Income Tax · Penalty
271f Of Income Tax Act (India, 2026)
If you have searched for section 271F, you were probably told you face a penalty for not filing your income tax return. The picture has changed. Section 271F was the old penalty for failing to furnish a return, and for most taxpayers it has been overtaken by a fixed late-filing fee under section 234F. This guide explains what section 271F did, what replaced it, and what you really pay today if your return is late.
- Section 271F: the old penalty, up to Rs 5,000, for failing to furnish a return.
- Replaced by: the section 234F late-filing fee for AY 2018-19 and later, for most taxpayers.
- Section 234F fee: up to Rs 1,000 if income is up to Rs 5,00,000, otherwise up to Rs 5,000.
- Automatic: the 234F fee is paid with the return, not on a separate penalty order.
- Also watch: interest under 234A, 234B, 234C and the loss of carry-forward of some losses.
- Best move: file and verify by the due date, usually 31 July for most individuals.
01What section 271F was
Section 271F was a penalty provision for a person who was required to file an income tax return but failed to file it by the end of the relevant assessment year. The assessing officer could levy a penalty of up to Rs 5,000 in such cases.
Two features defined it:
- It was a penalty the officer chose to levy, not an automatic charge. It applied where the return was not filed at all by the deadline the law set.
- It was capped at a modest amount, which meant it was not always a strong deterrent against late filing.
Because it was discretionary and applied only to complete non-filing, the law moved to a clearer, automatic fee system.
02Why section 234F replaced it
For returns of assessment year 2018-19 and later, a new fee under section 234F took over the job for most taxpayers. The difference is important:
| Point | Old section 271F | Section 234F |
|---|---|---|
| Nature | A penalty the officer could levy | A fee charged automatically when you file late |
| When it applied | Return not filed by end of assessment year | Return filed after the due date |
| How it is paid | On a penalty order | Paid by you along with the return |
So today, if you file after the due date, you usually pay a fee under section 234F when you submit the return, rather than waiting for a penalty order under section 271F.
03What you pay for a late return today
Under section 234F, the late-filing fee for an individual filing after the due date is, broadly:
| Your total income | Late-filing fee (section 234F) |
|---|---|
| Up to Rs 5,00,000 | Up to Rs 1,000 |
| Above Rs 5,00,000 | Up to Rs 5,000 |
If your income is below the basic exemption limit and you were not otherwise required to file, the fee may not apply. The fee is a separate charge from any interest on tax you still owe.
04Other costs of filing late
The fee is only part of the cost. Filing late can also mean:
- Interest on unpaid tax under sections 234A, 234B and 234C, charged month by month on any tax that was due and not paid on time.
- Loss of the right to carry forward some losses, such as business losses and capital losses, if the return is filed after the due date.
- Delayed refunds, because a refund is processed only after a valid return is filed and verified.
For a resident with income above the basic exemption limit, the late fee is usually the smaller worry; interest on unpaid tax and the lost carry-forward of losses can cost far more.
05How to avoid the fee
Avoiding the fee is simple in principle:
- File by the due date. For most individuals without an audit, the due date is 31 July after the financial year ends, as notified each year.
- Verify the return after filing. An unverified return is treated as not filed, so e-verify it within the time allowed.
- If you miss the date, file a belated return as soon as possible to stop interest adding up and to keep your refund moving.
The late fee is capped and predictable. The interest on unpaid tax is not, because it keeps running every month until you pay. File and pay on time to stop both.
Section references here follow the Income-tax Act. The Income-tax Act, 2025 is set to replace the 1961 Act, so confirm the section numbers and the assessment year before you rely on them. For a related section explainer, see section 44AA on who must keep books of account.
06How Claw Tax helps
Claw Tax and Accounts is an online tax, GST and accounting service for India that connects you with a verified chartered accountant at a fixed, published price, with a Claw reviewer checking every filing before it is submitted.
Filing on time is something you can do yourself for free on the income tax portal, and for a simple salary that is often the right call. Claw Tax is for when you have already received a notice, need to file a belated return, or want a verified chartered accountant to make sure nothing is missed so you do not pay avoidable fees and interest.
You pick a service at a fixed, published price (salaried ITR filing starts from Rs 499, and a reply to an income tax notice starts from Rs 999, see the page), a verified CA prepares it, a Claw reviewer checks it before submission, and you get reminders before the next due date so late filing does not happen again. You can see the fixed prices and start at clawlaw.in/tax. For options when a filing is complex, see the best ITR capital gains services in India.
This is general information, not tax advice; a verified CA handles the specifics of your case.
07Frequently asked questions
Is section 271F still charged if I file my return late?
For most taxpayers, no. For assessment year 2018-19 and later, the late-filing fee under section 234F replaced the old section 271F penalty. Today, if you file after the due date, you usually pay the 234F fee when you submit the return rather than facing a separate 271F penalty order.
How much is the late-filing fee now?
Under section 234F, the fee for an individual is up to Rs 1,000 if total income is up to Rs 5,00,000, and up to Rs 5,000 if income is above that. The fee is separate from any interest on unpaid tax. Confirm the current amounts on incometax.gov.in before relying on them.
Do I pay the fee even if I have no tax to pay?
If you were required to file a return, the late-filing fee can apply even when there is no tax due. If your income is below the basic exemption limit and you were not otherwise required to file, the fee may not apply. Check whether filing was mandatory in your case.
What other costs come with filing late?
Besides the fee, you may pay interest on unpaid tax under sections 234A, 234B and 234C, lose the right to carry forward some losses such as business and capital losses, and see your refund delayed because it is processed only after a valid, verified return is filed.
Can I still file after I miss the due date?
Yes. You can file a belated return within the window the law allows for the assessment year. Filing it as soon as possible stops interest from adding up further and lets your refund be processed. The late-filing fee will apply, but filing is still better than not filing at all.
Will these section numbers change under the Income-tax Act 2025?
The Income-tax Act, 2025 is set to replace the 1961 Act, and sections like 234F and 271F may be renumbered even where the rule continues in substance. Always confirm the exact section and the assessment year for the return you are filing.