In a bid to provide relief to taxpayers amid the ongoing COVID-19 crisis, the Income Tax (I-T) department has extended the deadline for tax saving investments/payments for financial year 2019-20 up to July 31. The Central Board of Direct Taxes (CBDT) has extended the time limit for making investments to claim income tax deduction by a month till July 31, 2020. It also eased the last date for furnishing and issuing TDS (tax deducted at source) or TCS (tax collected at source) statements/certificates pertaining to financial year 2019-20 to July 31 and August 15 respectively. This is the last month for filing the income tax return (ITR) for financial year 2018-19 (assessment year 2019-20).
Understanding the current times that we are in, we have further extended deadlines. Now, furnishing of TDS/TCS statements for FY 19-20 extended to 31st Jul, 2020 & issuance of TDS/TCS certificates for FY 19-20 extended to 15th Aug, 2020: Income Tax Department pic.twitter.com/XohnKhge9mANI (@ANI) July 3, 2020
Last week, the Income Tax Department had extended the due date for assesses to file their returns for the income earned between April 1, 2018 and March 31, 2019 by one month, to July 31, 2020. The deadline for filing income tax returns (ITRs) for financial year 2019-20 is November 30. Therefore, the return of income earned between April 1, 2019 and March 31 2020 which was due by July 31 can now be filed by November 30.
Taxpayers are allowed a range of deductions against investment in life insurance, provident fund (Section 80C of the Income Tax Act) and health insurance (Section 80D) for financial year 2019-20.
The Income Tax Department has also allowed assesses to claim deductions in capital gains arising out of investments, construction and purchases made till September 30, 2020. Capital gains tax is the tax payable on sale of assets such as equities and mutual funds.
The government had in March extended a slew of deadlines under income tax laws due to the coronavirus pandemic and the resultant nationwide lockdown.
The move by the taxman was aimed at easing the process of filing original as well as revised income tax return for the assessees.