How many years can income tax go back in India?

How many years can income tax go back in India?

The latest budget proposal means that taxpayers will now have to maintain all ITR-related documents for 4 years including the current assessment year instead of 7 years earlier .

What happens if you don’t file taxes for 5 years in India?

The penalty can be up to Rs 10,000 if the assessee files the return after the due date. For a small taxpayer, whose income is below Rs 5 lakh, the penalty will be Rs 1,000 if ITR is filed after the expiry of the deadline.

Does Limitation Act apply to income tax?

It is not disputed that the applicability of the Limitation Act section 5 has not been excluded by section 256 of the Income-tax Act. For the foregoing reasons, we are of the opinion that section 5 of the Limitation Act, 1963, applies to petitions under section 256(2) of the Income-tax Act, 1961.

Is there Statute of limitations on filing tax returns in India?

The statute of limitations under the Income-tax Act in the case of submission of returns is one year from the end of the relevant tax year, and for assessment of returns filed is 12 months (24 months in case transfer pricing provisions are applicable) from the end of the relevant tax year for which the return is filed.

When do I need to file my tax return in India?

Accounts for tax purposes must be made up to 31 March. For persons having business/professional income, the income tax return is required to be filed electronically on or before 31 October of the succeeding tax year. In case the transfer pricing provisions are applicable, the due date for filing of the tax return is on or before 30 November.

Is there limit on income tax rebate in India?

Today we will learn and understand about income tax exemption limit, income tax slab for AY 2021-22 (FY 2020-21), income tax rebate for AY 2021-22 (FY 2020-21) in India, limitations of tax planning, tax planning strategies, and related limitations for individuals in India and for salaried employees for current financial year 2020-2021.

Is there Statute of limitations on understatement of income?

The statute of limitations is six years if your return includes a “substantial understatement of income.” Generally, this means that you have left off more than 25 percent of your gross income. Suppose that you earned $200,000 but only reported $140,000.