Income Tax Alert! If you miss this date, you will not get rebate on home loan and investment, tax will have to be paid under the new regime.

March ends and April begins, with this the race for revenue tax begins. The means of saving tax by sitting with CA has additionally began. Some are calculating to lower your expenses in the new regime whereas some are calculating to lower your expenses on home loan, 80C funding and insurance coverage and tax on the cash obtained from the market through the use of the previous regime.

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But, amidst all this hustle and bustle, do not overlook an essential date or moderately deadline. If you exceed this restrict then you will not get any revenue tax exemption. Even if you are paying home loan curiosity or incomes from FD curiosity.

Actually, we’re speaking about Income Tax Return (ITR Filling) for the monetary yr 2023-24, the deadline for which has already been fastened by the Income Tax Department as July 31, 2024. If you file your ITR earlier than this deadline, then you will be given an opportunity to select the previous regime. After crossing the prescribed deadline, taxpayers will not be given the possibility to select the previous regime.

What is the previous and new regime?
The authorities had carried out a new tax regime in 2019, during which the revenue tax slab charges are decrease, however no tax exemption of any sort is given. The authorities had carried out the new regime solely after eliminating 70 varieties of tax exemptions. At the similar time, although the slab price is increased in the previous regime, there’s a direct tax exemption of Rs 3.50 lakh on home loan curiosity and principal, Rs 1.5 lakh under 80C and Rs 75 thousand on insurance coverage. Apart from this, you get tax exemption on different choices additionally.

Why do you have to select a routine?
The authorities has carried out the new tax regime by default from the price range of 2023. This implies that if the investor does not select any regime, his earnings will be calculated under the new regime and tax will be deducted as per its price. This implies that if you need to avail tax exemption on loan, funding or different varieties of allowances, then you will have to select the previous tax regime your self. For this, it’s needed to file returns earlier than thirty first July.

If you miss the deadline…
If a taxpayer does not file his return by July 31, then from August 1, 2024 to December 31, 2024, such taxpayers will be given an opportunity to file belated ITR. This implies that such taxpayers will be in a position to file their returns by paying some penalty, however they will not be allowed to use the previous tax regime. In such a scenario, tax will be deducted immediately from their earnings at the similar price by implementing the new regime.

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