Section 234F of ITA, 1961 : Section 234F: Fee For Default In Furnishing Return Of Income

Explanation using Example

Imagine Mr. Sharma, a salaried employee, has a total income of ₹6,50,000 for the financial year 2021-22. According to the Income-tax Act, he is required to file his income tax return by July 31, 2022, for the assessment year 2022-23. However, Mr. Sharma misses the deadline and files his return on December 15, 2022.

Since he filed his return after the due date but before December 31 of the assessment year, as per Section 234F of the Income-tax Act, 1961, he is liable to pay a fee of ₹5,000 for the late filing of his income tax return.