New Delhi, Aug. 3 -- The 31 July deadline for filing income tax returns (ITRs) has now passed. If you missed it, there's no need to panic. However, it is important to understand the process for filing a belated return and responding to any tax notices to avoid unnecessary complications.

It is also important to remember that filing an ITR does not necessarily mark the end of the tax filing process. After a taxpayer submits and e-verifies the return, the Income Tax Department reviews it. If the department identifies any unpaid tax liability during this process, it may issue an outstanding tax demand notice.

If the outstanding demand remains unpaid, the department has the legal authority to recover the amount by adjusting any refund due to...