IT returns of previous years?
hai,
It so happened that my friend worked in a small company before he left India in April. That year being first to for him with taxes, he did not file any return as he had already left. His PAN arrived after he left India. He have not been filing taxes since then as he is outside India. Is it possible to file previous year returns this late? Is there any penalty for that?
Thought will clarify more on this. It seems that the taxes have been paid for the year he worked with the help of a professional consultant by the company for all its employees. But he has not been filing returns for the year since he left. He left for higher studies and there is no income from his previous company nor is he working abroad. So does he still have to file the returns. The questio arose because, he has a PAN number and if so is it compulsory to file returns every year irrespective of income status.
Comments (3)
No he can not. The maxium he can file is for FY 2004-2005 only and that’s too with penalty provision hanging on his head. AO can even initiate penalty proceedings for previous years.
Deepak Bholusaria
If your friends income is less than taxable, he can forget filing. Or he may thing about it when he returns to India.
If the total income for the previous years are less than the taxable limit, he can file the returns – but whats the point?
Better, start filing from current year regularly and whenever, the previous years returns are asked, you can say that the income was not taxable and hence, no return filed.
Do not worry about the penalties, etc.
If you have tax liability during those years, then yes, some worry should happen!