Extension of ITR filing deadline for FY 2019

The growing crisis of corona virus has brought the entire world to stand still. With the growing casualties of the virus, government has no other option to go for the complete lockdown in the country. The magnitude and severity of the crisis has resulted in the changing of many government policies and regulations and the one among those was the extension of ITR filing deadline for the FY 2019.

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As a relief for majority of individuals under the major crisis, the government has decided to extend the deadline for belated income tax return for the financial year 2018–19 from March 31, 2020 to June 30, 2020.

The decision has come up because of curfews and lockdowns enforced because of the spread of pandemic corona virus all across the country. Finance Minister Nirmala Sitharaman announced the news of extension in her press conference held on March 24, 2020.

This has resulted in change in many company probations too. The Professional ITR filing expert will be able to provide deep insight into the matter. With the extension in the last date of filing ITR, the due date for linking PAN with Aadhaar and payment of tax under the “Vivad se Vishwas” scheme to avoid paying extra and added 10 per cent tax has also been extended to June 30, 2020.

However, there are no sections mentioned and thus it is not very clear, whether the cut off investment dates for all the tax savings investments u/s 80C has been also extended or not. Also, there is confusion and apprehension, pertaining to the extension in date of voluntary contribution in Tier -1 Account of National pension system — NPS u/s 80CCD (1B), payment of health insurance premium u/s 80D as well as on providing funds via donations u/s 80G.

The best CA firms in Delhi will be able to guide you in all the aforesaid aspects and help you out with the filing of returns and abiding with the other government regulations; that have been changed or extended during this pandemic period of Covid — 19.

Covid -19 tax deadline: What one needs to be aware of?

1. Tax return deadline — July 15, 2020: The tax filing is now due on this date and in case you need more time, you can request an extension to October 15, 2020.

2. Tax payment deadline — July 15, 2020: In case you owe income taxes for 2019, you can delay your IRS payment until this time and if you make payment before this deadline, you will not owe any interest or penalties.

Persons liable for tax filing and payment deferrals

1 Individual Form 1040 filers

2 Corporations filing Form

3 Trusts and states filing Form 1041

4 Fiscal year partnerships, companies and associations with due dates on April 15; 2020

Delay my filing and payment of tax

It is imperative to file your tax return or extension by July 15, as normally you do. The 90 day tax payment deferral is automatic when you file, in other words Interest and penalties are waived automatically for 90 days and will not accrue for qualifying tax payers and organizations until after July 15.

I need more time to prepare my return

In this case you need to file Form 4868 to request an extension by July 15, 2020. This extension would give you until October 15 to file your return, but your payment would be due by extended payment deadline i.e. July 15, 2020.

Cases of Refund

The individual will receive refund within the normal time period.

Payments covered

It covers all income tax payments as well as normally associated interest and penalties such as failure to pay penalty. Also covers estimated payments due on April 15, 2020.

Amount that can be deferred

No limit on the amount of tax payment that can be deferred.

Leading tax firm will be able to provide better guidance and expert advice on all and any doubts and apprehensions that one has in mind regarding this extension.