Section 234F of the Income-tax Act: Fee for Late Filing of Income Tax Return
Section 234F imposes a statutory fee when a person who is required to furnish an income-tax return does not file it by the applicable due date. The fee is ordinarily Rs. 5,000, but is limited to Rs. 1,000 when total income does not exceed Rs. 5 lakh.
1. Meaning and scope of Section 234F
Section 234F is titled "Fee for default in furnishing return of income". It applies when a person required to file a return under Section 139 of the Income-tax Act, 1961 fails to furnish it within the time specified in Section 139(1). It is a filing-default fee, not an income-tax rate or a daily interest charge.
Section 234F was inserted by the Finance Act, 2017 with effect from 1 April 2018 and applies to returns required for Assessment Year 2018-19 and subsequent assessment years under the old regime. The earlier wording provided higher charges in certain circumstances; the amended law replaced those historical amounts.
2. Late-filing fee under the amended provision
| Total income | Fee if a mandatory return is filed after the applicable due date |
|---|---|
| Not exceeding Rs. 5,00,000 | Rs. 1,000 |
| Exceeding Rs. 5,00,000 | Rs. 5,000 |
| No legal obligation to furnish a return | Section 234F fee does not ordinarily apply |
Important: The old Rs. 10,000 fee and the former distinction between returns filed by 31 December and those filed later belong to earlier versions of the law; they should not be presented as the present general fee.
3. Examples of calculation
- Example A: A taxpayer required to file has total income of Rs. 4,80,000 and files after the applicable due date. The late-filing fee is Rs. 1,000.
- Example B: A taxpayer required to file has total income of Rs. 8,20,000 and files after the applicable due date. The fee is Rs. 5,000.
- Example C: A person who is not legally required to file a return does not incur a Section 234F fee merely because no return was filed.
These examples assume that no specific statutory relief, notified extension or other applicable exception changes the filing position. A late-filing fee may arise even when the balance tax payable is nil, provided the legal filing obligation and default exist.
4. Due date, belated returns and extensions
The relevant due date is the date applicable to the taxpayer under Section 139(1), taking into account the category of taxpayer and any valid extension. Due dates may differ for non-audit cases, audit cases and taxpayers subject to transfer-pricing reporting. Always verify the relevant year and official notification before treating a return as late.
A belated return under Section 139(4) is filed after the original due date but within the statutory belated-return window. The availability of a belated-return window does not by itself remove the fee under Section 234F. For AY 2026-27, the Income Tax Department explains the old Act's belated-return framework and its continuing applicability.
5. Section 428 of the Income-tax Act, 2025
The Income-tax Act, 2025 took effect from 1 April 2026. Section 428 is the corresponding provision governing fees for default in furnishing returns under the new Act, including the Rs. 1,000 and Rs. 5,000 fee levels for late mandatory returns. The new section also contains provisions concerning other specified filing and reporting defaults, so its scope is wider than merely restating Section 234F.
The new Act uses the term tax year, while the old Act uses assessment year for the corresponding return system. A return for AY 2026-27 remains governed by the 1961 Act; a return for Tax Year 2026-27 is governed by the 2025 Act. The filing portal supports the distinction.
6. Difference between fee, interest and additional tax
| Provision | Nature of charge |
|---|---|
| Section 234F | Fixed fee for delayed mandatory income-tax return filing |
| Section 234A | Interest relating to late return filing, calculated on the relevant unpaid tax where applicable |
| Section 234B | Interest for default or shortfall in advance-tax payment |
| Section 234C | Interest for deferment of advance-tax instalments |
An updated return may attract separate additional tax and interest rules. Under the old Act, a person who has already filed an original, revised or belated return for the year is not required to pay the Section 234F fee again solely when furnishing an updated return. Eligibility and amounts depend on the applicable updated-return provisions.
7. Practical compliance checklist
- Determine whether a return is mandatory under the law governing the relevant assessment year or tax year.
- Confirm the applicable due date, including any official extension.
- Determine total income for the Rs. 5 lakh fee threshold.
- Review the tax computation for any separate interest, outstanding tax or updated-return liability.
- Use the official income-tax e-filing portal and retain the acknowledgement and payment records.
8. Frequently asked questions
What is the late-filing fee under Section 234F?
The fee is Rs. 5,000 if a person required to file an income-tax return misses the applicable due date. If total income does not exceed Rs. 5 lakh, the fee is Rs. 1,000.
Does Section 234F charge Rs. 10,000?
No. Rs. 10,000 was an earlier amount under the historical wording. The later amended provision prescribes Rs. 5,000, subject to the Rs. 1,000 threshold.
Which law applies to AY 2026-27?
The Income-tax Act, 1961 and Section 234F apply to AY 2026-27. Section 428 of the Income-tax Act, 2025 applies from Tax Year 2026-27 onward.
Is the fee payable when filing is not mandatory?
Section 234F is linked to a legal obligation to furnish a return. Where a person is not required to file, this late-filing fee ordinarily does not arise.
Is the fee the same as interest under Section 234A?
No. Section 234F is a fixed late-filing fee; Section 234A concerns interest for delay in filing when the statutory conditions and unpaid tax exist.
9. Official statutory sources and guidance
- Income Tax Department: Section 234F (amended text)
- Income-tax Act, 1961, as amended by Finance Act, 2025 (official PDF)
- Income Tax Department: Interplay and Transition FAQs, including Section 428
- Income Tax Department: Income-tax returns FAQs
- Income Tax Department: Return of income and updated-return guidance
This article explains general statutory provisions. The applicable law, due date and relief must be checked for the specific year and taxpayer.