In view of the impact of the severe pandemic and spike in COVID-19 cases, Indian taxpayers are facing an inconvenience in meeting deadlines for certain tax compliance and in filing responses to various notices. The Government of India has provided further relaxations and exemptions to ease the compliance burden of taxpayers during this difficult time on the Taxation front via Circular No.12 dated June 25,2021, Notification No. 74/2021 & 75/2021 dated June 25, 2021.
Tax Exemption Receipts:
- Amounts received by a taxpayer from an employer or any other person for COVID-related medical expenditures are tax exempt.
- Voluntary payments received by the family of a deceased employee from the employer are exempt without limit. Receipts from any other person shall be exempt up to Rs. 10 lakhs (US$1,340) in aggregate.
Extension of Due Dates:
| Return Type | Tax Period | Original Due Date | Extendeddue Date(Vide Circular No. 9, Date May 20, 2021) | Extendeddue Date (Vide Circular No. 12, Date June 25, 2021) |
| Filing of Objections to DRP or Assessing Officer u/s 144C | – | June 1, 2021 | – | Within time provided or August 31, 2021, whichever is later |
| The Statement of Deduction of Tax (TDS/TCS Return) | Q4 of FY 2020-21 | May 31, 2021 | June 30, 2021 | July 15, 2021 |
| Issuance of TDS Certificates in Form 16 | FY 2020-21 | June 15, 2021 | July 15, 2021 | July 31, 2021 |
| Application in Form No. 10A/ Form No.10AB, for registration/ provisional registration of Trust | – | June 30, 2021 | August 31, 2021 | |
| Quarterly Statement in Form No. 15CC | Q1 of FY 2021-22 | July 15, 2021 | – | July 31, 2021 |
| Equalization Levy Statement in Form No. 1 | FY 2020-21 | June 30, 2021 | July 31, 2021 | |
| Annual Statement required to be furnished by the eligible investment fund in Form No. 3CEK | FY 2020-21 | June 29, 2021 | July 31, 2021 | |
| Uploading of the declarations received from recipients in Form No. 15G/15H | Q1 of FY 2021-22 | July 15, 2021 | August 31, 2021 | |
| Exercising of option to withdraw pending application in Form No. 34BB | – | June 27, 2021 | – | July 31, 2021 |
| Last date of linkage of Aadhaar with PAN | June 30, 2021 | September 30, 2021 | ||
| Last date of payment of amount under Vivad se Vishwas | Without additional amount | June 30, 2021 | 1stAugust 31, 2021 | |
| Last date of payment of amount under Vivad se Vishwas | With additional amount | – | – | October 31, 2021 |
| Time Limit for passing assessment order | – | June 30, 2021 | – | September 30, 2021 |
| Time Limit for passing penalty order | June 30, 2021 | September 30, 2021 | ||
| Time Limit for processing Equalization Levy returns | – | June 30, 2021 | – | September 30, 2021 |
| Compliances to be made by the taxpayers such as investment, deposit, acquisition, construction etc., for the purpose of claiming exemption under the provisions contained in Section 54 to 54GB | – | Last date falls between April 1, 2021 and September 29, 2021 | – | September30, 2021 |
| Statement of Income paid or credited by an investment fund to its unit holder in Form No 64D | FY 2020-21 | June 15, 2021 | June 30, 2021 | July 15, 2021 |
| Statement of Income paid or credited by an investment fund to its unit holder in Form No 64C | FY 2020-21 | June 30, 2021 | July 15, 2021 | July 31, 2021 |
Key Takeaway
The extension of these due dates will ease the compliance burden for Indian taxpayers to some extent. It is important for Indian taxpayers to keep track of these filing dates to avoid penalties related to missed deadlines.
Please
contact a Withum International Tax Team member to help address your further questions.
contact a Withum International Tax Team member to help address your further questions.
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