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Late fee u/s 234(f) on revised return

15 March 2021

I have retired from bank on 29/2/2020. My bank issued Form 16, only with Salary details for FY 19-20 omitting to furnish break up of retirement benefits like Gratuity, PF and leave encashment . I filed return with same details based on Form 16 during August 2020 (before due date for filing ITR). On 22/2/2021 my return was processed with remakrs DEFECTIVE. Then I obtained revised Form16 with retirement benefits breakup from my Bank and filed Revised Return under sec 139(5) on 24/2/2021. Now the revisd return processed with a Demand to pay Rs.10,000 as late fee under sec.234(F), When my original ITR is submitted before due date and processsed and revised return is filed, should I still have to pay late fee of Rs.10,000 ? Please guide.

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7 Replies

Monika Sharma (7 Points)
Replied 16 March 2021

If the return was marked as defective it means that your original ITR stands canceled and hence no ITR is filed by you. As a result late fee is charged.

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Kapadia Pravin (17259 Points)
Replied 16 March 2021

Yes. Revised return will be considered as original return in view of earlier filed defective return. That's why late fee under 234F

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sabyasachi mukherjee (27574 Points)
Replied 17 March 2021

Sec 139 (9) defective return
In order to hv a knowledge on various return on e filing work well. revised return is seperate.
form 16 is essential initially when you file your returns.

anil jain (Partner) (1072 Points)
Replied 17 March 2021

Provisions related to defective return are given below.

(9) Where the Assessing Officer considers that the return of income furnished by the assessee is defective, he may intimate the defect to the assessee and give him an opportunity to rectify the defect within a period of fifteen days from the date of such intimation or within such further period which, on an application made in this behalf, the Assessing Officer may, in his discretion, allow; and if the defect is not rectified within the said period of fifteen days or, as the case may be, the further period so allowed, then, notwithstanding anything contained in any other provision of this Act, the return shall be treated as an invalid return and the provisions of this Act shall apply as if the assessee had failed to furnish the return :

Provided that where the assessee rectifies the defect after the expiry of the said period of fifteen days or the further period allowed, but before the assessment is made, the Assessing Officer may condone the delay and treat the return as a valid return.

Please contact your assessing officer if correction right are with them.

To check with whom the correction right are.

ramdoss m (122 Points)
Replied 17 March 2021

Sir thank you for the guidance. As per your advice I checked For your Action. There is an entry Respond to Defective Return. When I click the link, another screen Respond under sec 139(9) is shown with my original ack. Number. There is one bution SUBMIT. When I click that submit button I get NO RECORDS FOUND message on top. This error msg I have referred under Grievance also and still pending.

Also when I check Efile-Respond to outstanding demand also I get NO RECORDS FOUND.

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ramdoss m (122 Points)
Replied 25 March 2021

Hello sir, thank you for the guidance. In the meanwhile, on 23/3/2021 I have made a request through email to my Regional Grievance Redressal Officer (for each state, a Grievance redressal officer is available) detailing my mistake on original ITR1 filed during August 2020 and filing Revised Return in response to their notice dated 22/2/2021. As their system has wrongly treated my Revised Return as Original Return, a late fee of 10,000 has been demanded from me.

The email was promptly forwarded to Madurai ITO for action the same day. Today (25/3/2021) I have recived Rectification Order under sec.154 that Mistake rectified for AY 20-21 and No Payment is due. I verified the order and found Late Fee has been set to NIL. So those who have filed before 10/1/2021 and received Defective Noticec after 10/1/2021/filed Revised Return, can request for waiver of Late Fee under secc.234(f).