Section 139 Income Tax Act

Under Section 139(4), before the due dates stated in Section 142(4), a person or agency shall supply Income Tax Returns (1). However, in the event of failure to file returns on the due date, returns may be filed for future years before the current financial year’s expiry date. If they cannot file a return within the current appraisal year, under Section 271F of the IT Act 1961, they will be charged with a liability of Rs 5,000.

The provisions for the amended return of income tax returns are dealt with in section 139(5). According to the Commission, whether the Income Tax Report has been filed within the due date, but a correction has been sought due to a certain mistake or omission in the filing of the return, the same can be filed at any time during one year after the applicable assessment year has passed or before the evaluation has been completed, whatever is faster. Under the prescribed time period, the tax payee will file amended tax returns as many times as he or she wishes.

Until the new return has been filed, the initial return rendered in compliance with Section 139(1) shall be presumed to have been deleted and the revised return confirmed. Therefore, the return will only be completed with unintended mistakes applicable to ‘Omissions and Wrong Claims’ situations, and a levy would be levied on the taxpayer in the event of willful errors or omissions and on every dishonest reporting.

If a person receives income from any estate kept under a trust or legal responsibility, he shall file income tax returns under Section 1399 partially or completely for religious or charitable purposes (4A). Tax returns otherwise referred to as charitable donations shall be submitted if they surpass the full permissible amount, which is not subject to taxes under income tax.

The rules for filing income tax returns for all political parties are laid out in Sec 139(4b) of the Income Tax Act, 1961. According to the Commission, if the gross income reaches the maximum permissible tax-exempt cap, tax returns are expected. Thus, the cumulative tax measured under this Act excludes the consequences of the provisions laid down in Section 13A.

Section 139(4c) and Section 139(4d) deal with the income tax returns of eligible institutions under Section 10 of the Income Tax Act to obtain tax benefits. In compliance with Section 139(4c) requirements, if the gross benefit approaches the limits of the permitted exemption, the institutions listed are expected to file tax returns before the due date. On the other hand, under Section 139(4d), universities, colleges, and institutions are not required to file income tax returns for income and losses under any other clause in this section.

These are the entities that are required under Section 1399 to file income tax returns (4c).

• Associations involved in scientific studies Associations or institutions to which Section 10 refers (23A)
• News Agencies
• Institutions that are subject to Section 10 (23B)
• Hospitals, hospitals, institutes of pharmacy and training establishments

According to the rules of Section 139(4f), the Income Tax Returns referred to in section 115UB must be submitted by each investment fund. However, these entities are not entitled to all the other provisions of Section 139(1) relating to profits or damages.

The faulty income tax returns filed by taxpayers are dealt with in this section. If, while filing returns, the taxpayer does not connect the related documents, he/she can rectify the same within 15 days of receiving the intimation. However, in any circumstances mentioned, the same may be expanded by sending a request via an application.

The following days have been prescribed for various persons, companies and organisations to file income tax returns.

• 31 July Any salaried or self-employed person or doctor who does not need an audit to file their returns must file an ITR by 31 July. However, the filing deadline for returns is often extended by up to one month to 31 August.
• September 30- By September 30 of each assessment year, all persons and organisations, whether self-employed individuals or practitioners or working partners employed by a company or contractor required or responsible for an audit of their accounting books, shall file their income tax returns.

ITR-7 Form is an Income Tax Return form applicable to all individuals and entities that are required to furnish tax returns applicable under different subsections of Section 139, including Sections 139(4a), 139(4b), 139(4c) and 139(4d). For filing the returns, the ITR-7 form is submitted either in paper form or electronically using a digital signature or any other manner by matching the tax figures with Form 26AS, the Tax Credit Statement.

In the case of defective returns submitted due to the absence of required material or documentation, a notice shall be given to the taxpayer according to the tax return law and amended returns shall be prepared within 15 days of receipt of the notice.

To file a faulty return under 139(9), follow the steps mentioned below:

• Firstly, by clicking on http://www.incometaxindiaefiling.gov.in/., visit the official Income Tax website.
• Sign in now with your User ID and Password, and Birth Date/Incorporation Date.
• Next, in reply to the notification under section 139(9), click on the E-File section and then submit your address on the submit button under the reply column.
• In the event of a faulty return by AO or CPU, when you click on the E-File segment in response to a note under section 1399, a separate screen will appear (9).
• From the drop-down list, pick the appropriate ITR template, append the XML file and press the submit button.
• Click on the “Transaction Id” to learn the specifics of the response.

According to the rules of Section 139 Income Tax Act 1961, the following are the numerous error codes for faulty return notices:

• Error Code 14: Any negative number is regarded as a faulty return in the gross benefit or net profit parts of ITR.
• Error Code 8: As the applicant files ITR-4S, ITR is regarded as a faulty return if the cumulative presumptive revenue is less than 8 per cent of Gross turnover or Gross Receipt.
• Error Code 31: If the taxpayer receives money under the heading ‘Assets and Gains of Companies and Profession,’ but the balance sheet and benefit and loss statement do not fill up the same.
• Error Code 38: If the tax calculated is payable in favour of the ITR but is not paid.

✅ What is Income Tax Section 139 (4)?

The late filing of income tax returns is dealt with in section 139(4). A person or agency must submit returns on income tax before the due dates stated in Section 1422. (1). However, if they fail to do so, the late-year returns will be lodged before the current financial year’s expiry date.

✅ What is the seventh provision of Section 139 (1)?

Under the seventh clause of Section 139(1), any person who undertakes high-value expenses is obliged to file income tax returns, even though they are entitled to tax exemptions.

✅ Can a belated return of income filed u/s 139 (4) be revised?

Under Section 139(4), before the due dates stated in Section 142(4), a person or agency shall supply Income Tax Returns (1). However, in the event of failure to file returns on the due date, returns may be filed for future years before the current financial year’s expiry date. If they cannot file a return within the current appraisal year, under Section 271F of the IT Act 1961, they will be charged with a liability of Rs 5,000.

✅ How do I fix defective returns?

In case of any defective returns, the revised returns can be filed as mentioned under Section 139 (4).

✅ Will defective returns be revised?

Yes, any defective returns can be revised according to the provisions of Section 139(4). According to it, the revised returns must be filed within 15 days of receiving the intimation on the official website of ITR.

✅ What is a defective return in income tax?

If any errors or any significant information or documents are not provided while filing the Income Tax Returns, it is considered a defective return in Income Tax.