Investments made in programs like SCSS, National Savings Certificate (NSC), Sukanya Samriddhi Yojana (SSY), Public Provident Fund (PPF) etc. are eligible for deduction under Section 80C of Income Tax Act 1961. You can claim a deduction up to Rs. 1.5 lakh by investing such amount in such schemes eligible for deduction under this section.
For tax benefits, the total investment in all these schemes should not be more than Rs 1.5 lakh in a financial year. While filing an income tax return, it is important to show investments in eligible schemes under Section 80c. Failure to do so means that there is no tax benefit for such an investment in the fiscal year.
What if someone forgot to show their Section 80c investment while filing an ITR?
The best exercise option after forgetting to show the Section 80c investment in the ITRs is to review the ITRs.
You cannot claim a deduction under Section 80C in the next year for an investment made in the current fiscal year. According to the income tax rules, you need to show the investment in the year you invested it. So if it is not shown in the ITR for fiscal year 2020-21, you cannot claim the discount in fiscal year 2021-22. However, you can exercise the ITR review option now.
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If you invest in any scheme that qualifies for the Section 80c deduction, you must review the ITR after you forgot to show it while filing your tax return.
Under Section 139(5), income tax rules allow taxpayers to make changes/corrections to the original ITR. The department allows for a revised return if the taxpayer notices any omissions or erroneous statements in the original ITR.
Submission of the revised ITR is permitted up to three months before the end of the relevant evaluation year, or before the evaluation is completed, whichever is earlier.
However, due to the Covid-19 pandemic, the deadline for submission of the revised International Telecommunication Register for the 2020-21 fiscal year has been extended to March 31, 2022.
The deadline for submitting the original International Telecommunication Registry for the 2020-21 fiscal year is December 31, 2021.