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The last date for filing Income Tax Return (ITR) is 15 September 2025. Taxpayers across the country are busy submitting their returns. If you also do not take care of some things while filing income tax return, then it can prove to be costly for you. In such a situation, it is important for you to keep these things in mind. Under the new ITR rules, a small mistake or wrong claim can cause you huge loss.
If a taxpayer hides his actual income, then a penalty of 200% of the tax amount can be imposed for giving wrong information. Under Section 270A of the Tax Act, a penalty of 50% of the tax amount is imposed for underreporting income.
What is the most common mistake made while filing taxes?
Many taxpayers claim deductions under Section 80C of the Income Tax Act without proper documents. Apart from this, it is also common to claim the wrong house rent allowance (HRA) or show personal expenses as business expenses. Such mistakes, even if unintentional, can lead to heavy penalties. Disclosure of all income is mandatory It is mandatory to show income from freelancing, crypto trading or side jobs in ITR. If income is hidden, strict action can be taken by the tax authorities.
To avoid penalty, every deduction or exemption claim must be accompanied by the correct documents. Even if a Chartered Accountant (CA) or tax consultant makes a mistake, the responsibility will be of the taxpayer. According to the law, the taxpayer is held accountable, not the professionals who prepare the return. What should you do? Check your tax return thoroughly before submitting it. As the deadline is near, mistakes can be made in haste. Being careful can help avoid unnecessary scrutiny and heavy penalties. Keep all documents ready before filing taxes and file the return with correct information.
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