Will the government extend the deadline for these 5 important tasks due to Corona?
In many cities, there is almost a closed situation. People are working from home.
Corona has stirred up a time when the financial year is on the verge of ending. March is very important in terms of financial planning. This month many important works are ending. These include belated returns, filing of revised returns, linking PAN and Aadhaar, etc.
In many cities, there is almost a closed situation. People are working from home. This is because people are avoiding going to a crowded place.
Now the big question arises that will the government extend the deadline for some of these important works?
The Income Tax Employee Funding and Income Tax Gazetted Officers Association have written to the Chairman of the Central Board of Direct Taxes, CBDT, to raise the financial year from March 31 to April 30.
Let’s see why people are appealing to the government to extend their deadline.
1. Confidence Scheme by Dispute
Under the trust scheme from the dispute, taxpayers who want to settle their tax dispute with the government, they have to do this work by 31 March 2020. In this, they have to pay only the basic amount of tax in select cases. Penalty or interest on it will be waived.
The forms for the scheme have been notified only on March 18, 2020. Since there are only a few left in it. Therefore, many chartered accountants are appealing to extend this date.
Karisma Fatfekar, a partner at Deloitte India, says, “The trust scheme from the dispute has been implemented and the rules and forms have been published. The taxpayers who have so far analyzed their disputed cases should start the process properly Will be required. Given the current conditions, the government can extend its duration.
2. Filing of belated tax return
March 31 is the deadline for filing returns late. Late filing of income tax returns attracts a penalty. The deadline for filing tax returns for the financial year 2018-19 (the assessment year 2019-20) was 31 July 2019, which was later extended for a month.
The next deadline to file my return was late, 31 December 2019. The last date for completion of this work is 31 March 2020. However, due to the late filing, it attracts a penalty.
If your income is less than Rs 5 lakh, then the late filing fee for filing late returns is up to Rs 1000. If your income is more than Rs 5 lakh, then by March 31 this penalty can be up to Rs 10,000.
3. Filing of revised ITR
If there is a discrepancy in your ITR, this is also the last date to file the revised return. Problems can arise if you enter the next financial year without filing ITR. Therefore, it is okay to file your delayed or revised return within this time frame.
The deadline for linking PAN and Aadhaar is 31 March. There is a penalty of Rs 10,000 if the two are not linked.
The government has extended the last date for linking Aadhaar with PAN several times. Its deadline is now 31 March 2020. If you fail to link your PAN and Aadhaar by this deadline, then the Income Tax Department can impose a penalty of up to Rs 10,000 on you.
For example, your PAN can be considered inactive and if you make a transaction after this deadline using your bank account linked to your PAN which is not linked to your Aadhaar, then you may have to pay Rs 10,000 fine.
You may have to pay a penalty every time you violate this rule. So it would be fine to link your PAN and Aadhaar immediately. Linking PAN and Aadhaar is mandatory if you want to file your tax return and take important financial steps like opening a bank account, buying and selling property, applying for a loan or a credit card, investing, etc.
5. Termination of PM Housing Scheme
The benefit of credit subsidy under the Pradhan Mantri Awas Yojana (PMAY) is available only till 31 March. The RBI has advised people not to go to the bank unless there is no urgent work due to Coronavirus. In the current situation, many people may miss out on this scheme.