Confusion Even As ITR Deadline Extended

Mumbai: Central Board of Direct Taxes (CBDT) has extended the due date of filing of ITRs, which are due by July 31, to September 15. However, confusion persists over the fact if due date to pay self-assessment tax is extended.

In past, there were instances when due date to file returns was extended but date for payment of tax was not extended, so interest was levied for extended period. This clarification is awaited. Income Tax Professionals and Taxpayers are awaiting this extension as IT portal has not yet enabled filing of ITR on its portal until May 27.

Narayan Jain, Chairman, AIFTP Direct Tax Representation Committee, said the extension was needed to provide adequate time due to significant revisions in ITR forms, system development needs, and TDS credit reflections.

This will ensure a smoother and more accurate filing by taxpayers, particularly salaried persons, and those business people whose accounts are not required to be audited. Furthermore, cred-its arising from ‘TDS statements, due for filing by May 31, are expected to begin reflecting in early June, limiting the effective window for return filing in the absence of such extension. CBDT has issued a press release announcing the date extension on May 27.

Ashish Niraj, Partner ASN & Company, says, “Aş per Income Tax Law taxpayers whose accounts is not required to be audited (mostly salaried or self-employed, firms) are required to file ITR by July 31. As due date is nearby, professionals and taxpayers are anxious about how they will prepare and file in such short span of time once portal allows filing of ITR.”

Also, AIS Data was not being fetched properly in many cases. Reconciliation of AIS Data with manually available details is important to prepare and file error free returns. As ITR due date has been extended, taxpayers will get enough time to prepare returns, compare with AIS, 26AS etc to avoid mismatch and file it, he said.