There have been some key changes in the income-tax compliance requirements made by the Government of India to provide compliance relief for individuals and businesses in the midst of the on-going COVID-19 crisis.
Here are six recent changes in the Income-tax compliance requirements
Extension in the date for filing ITR
The Ministry of Finance issued a notification regarding the due date for filing of original as well as revised ITR for the AY 2019-20 (FY 2018-19) has been extended to July 31, 2020. Along with this, the due date for filing ITR for AY 2020-21 (FY 2019-20) has been extended to November 30, 2020. The government has also extended the date for furnishing tax audit report to October 31, 2020.
Extension in PAN-Aadhaar linking deadline
As per an earlier announcement, the deadline for linking PAN with Aadhaar card was June 30, 2020. It has now been extended to March 31, 2021. This extension in deadline has provided some relief to those who are yet to link their PAN and Aadhaar.
Extension in the due date of self-assessment tax payment
The Government has extended the due date for self-assessment tax payment to November 30, 2020. This move will help the middle class and small business owners who are witnessing a temporary money crunch due to the lockdown.
However, this relaxation is given only to those with self-assessment liability up to Rs. 1 lakh. So, taxpayers whose self-assessment liability is more than Rs. 1 lakh will not benefit from this extension on the due date.
Extension in date for making tax-saving investments
The Government has further extended the date for making various investments or payments for claiming deduction under Chapter-VIA of the Income Tax Act, which includes Section 80C investments (PPF, LIC, NSC, etc.), Section 80D (Mediclaim), and Section 80G (Donations). With this extension, one will now be able to make investments or payments up to July 31 2020 for claiming deductions under the various sections for Financial Year 2019-20.
Extension in date for claiming deduction in respect of capital gains
Investment, construction, or purchase of house up to September 30, 2020, will now be eligible for claiming capital gains deduction for the previous financial year (FY2019-20). The Government has extended the last date for making an investment, construction, or purchase for claiming deduction in respect of capital gains under sections 54 to 54GB of the Income Tax Act to September 30, 2020.
Extension in date for furnishing and issuance of TDS and TCS certificates
The date for furnishing TDS/TCS statements and issuance of TDS/TCS certificates pertaining to the FY 2019-20 has been extended to July 31, 2020, and August 15, 2020, respectively. This is sure to bring in much-needed relief for employers and other deductors.