Income Tax Department extends date on Wednesday. The government has officially announced that individuals and businesses have been given more time to meet various agreement requirements. Which were including for filing tax returns, amid signs that the Novel Corona Virus Pandemic will take time to sink.
Govt extends various time limits under the Direct Tax & Benami laws, providing further relief to taxpayers for making compliances under these laws. Notification dt 24th June,2020 issued. Time limits had earlier been extended by Taxation & Other Laws Ordinance on 31st March, 2020. pic.twitter.com/xc2HgjuAzY
— Income Tax India (@IncomeTaxIndia) June 24, 2020
The Finance Ministry notified a fresh due date for filing tax returns for Financial Year 2019. And gave more time for making investments to claim tax deductions for Financial Year 20. Furthermore, for linking permanent account number (PAN) with Aadhaar Card. But, according to the notification, taxpayers will get one more month . In order to file income tax returns for Financial Year 2019 till the end of July.
Also, Taxpayers can make various investments to claim the ₹1.5 Lakh deduction. From taxable income till end of July. However, earlier deadline was 30th June after which the first extension given in March. Under the Taxation and other Laws (Relaxation of Certain Provisions) Ordinance. Since, Taxpayers have time till end of November for filing returns for Financial Year 20.
Government Regulations For Financial Depository
But with the extension of the relaxations, the government seems to suggest. Firstly, it may take longer to return to normalcy. Secondly, considering the surge in Corona Virus Infections in India. Lastly, the overall COVID-19 cases count in the country is still rising at a rapid pace. Hence, India reported over 14,000 Corona Virus-related deaths and over 183,000 active cases as on Wednesday.
An official statement issued by the Central Board of Direct Taxes said. The due date for making investments for claiming deductions. With respect to capital gains has also been extended to end of September. Because, the idea is to provide further relief to taxpayers by extending various time limits of compliances, said the statement. The relaxations also cover compliance requirements for paying self-assessment tax. Which starting operations from special economic zones to claim tax incentives. And for various compliance requirements under the Benami Transactions Prohibition Act. Also, the due date for linking Aadhaar and PAN is now end of March 2021. The earlier deadline was June end.
Date Extensions And Possible Future Measures
However, there is no further extension for payment of taxes. Said Ved Jain, Former President of Accounting Rule Maker Institute of Chartered Accountants of India (ICAI). “All taxpayers need to deposit tax due by 30th June. In order to take benefit of extension provided by earlier ordinance and concessional rate of interest. However in case of non-payment of tax by 30th June 2020. All the interest and penal provisions will apply from 20th March, 2020 itself,” said Jain.
The Income Tax Department that extends the date, has also eased certain compliance requirements under the Companies Act. Companies can now take key decisions such as approving financial statements. And clearing mergers and acquisitions via videoconferencing till September-end. But with the government extending the 30th June deadline by three months.
Also, if the situation at hand does not subside. E-filing through Government approved Web URL’s will be used as a supportive measure on the Government’s official website.