Filing ITR Wrongly? You Could Face a 200% Penalty Under New Rules
Filing your Income Tax Return (ITR) is no longer just a yearly formality, it now comes with sharper rules and stricter penalties. For the assessment year 2026-27, the Income Tax Department has tightened the framework to discourage errors, omissions, and intentional misreporting. Here’s a clear look at what’s changed and why it matters.
Wrong Income Reporting Can Cost You Big
If you underreport your income, you could face a penalty of up to 50% of the tax due. But if the authorities find that the mistake was deliberate, like hiding income or entering false details, the penalty can shoot up to 200%. Simply put, intent makes a huge difference.
Late Filing? Be Ready to Pay
Missing the ITR deadline now comes with a financial hit. The penalty can go up to ₹5,000. However, if your total income is ₹5 lakh or less, the fine is capped at ₹1,000. There’s also a daily penalty of ₹200 for delays in filing TDS or other required statements.
Wrong Income Reporting Can Cost You Big
If you underreport your income, you could face a penalty of up to 50% of the tax due. But if the authorities find that the mistake was deliberate, like hiding income or entering false details, the penalty can shoot up to 200%. Simply put, intent makes a huge difference. Late Filing? Be Ready to Pay
Missing the ITR deadline now comes with a financial hit. The penalty can go up to ₹5,000. However, if your total income is ₹5 lakh or less, the fine is capped at ₹1,000. There’s also a daily penalty of ₹200 for delays in filing TDS or other required statements.Next Story