Filing Past Year's Income Tax Returns

Filing income tax returns is an obligation for every taxpayer in India. However, there may be instances where taxpayers fail to file their ITRs for previous years for various reasons, such as unawareness, negligence, or other circumstances.

For instance- Income tax filing for FY 2021-22 is to be filed by the due date of 31st July 2022, and a belated income tax return could have been filed up to 31st December 2022 & this is the last date to file ITR for the financial year 2021-22. Hence, many of you can ask, “how do we file the ITR for FY 2021-22” after the last date and “how could we file the ITR for FY 19-20 & FY 20-21.” Right!

As in the aforementioned instance, it becomes essential to file income tax returns for those previous years to avoid penalties and legal consequences. You do not have to worry anymore if you do not know “how to file ITRs for previous years. This article will guide you through the process of filing ITR for past years, and other crucial details as well as the steps involved in filing ITR for past years in India.

How To File Income Tax Returns For the Last  Year

• The first step is to go to the e-filing website for Income tax returns.
• After being redirected to the e-filing website of income tax return, you need to register yourself with your PAN (Permanent Account Number) and your user ID (Make sure to note that user ID for future reference).
• Thirdly, you have to select Income Tax return Forms from the ‘Download’ menu and select the relevant financial year. Then you have to choose an applicable ITR form for you. You can also complete the portal by clicking the Quick e-fill ITR link.
• Fourthly, fill out that form or you can click on the Quick e-fill ITR link this will fill your form automatically. Then you need to click on “Calculate Tax” and now you can check how much tax you have to pay.
• Next, you need to pay your income tax return as well as complete the challan details. After paying your applicable income tax returns, click on ‘Validate’ and then check all the furnished details.
• Save and upload that file. You can save the file for future reference as well.
• Further, you will be asked to sign that form digitally, sign that form. You can choose ‘Yes’ if you have your digital signature and “No” if you do not have your digital signature.
• After completing all the aforementioned processes, you can download the Income tax return verification (ITR-V). Take out a print of the ITR-V form and send it to Income Tax Department address by signing it with blue ink within 120 days.

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What Are The Benefits of Filing The Past Year's Income Tax Returns?

Filing income tax returns is an essential responsibility of taxpayers. Additionally, several benefits come with filing tax returns for the previous years. Below we have discussed some of the major benefits of filing past years' income tax returns.

Refunds

If an individual has been taxed beyond what his/her taxable liability is for the previous years then the individual can claim a refund on the excess paid tax that s/he paid in the past year.

Loans

The taxpayers who have filed their income tax returns for the past years will easily get loan approval from the loan institutions and the banks as it becomes easier and faster to get the loan.

Proof

The individuals can use their Filing past years' tax returns as proof of income whenever there is a requirement for this. Tax returns are valid documents that can be submitted whenever there is a requirement to validate the income of the individuals.

Investments

Filing tax returns for the previous years can be useful to make investments easier. Individuals who have filed their tax returns for past years will also find it easier to make investments or conduct stock or share trading since financial institutions look on individual who have filed their tax returns on time.

Travel

Individuals who have filed their tax returns will get their visas to travel the international easily. Tax returns serve as proof of financial abidance, which is a mandatory check when it comes to applying for a visa.

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Consequences For Not Filing Tax Returns For The Previous Year

If the individuals can not file income tax returns for the previous years within the deadline then they may attract some consequences which are as follows-

Penalty

Those taxpayers who fail to file their income tax returns for the previous years before the due date would have to pay a penalty fee of Rs. 5000. This penalty fee is levied by the tax authorities.

Interest

The individual who could not file their income tax returns for the previous years in the prescribed time frame will be liable to pay interest on their tax amount later.

Loss

The individuals will not be able to carry forward their losses incurred during the past years, which may be losses through business or capital loss in successive years.

Delay in Refund 

Filing past income tax returns after the due date may result in a delay in the process of refund that s/he will be eligible for.

Error

Sometimes individuals who have failed to file their returns in time for previous years, encounter errors in these returns when they do decide to file returns.

How To Check If ITR For The Previous Year Is Filed or Not?

Follow the below-mentioned steps to check whether your ITR for the previous year is filed or not:

• First, you need to go to the Income Tax Department’s website at www.incometax.gov.in. 
• Then log in to your account with your user id and the passwords.
• Go to the option “Income Tax Returns” & select “View Filed Returns”.
• Here, you can get the details of all income tax returns filed for all the assessment years as well as their processing status.

You can also download the income tax return form, check the status, and know about the demand/refund.

Things To Remember While Filing Past Year’s Income Tax Returns

• Individuals filing their income tax return for past years are eligible for excess refund.
• Any income tax returns paid after the due date will attract a 1% penalty interest.
• Any loss made by selling an important asset such as house property will be considered for exemption under the applicable clause.
• Individuals who file their past income tax return within the relevant following financial year will not be liable to pay a penalty fee.

FAQs

What is the penalty for not filing an income tax return?

The penalty for not filing income tax returns ever isRs. 5000.

Is it possible to file ITR for the previous years?

Yes. You can file an income tax return for the last 2 years. Here it is to be remembered that you can do so only for the 2 years (not more than 2) within the financial year of the relevant financial year.

What is the time limit to file the ITR of past years?

You can file ITR of past years within two years from the end of the relevant financial year. For example, for the financial year 2019-20, the last date to file ITR is March 31, 2022.

Can I file the ITR of multiple past years together?

Yes, you can file ITRs of multiple past years together. However, you need to prepare and file each year's tax returns separately.

What are the documents required to file the ITR of past years?

The documents required to file ITR for past years are the same as for the current year. It includes your PAN card, bank statements, Form 16, TDS certificates, and other relevant documents related to your income and investments.

Can I e-file the ITR for past years?

No, you cannot e-file ITR of past years. You need to file a physical copy of the tax returns at the Income Tax Department's office or send it through the post.

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