26AS and TDS
If the TDS information that you have provided in Form 26AS and in the ITR claim is not matching, the I-T Department can issue a notice.
Wrong ITR form
If you have selected the wrong ITR form at the beginning of filing your belated ITR, the I-T Department can issue you a notice.
High-value transaction
If you have made high-value transactions in buying or selling a property, stock purchase, or mutual fund investment and it crosses a specified limit, there are high chances that the I-T Department will issue a notice.
Tax evasion of previous years
If you evaded tax in previous years and didn't file ITR, but you are now filing the ITR, the I-T Department can catch you for the previous mistakes.