Four Important facts about filing your Income Tax returns in India

Here are four important facts about filing your Income2010, remember to pay up any tax due before July
Tax returns in India. The Income Tax returns filing is31st.
mandatory, there is penalty for not filing, due date forIf you delay beyond March 31st 2010, irrespective of
filing and disadvantages of filing beyounnd due date.whether you have nil tax to pay or pending taxes, you
(1) Income tax Filing is mandatorywill be charged a penalty of Rs.5000 along with any
Income tax return filing is mandatory for all tax payerspenalty payable if any for pending taxes.
even if you are a salaried employee, where tax is(4) Disadvantage of filing tax return beyond due date
deducted at source. This is because as there could beJuly 31st
instances where you have earned an income otherThe individual doing so will not be eligible to file a
than your salary income, for example, even in the formrevised return if he discovers any omission or wrong
of interest earned in FDs that are taxable!statement.
(2) There is penalty for not filing returnsTime limit for filing revised return is one year from the
Failing to file returns you will be levied a penalty in theend of the assessment year or before completion of
form of a penal interest of 1% on the existing taxassessment.
liability.Remember that having tax deducted at source if you
If you delay beyond March 31st 2010, irrespective ofare employed is only half of the process and you
whether you have nil tax to pay or pending taxes, youneed to file your returns to complete the process. This
will be charged a penalty of Rs.5000 along with anywill avoid any hassles with the income tax officials.
penalty payable if any for pending taxes.Prepare to file your returns as early as possible
(3) Date till when you are allowed to file returns or Payinstead of waiting for the due date to arrive. You can
taxuse the online filing service from TaxSmile for filing
Legally you are allowed to file your returns before theyour returns in a short time.
next assessment year which starts on March 31st