EXTENSION OF DUE DATES: CBDT

Covid situation has not only impacted people’ wellness but has also resulted in destruction at the global level. This destruction includes loss of life, financial instability, etc.

Due to the pandemic situation, the governments of various countries are left with no other option but to delay various compliances and statutory timeline.

The Indian government also relaxed various timelines in March 2020 by introducing Taxation and Other Laws (Relaxation of Certain Provisions) Ordinance, 2020 (“the Ordinance”) wherein it extended various timelines as mentioned below:-

Any timeline specified under the income tax act which falls between 20th March 2020 to 29th June 2020 (such as completion of any assessment, issuance of any notice, etc.) shall stand extended to 30th June 2020 or any date thereafter as specified by the central government. Thus, for example: due date of filing of return of TDS for Quarter 4 for FY 2019-20 is 31st May 2020. This due date shall stand extended to 30th June 2020.

The ordinance also stated that if date of ay payment falls during 20th May 2020 to 29th June 2020 (such as any tax, etc.), then such payment can be paid upto 30th June 2020 or any date thereafter as may be specified by the central government by notification in the official gazette. However, in such case, the rate of interest if payable shall be three fourth percent for every month or part thereof and the amount of penalty shall be NIL. Further, no prosecution shall be sanctioned in respect of such amount.

The government further issued a notification on 24th June 2020 wherein it extended due dates for all Income Tax Returns for FY 2019-20. The extended due dates were:-

As per the law due date of filing of ITR for certain category of taxpayers (taxpayers who are not required to get their audit done) is 31st July and for some it is 31st October 2020 (those who are required to file tax audit report/TP audit). This due date was extended to 30th November 2020. Further, this notification extended the due date for filing of ITR for FY 2018-19 to 31st July 2020 which is further extended to 30th September and then to 30th Nov 2020.

In order to provide more time to the taxpayers for furnishing of ITR’s it has been decided to further extend the due date for furnishing of ITR as mentioned below:-

1. Due dates of furnishing Tax Audit report/ Transfer Pricing Audit report has been extended from 31st October 2020 to 31st December 2020.
2. Those assessee’s who fall in the above category are required to file their ITR’s upto 31st January 2020. Further, the due date of payment of tax in case of these assessee’s (if the tax liability is upto 1 lakh) is extended to 31st January 2020
3. Those assessee’s who are not required to get their accounts audited under this act will be required to file their ITR upto 31st December 2020. Thus, this due date has been extended from 30th November 2020 to 31st December 2020. Further, the due date of payment of tax in case of these assessee’s (if the tax liability is upto 1 lakh) is extended to 31st December 2020.