According to the experts, the Tax Department may need to come out with more measures an extension of the timelines in order to help the taxpayers complying with the statutory norms due to the increasing number of coronavirus cases. Tax experts have always welcomed the initiatives taken by the Finance Ministry to help the taxpayers during coronavirus pandemic.
Observing that major relief measures in terms of extension of timelines and interest waivers were undertaken by the government through an Ordinance on March 31, Gaurav Mohan, CEO AMRG & Associates said, “Considering the current situation, more and more relief measures are needed for the taxpayers to keep the economy rolling which are being introduced with time”.
Among other measures, the Income Tax Department has extended various timelines to help the taxpayers remain on the right side of the law even during the times of pandemic and repeated extensions of lockdowns to prevent the spread of coronavirus.
Commenting on the government’s decision extend the date of filing of an income tax return in view of the pandemic, Naveen Wadhwa, DGM, Taxmann said, “The due date of furnishing return of income for all assessee for the financial year 2019-20 has been extended to November 30, 2020, in place of July 31 and October 31, 2020. Hence, all the assessee who are required to file ITR by July 31, 2020, or October 31, 2020, can file their return of income till November 30, 2020, without paying any late fee charges.
Taxpayers will not have to pay any interest if the self-assessment tax liability remains within Rs 1 lakh and the return is filed within the due date of November 30.
However, “if the self-assessment tax liability of a taxpayer exceeds Rs 1 lakh, he would be liable to pay interest under the section.
