This article contains Income Tax Compliance requirements for the Month of December 2020 under Statutory Laws. Compliance means “adhering to rules and regulations.” Compliance is a continuous process of following laws, policies, and regulations, rules to meet all the necessary governance requirements without any failure.
| Sr. No. | Particulars | Period | Actual Due Date | Revised Due Date | |||
| 1 | Due date for deposit of Tax deducted/collected for the month of November, 2020. However, all sum deducted/collected by an office of the government shall be paid to the credit of the Central Government on the same day where tax is paid without production of an Income-tax Challan |
November, 2020 |
07th December, 2020 |
07th December, 2020 (No Change) |
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| 2 | Third instalment of advance tax for the assessment year 2021-22 | AY 2021-22 | 15th December, 2020 | 15th December, 2020 (No Change) | |||
| 3 | Income Tax Return u/s 139 (In cases of assessee to whom TP Audit, Company Audit and Tax Audit is applicable) | AY 2020-21 | 31st October 2020/ 30th November 2020 | 31st January, 2021 | |||
| 4 | Income Tax Return u/s 139 (Other than Sr. no. 2 above) | AY 2020-21 | 31st July, 2020 | 31st December, 2020 | |||
| 5 | Self – Assessment (SA) Tax Liability. No interest chargeable under Section 234A, if the SA Tax liability is up-to INR 1 Lakh | AY 2020-21 | On or Before 31st July 2020/ 31st October 2020 | 31st January, 2021 (In case of assessees not requiring any Audit, it is 31st December, 2020) |
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| 6 | Filing of Tax Audit Report under section 44AB and TP Report under section 92E of the IT Act | AY 2020-21 | 30th September, 2020 | 31st December, 2020 | |||
| 7 | Filing of Master file in Form 3CEAA-Part A and /or Part B | AY 2020-21 | 30th November 2020 | No clarification presumed to be 31st January, 2021* |
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| 8 | Intimation for Master File – Form 3CEAB | AY 2020-21 | 31st October 2020 | 31st December, 2020* | |||
| 9 | Safe Harbour Rule – Form 3CEFA | AY 2020-21 | 30th November 2020 | 31st January, 2021* | |||
| 10 | Filing of Intimation in Form 3CEAC Country by Country Reporting | AY 2020-21 | 31st January 2021 | No Change 31st January, 2021 |
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| 11 | Filing of Form 3CEAD Country by Country Reporting | AY 2020-21 | 31st March 2021 | No Change 31st March, 2021 | |||
| 12 | Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IA in the month of November, 2020 |
November, 2020 |
30th December 2020 |
30th December 2020 (no change) |
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| 13 | Linking of Aadhar with PAN | – | 30th June 2020 | No Change 31st March, 2021 |
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| 14 | Payment under Vivad se Vishwas Act, 2020 | – | 31st March 2020 | As per Notification dated 27 October 2020 31st March 2021* |
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| 15 | Declaration to be filed before the designated authority under Vivad se Vishwas Act, 2020 | 31st March 2020 | 31st December 2020* | ||||
| 16 | Return of income for the assessment year 2020-21 for all assessee other than (a) corporate-assessee or (b) non-corporate assessee (whose books of account are required to be audited) or (c) partner of a firm whose accounts are required to be audited or (d) an assessee who is required to furnish a report under section 92E. |
AY 2020-21 |
31st December 2020 |
31st December 2020 |
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17 |
Matters other than specifically provided:
a. Completion of any proceeding or passing of any order or issuance of any notice, intimation, notification, sanction or approval or such other action, by whatever name called, by any authority, commission or tribunal, by whatever name called, under the provisions of the specified Act; or Filing of any appeal, reply or application or furnishing of any report, document, return, statement or such other record, by whatever name called, under the provisions of the specified Act |
Deadline falling between |
No Change 31st March, 2021 |
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| 18 | Form 24Q, 26Q, 27Q, and 27EQ of Q1 and Q2 | F/Y 2020-21 | 31st March, 2021 | ||||
| 19 | Form 26QB, 26QC, and 26QD | April to November 2020 | 31st March, 2021 | ||||
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20 |
In case where any due date for making payments towards any tax or levy under the specified Act falls between 20.3.2020 and 29.6.2020 and where such tax or levy has been paid on or before 30.6.2020, Interest would be levied at a reduced rate of 0.75% p.m. Further no penalties or prosecution shall be initiated in respect of such amount for the period of delay. No clarification on extension of date for the same is issued. | ||||||
Note: ** The Ministry of Finance has issued a Notification No 85/2020 dated 27 October 2020, under the Vivad se Vishwas Act, 2020, that in order to mitigate undue hardship and remove difficulty that may be caused by the requirement of payment within 15 days from the date the date of receipt of a certificate from a designated authority, allows the declarant to make the payment without any additional amount till on or before 31st March 2021. Further, the declaration can be filed by 31 December 2020.
