Time limit for e-verification of income tax return reduced to 30 days

Time limit for e-verification of income tax return reduced to 30 days

As you all might be aware that presently the time limit for e-verification of income tax is 120 days from the date of filing the return. After filing the income tax return, it needs to be validated or verified by Aadhar OTP or other validation options like net-banking, EVC through the bank or Demat account. Alternatively, you can send the signed physical copy of ITR-V to CPC, Bengaluru by post or speed post within 120 days of filing the return.

However, the CBDT has brought a major change in the above time limit of 120 days and reduced it to 30 days. For this purpose, the CBDT issued Notification No. 5 of 2022 dated 29.07.2022. This notification comes into effect from 1^st August 2022 and will be applicable on every income tax return filed after this date.

According to this notification, the following major changes have been made which might affect the income tax filers:

• In respect of any electronic transmission of return data on or after the date this Notification comes into effect, the time limit for e-verification or submission of ITR-V shall now be 30 days from the date of the transmission/ uploading of the data of the return of income electronically.

Consequences of delay in e-verification or submission within 30 days

• If the ITR filers e-verify the return or submit ITR-V within 30 days of filing ITR online, the date of transmitting the data electronically shall be considered as the date of furnishing the return of income. For example, you file ITR online on 5^th August 2022 & e-verify return on 27^th August 2022 which is well within 30 days’ time limit. In this case, 5^th August 2022 will be considered as the date of furnishing the income tax return.

• However, if he fails to e-verify return or submit ITR-V to CPC Bengaluru within 30 days’ time limit, the date of e-verification/ ITR-V submission shall be treated as the date of furnishing the return of income. Thus, you might end up paying late fees under section 234F of the Income Tax Act.

Effect on Returns filed up to 1^st August 2022

Those income tax filers who have already filed their income tax returns for A.Y. 2022-23 need not be worried as the CBDT has clarified that the reduced time limit of 30 days will be applicable only with effect from 1^st August 2022. Thus, if you have already filed your income tax return before this date, you need not be worried as the time limit for e-verification or submission of ITR-V in this case will continue to be 120 days.