The penalty for late filing of Income Tax Return (ITR) in India for the assessment year 2025-26 is as follows:

• If the taxable income is less than Rs 5 lakh, the penalty is Rs 1,000.
• If the taxable income exceeds Rs 5 lakh, the penalty is Rs 5,000.
• This penalty applies if the ITR is filed after the due date but before the end of the year (31 December 2025).
• Additionally, interest on outstanding tax amounts is payable under Sections 234A, 234B, and 234C.
• Late filing also results in restrictions such as inability to carry forward certain losses, loss of eligibility to switch tax regimes, delayed refunds, and possibly increased scrutiny by tax authorities.

This means timely filing is important to avoid these penalties and consequences.