Important updates:
I-T department allows condonation of delay in filing audit reports by trusts, institutions
The Income Tax Department has allowed condonation of delay in filing audit reports by trusts, institutions, universities, and hospitals who claim tax exemption. Any funds, trusts, institutions including educational and medical universities or hospitals claiming income tax exemption will have to get their accounts audited if their total income of that year exceeds the maximum amount not chargeable to tax.
Income tax law mandates that such institutes can claim tax benefits available to them only after furnishing the tax audit report in form 10BB before the prescribed time.
People opting for a lower tax regime not eligible for LTC stimulus: Govt.
People who opted for the lower tax regime provided in the Budget for 2020-21 are not eligible for the new incentive package through leave travel concession (LTC), said the finance ministry clarified on Thursday, 29th October 2020.
The clarifications said non-central government employees will get tax exemption on cash allowance subject to a maximum of Rs 36,000 per person as deemed LTC fare. (Click here)
FM Sitharaman announces tax relief on some home deals; stimulus tops Rs 30 lakh cr
Finance Minister Nirmala Sitharaman on Thursday announced tax relief on select home sale deals, enhanced credit guarantee program for small businesses, and provide incentives for new job creation as the government widened stimulus measures to boost the economy.
The measures, which also include additional fertilizer subsidy and already announced a production-linked inventive scheme for manufacturing units, totaled Rs 2.65 lakh crore, taking the cumulative stimulus package announced since the lockdown to almost Rs 30 lakh crore, or 15 percent of the Gross Domestic Product (GDP). (to read more: Click here)
I-T Act change: Property sale at lower than circle rate to be exempt from tax
The government on Friday said it would amend the income-tax law to exempt real-estate developers and homebuyers from tax liability if the actual consideration for an asset is lower than the stamp duty value (circle rate) by not more than 20%.
The changes would be applicable only to the primary sale of residential properties not exceeding Rs 2 crore in value. Without the relaxation, the developer selling the flat at a price lower than the circle rate would be liable to pay tax on profits calculated on the basis that the flat/home was sold at the circle rate.
Similarly, the buyer would be taxed on a differential amount between the circle rate and the actual consideration under section 56(2)X — which is an anti-evasion provision and brings to tax consideration that deviates from fair market value.
Income Tax Return filing: Tax changes to keep in mind while filing ITR for AY 2020-21
The ITR filing due date for AY 2020-21 stands extended to 31 December 2020, and 31 January 2021 for tax audit cases. The ITR forms notified carry some significant changes such as in reporting requirements, tax deductions, and changes introduced in Budget 2019. Taxpayers should bear in mind these changes while filing their ITR for AY 2020-21 (FY 2019-20).
Budget 2019 introduced the interchangeability of PAN and Aadhaar. An individual who does not have a PAN can quote the Aadhaar number at various places in the ITR. For example, the ITRs enable quoting of Aadhaar in the case of a buyer of immovable property, a tenant while reporting income from house property, ITR filing by the representative assessee, etc.
The ITR also incorporates new criteria introduced for mandatorily filing of tax return even though the gross total income of the individual is below the basic exemption limit. The compulsory filing is applicable in case any of the below criteria are satisfied:
- Deposited in one or more current account(s) an amount or aggregate of amounts exceeding Rs 1 crore during the FY 2019-20
- Expenditure on travel to a foreign country incurred of an amount exceeding Rs 2 lakh in aggregate for self or any other person
Important Notifications – For the month of November – 2020:
| Sl. No. | Particulars of the Notification(s) | File No. / Circular No. | Notification Link(s) |
| 1. | Extension of due dates for filing Income-tax Returns and Tax Audit Reports under the Income-tax Act, 1961 for AY 2020-21 | Notification No. 88/2020/ F. No. 370142/35 /2020-TPL | |
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2. |
Clarification in respect of the Direct Tax Vivad se Vishwas Act, 2020 | Circular No. 18 / 2020 | |
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3. |
sovereign wealth fund, namely, the MIC Redwood 1 RSC Limited, Abu Dhabi, United Arab Emirates | Notification No. 89/2020/ F. No. 370133 /16 / 2020-TPL | |
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4. |
the Equalisation levy (Amendment) Rules,2020 | Notification No. 87/2020 / F. No. 370142/ 21/2020-TPL | |
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5. |
Condonation of delay under section 119(2)(b) of the Income-tax Act, 1961 in filing of Form No. 10BB for Assessment Year 2016-17 and subsequent years | Circular No. 19/2020 | |
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6. |
Income Tax Department conducts searches in Tamil Nadu | Release ID: 1672235 | |
| 7. | India has Moved from Tax-Terrorism to Tax-Transparency: Prime Minister | Release ID: 1671979 | |
| 8. | Income Tax Department conducts searches at various locations in Uttar Pradesh | Release ID: 1674334 | |
| 9. | Instruction sheets for filling of ITR-2,3,5,6 & 7 revised for better clarity |
