DUE DATES EXTENSION AFTER LOCKDOWN DUE TO OUTBREAK OF PANDEMIC COVID-19
- Financial Year 2019-20 is not at all extended till 30TH June 2020–Only the due date is extended for compliances which were required by March 31, 2020 either by taxpayers or by the tax authorities have been deferred till June 30, 2020.
- Belated returns or revised returns for the FY 2018-19 can be filed till 30th June 2020-All taxpayers who have not filed the return of income of FY 2018-19 can file or revise the return till due date June 30, 2020. In the normal course, the belated income tax return cannot be filed after the end of the relevant assessment year. However, due to lockdown, the Government is allowing the filing of return of FY 2018-19 (AY 2019-20) till June 30, 2020.
- In the financial year 2019-20, income is taxable till 31st March 2020 only and not up to June 30, 2020 i.e. for taxability of income financial year is considered till March 31, 2020 only-The income of the financial year 2019-20 (i.e. till March 31, 2020) will be taxable for the financial year 2019-20.
- Deductions under sections 80C, 80D can be claimed by investing till June 30, 2020-Investments in PPF/ LIC, etc which are eligible for deduction u/s 80C and Mediclaim payment for deduction u/s 80D, under In
- New LIC, PPF, NPS, Mediclaim, etc policies taken till June 30, 2020 will be eligible for the deduction for the FY 2019-20–New policies or investments taken/ done after 31st March 2020 but before 30th June 2020 are also eligible for the deduction for FY 2019-20 along with investments done before March 31, 2020. However deduction on investments claimed in FY 2019-20 cannot be claimed in FY 2020-21 even for investments made after March 31, 2020.
- Payment of premium of old policies of LIC, Mediclaim, PPF, NPS, etc due up to 31sT march 2020 can be claimed as deduction even if paid till 30th June 2020– If the person pays the premium which is due in April 2020 and if he makes the payment of the same before June 30, 2020 then he can get the deduction in FY 2019-20 (AY 2020-21). Only the payment of such policies which has become due before March 31, 2020 would be considered for deduction.
- Housing loan interest is eligible for deduction on an accrual basis. Therefore, interest accrued till 31st March 2020 will be eligible for deduction in FY 2019-20. However instalments due up to 31st March 2020 can be claimed as deduction even if paid till 30th June 2020-If a person deposits the amount in April to June 2020 in his housing loan account, then he would be eligible for deduction u/s 80C subject to the condition that the amount is due till March 2020. It may be noted that interest on housing loan is eligible for deduction u/s 24(b) on an accrual basis and not on a payment basis. All interest which is due till March 31, 2020 even if not paid (even till June 30, 2020) is eligible for claiming in AY 2020-21 itself that way this is not specific to current extension as it is there in the section for all years.
- The date for claiming deduction u/s 80G has been extended up to 30.06.2020– The donations made till June 30, 2020 can be claimed as a deduction for FY 2019-20 (AY 2020-21).
A special fund “Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund (PM CARES Fund)” has been set up for providing relief to the persons affected by the outbreak of Corona Virus.
100% deduction is available to the donor under section 80G of the Income Tax Act, 1961 on donations made to PM CARES Fund till 30th June, 2020 for FY 2019-20 (AY 2020-21).
Further, limit on deduction of 10% of gross total income shall also not be applicable for donation made to PM CARES Fund.
Hence, any person including the corporate paying concessional tax on the income of FY 2020-21 under new tax regime can make a donation to PM CARES Fund up to 30.06.2020 and can claim deduction under section 80G against income of FY 2019-20 and shall also not lose its eligibility to pay tax in the concessional tax regime for the income of FY 2020-21.
Aadhaar-PAN linking due date has been extended from March 31, 2020 to June 30, 2020.
Vivaad Se Vishwas Scheme extended till June 30, 2020– The time limit to avail the Vivaad Se Vishwaas scheme has been extended up to June 30, 2020. The waiver of the 10% additional charge continues up to June 30, 2020 instead of the earlier due date of March 31, 2020.
11. Interest at the reduced rate of 9% for delayed payments- The interest on late payment of income tax levies in form of advance tax, self-assessment tax, TDS, TCS and Equalisation levy Tax shall be charged at the rate of 9% per annum instead of 12% or 18% per annum.
But no extension in deadlines. No late fee/ penalty shall be charged on any delay.
12. Time limit extended till 30th June, 2020 for compliance related matters-The assesses and/ or income tax authorities got an extension up to 30th June, 2020 for any of the following matters expire between 20th March 2020 and 29th June 2020:
-Issue of notice/ intimation/ notification/ approval order/ sanction order
-Filing of an appeal/ furnishing of a return/ statements/ reports or any other documents
The time limit for completion of proceedings by tax authorities.
WAIVERS/EXTENSIONS RELATED TO GST FILINGS
13.Waiver of late fee for filing GSTR-3B
For tax payers whose turnover exceeded Rs 5 crore in preceding financial year
a) For the months of feb 2020, March 2020 and April 2020– No late fee shall be levied for filing Form GSTR 3B if return is filed by 24th June 2020. It means if return is filed after due date 24th June 2020, then late fee shall be levied w.e.f original due date till date of filing GSTR-3B.
b) For May 2020-Due date of filing GSTR 3B has been extended till 27th June 2020. In case return is filed after 27th June 2020, then late fee shall be calculated w.e.f 28th June 2020 till date of filing return.
For tax payers whose turnover exceeded Rs 1.5 crore and upto Rs 5 crore in preceding financial year
a) For the months of feb 2020 and March 2020– No late fee shall be levied for filing Form GSTR 3B if return is filed by 29th June 2020. It means if return is filed after due date 29th June 2020, then late fee shall be levied w.e.f original due date till date of filing GSTR-3B.
b) For the month of April 2020– No late fee shall be levied for filing Form GSTR 3B if return is filed by 30th June 2020. It means if return is filed after 30th June 2020, then late fee shall be levied w.e.f original due date till date of filing GSTR-3B.
c) For the month of May 2020– Due date of filing GSTR 3B has been extended to
- 12th July 2020- for Group 1 states/UTs (Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana, Andhra Pradesh, Daman & Diu and Dadra & Nagar Haveli, Puducherry, Andaman and Nicobar Islands, Lakshadweep)
- 14th July 2020-for Group 2 states/UTs (Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand, Odisha, Jammu and Kashmir, Ladakh, Chandigarh, Delhi)
In case return for the month of May 2020 is filed after 12th or 14th July 2020, then late fee shall be calculated w.e.f 13th or 15th July 2020 till date of filing return.
14. Extension for filing Form GSTR-1
a) For taxpayers opted for monthly return filing-Due date of filing GSTR-1 has been extended to 30th June 2020 for the month of March 2020, April 2020 and May 2020
b) For tax payers opted for quarterly return filing-Due date of filing GSTR-1 has been extended to 30th June 2020 for the quarter ended March 2020.
15. Interest rate reduced for late payments
a) Tax payers having annual turnover upto Rs 5 crores in preceding financial Year-No interest shall be levied on taxpayers with annual aggregate turnover up to Rs 5 crores if return is filed before extended date. In case return is filed after extended date, benefit of NIL interest cannot be availed.
b) Taxpayers having annual aggregate turnover more than Rs 5 crore- Interest will be charged at the rate of 9% per annum instead of 18% per annum on any payments delayed for more than 15 days. Benefit of reduced rate of interest can be availed only if returns are filed before extended due dates.
16. Last date for opting for composition scheme for FY 2020-21 has been extended from March 31, 2020 to June 30, 2020.