1. The due – date for filing Income Tax Return (for specified assesses*) of A.Y. 2019-20 was 31st July’2019.
  2. If an assessee fails to file his ITR by the due date he/she has becomes liable to pay the penalty under Section 234F ranging from Rs 1,000/- to Rs 10,000/- depending upon as the case may be and interest under Section 234A & B of Income Tax Act.
  3. The taxpayers on the basis of extensions granted in previous years were seeking an extension this time as well for filing their Income Tax Returns. And the hopes for extension were based upon the various difficulties being faced by the taxpayers due to non issuance/delayed issuance of Form 16 by their employers.
  4. On 23rd of July’2019, the Income Tax Department extended the due date for filing of Income Tax Returns for A.Y. 2019-20 from 31st July’2019 to 31st August’2019
  5. The said extension has been granted on the basis of difficulties facing by the taxpayers while filing their Income tax Returns due to the non issuance of Form 16 by the employers.
  6. But has this due date been extended in all the means? This question arises due to the implications of clauses off the penalty and interest.
  7. The due date has been extended and as a result if you file your Income Tax Return after 31st July’2019, there shall be no late penalty be charged. But what about interest on tax, yes that has not been relaxed. Only the interest under section 234A shall not be payable but interest under Section 234B is still payable.
  8. Therefore, if you wish to file your ITR by the extended deadline i.e. 31st August’2019, it is advisable to pay your taxes by 31st July’2019.

We hope you find the article useful, for any further queries / clarification you may contact:-

CA. Bharat Poplani