Need to file belated tax returns?

Hello, I have questions regarding need of necessary tax returns even in case of no income. Here’s the situation in hand.

Say:

  • Someone filed for a tax return under 44ada scheme as a consultant in 19-20 AY, and since then had no income, so skipped filing income tax returns in the following years.
  • They made some transactions around intraday trades (2-3 trade), and delivery trades (again 2-3 trades) and sold mutual funds after holding it long-term in specific financial years.
  • LTCG never rose above 1L and similarly STCG never rose above 25K in any given financial year.

My question is simple:

  1. Were they required to file tax returns from the previous years?
  2. What happens if they didn’t file those returns?
  3. From what I’ve read online, its not necessary to file a return if your income is below the threshold limit which have always been the case here.
  4. But what about 44ada scheme, does opting in the scheme requires you to file returns mandatory even if you had no income?
  5. Lastly, now in the current FY, they had income and are going to file return. Do they have to opt for 44ada or has the time lapsed enough that they can choose to return without that scheme?

@Quicko , Can you please assist me in my queries? It will be of immense help.

@lasoxo

  1. If All year Income below 250000 INR then not required in you case.
  2. Nothing (Assumed : You earned taxable income below threshold limit)
  3. Yes, Optional, But recommended.
  4. No
  5. You can choose any option