Taxpayers may not benefit due to the complex conditions the extensions come with
As part of the covid-19 pandemic-related relief measures, and due to the lockdown in the country, the government on 31 March promulgated an ordinance, relaxing certain provisions of income tax and other tax laws, and extending certain due dates under these laws. This ordinance also provided for the government to notify any other dates. On 24 June, it notified further extensions to certain due dates. What are these concessions, how do they affect the common taxpayer and do they really provide the needed relief?
There is no extension provided for payment of advance tax, which is payable by 15 June, 15 September, 15 December and 15 March. However, if the advance tax payable by 15 June is paid by 30 June, interest would be payable at 0.75% per month instead of 1.5%. However, if you miss the due date of 15 June, it appears that the interest would still be payable for a period of three months, as usual, and not just for the 15 days delay.
Belated and revised income tax returns (ITR) for the financial year 2018-19 can now be furnished till 31 July.
The due dates for filing ITR for all taxpayers for FY20 has been extended to 30 November. However, if you are a salaried employee and wish to file your return of income early, you may still need to wait awhile till your employer and banks, where you hold fixed deposits, upload their tax deducted at source (TDS) returns and the online Form 26AS is updated. This may not happen till 15 August, since the due date for TDS returns, which was 31 May, has also been extended to 31 July.
Source: livemint
