Reliefs by Finance Ministry due to COVID-19 Pandemic

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Marathi Version (मराठी आवृत्ती) : http://www.ssburad.com/blog/1260/

The Hon’ble Finance Minister has announced some major changes and relief in Direct Tax, Indirect Tax, Corporate and other Law. The announcement in brief are as follows      

1. Service Tax

Extension for payment of service Tax under SVLDR, 2019 Scheme

The taxpayer who has applied for Sabka Vishwas (Legal Dispute Resolution) Scheme, 2019 is allowed 30 days’ time limit for paying the tax dues from the date of issue of SVLDR Form-3 by the designated committee.  If the tax payer does not pay the said dues, the taxpayer will be ineligible for the scheme and face legal consequences

The Payment date for paying the tax dues under SVLDR scheme shall be extended to 30th June, 2020. No interest for this period shall be charged if paid by 30th June, 2020. It is very good for those applicant, who are unable to pay within 30 days in present situation.       

2. GST

  1. Extension Due date for GSTR 3B Return of March, April and May, 2020
    1. Those having aggregate annual turnover less than Rs. 5 Crore :

      Last date for filing GSTR-3B in March, April and May 2020 will be extended till the last week of 30th June, 2020. No interest, late fee, and penalty to be charged

    2. For others : 
      For any delayed payment made between 20th March 2020 and 30th June 2020 is  reduced rate of interest @ 9 % per annum (Current interest rate is 18%) will be charged. No late fee and penalty to be charged, if complied before till 30th June 2020.
  2. Extension for Annual Return filing for Financial year 2018-19 :
    The due date for filing GST annual returns of FY 18-19, which is due on 31st March, 2020 is extended till the last week of June 2020.
  3. Extension for opting Composition Scheme, paying tax and filing Return :
    The taxpayer who wish to opt for composition scheme for FY 2020-21 has to file the intimation in Form GST CMP-02 upto 31st March 2020. This is extended till the last week of June, 2020.
    Further, the last date for making payments for the quarter ending 31st March, 2020 and filing of return for 2019-20 by the composition dealers will be extended till the last week of June, 2020.
  4. Extension of dates under notices, approval order, sanction order, appeal etc. :
    Due date for issue of notice, notification, approval order, sanction order, filing of appeal, furnishing of return, statements, applications, reports, any other documents, time limit for any compliance under the GST laws where the time limit is expiring between 20th March 2020 to 29th June 2020 shall be extended to 30th June 2020.
  5. Necessary legal circulars and legislative amendments to give effect to the aforesaid GST reliefs shall follow with the approval of GST Council
          

3. Customs

  1. Custom clearance 24 hours :

    24×7 Custom clearance till end of 30th June, 2020

  2. Due date for issue of notice, notification, approval order, sanction order, filing of appeal, furnishing applications, reports, any other documents etc., time limit for any compliance under the Customs Act and other allied Laws where the time limit is expiring between 20th March 2020  to 29th June 2020 shall be extended to 30th June 2020. 

4.Income Tax

  1. Extension of Income Tax Return (For FY 2018-19) filing date:

    The last date for filing belated Income tax Return for FY 2018-19 (AY 2019-20) with late fee is 31.03.2020, which is extended to 30th June, 2020.

  2. Aadhaar-PAN linking date to be extended to 30th June, 2020 (from
    31st March, 2020)
  3. Vivad se Vishwas  scheme – no additional 10% amount, if payment made by June 30, 2020.
  4. Extension of time limits for Notices, intimation , Approval orders, filing appeal :
    Due dates for  for  issue  of notice, intimation, notification, approval order, sanction order, filing of appeal, furnishing of return, statements, applications, reports, any other documents and time limit for completion of proceedings by the authority and any compliance by the taxpayer including investment in saving instruments or investments for roll over benefit of capital gains   under Income Tax Act,  Wealth Tax Act, Prohibition of Benami Property Transaction Act, Black Money Act,  STT law, CTT Law, Equalization Levy law, Vivad Se Vishwas  law  where the time limit is expiring between 20th March 2020  to 29th June 2020 shall be extended to 30th June 2020.
  5. Interest rate for delayed payment is reduced. :
    For delayed payments of advanced tax, self-assessment tax, regular tax, TDS, TCS, equalization levy,  STT, CTT  made between 20th March 2020  and  30th June 2020,  reduced interest rate  at 9% instead of 12 % / 18 % per annum ( i.e. 0.75% per month instead of 1 / 1.5 percent per month) will be charged  for this period.  No late fee/penalty shall be charged for delay relating to this period.
  6. Necessary legal circulars and legislative amendments for giving effect to the aforesaid relief shall be issued in due course l
          

5. Corporate Law

  1. ‎No additional fees for delayed submission till 30th ‎September,2020 :‎

    ‎No additional fees shall be charged for late filing during a ‎moratorium period from 01st April to 30th September 2020, in ‎respect of any document, return, statement etc., required to be filed ‎in the MCA-21 Registry, irrespective of its due date, which will not ‎only reduce the compliance burden, including financial burden of ‎companies/ LLPs at large, but also enable long-standing non-‎compliant companies/ LLPs to make a ‘fresh start’‎

  2. Extension for holding Board meeting :

    The mandatory requirement of holding meetings of the Board of the companies within prescribed interval provided in the Companies Act (120 days), 2013, shall be extended by a period of 60 days till next two quarters i.e., till 30th September

  3. New CARO,2020 made applicable from 2020-21 :

    Applicability of Companies (Auditor’s Report) Order, 2020 shall be made applicable from the financial year 2020-2021 instead of from 2019-2020 notified earlier. This will significantly ease the burden on companies & their auditors for the year 2019-20.

  4. No violation for not holding meeting of Independent Director :

    As per Schedule 4 to the Companies Act, 2013, Independent Directors are required to hold at least one meeting without the attendance of Non-independent directors and members of management. For the year 2019-20, if the IDs of a company have not been able to hold even one meeting, the same shall not be viewed as a violation.

  5. Extension of creation of deposit reserve to 30.06.2020 :

    Requirement to create a Deposit reserve of 20% of deposits maturing during the financial year 2020-21 before 30th April 2020 shall be allowed to be complied with till 30th June 2020.

  6. Extension of date of Investment of 15% in specified investment to 30.06.2020 : Requirement to invest 15% of debentures maturing during a particular year in specified instruments before 30th April 2020, may be done so before 30th June 2020
  7. Grant of additional 6 month to file declaration to newly incorporated company :

    Newly incorporated companies are required to file a declaration for Commencement of Business within 6 months of incorporation. An additional time of 6 more months shall be allowed.

  8. Non-compliance of minimum residency in India for a period of at least 182 days by at least one director of every company, under Section 149 of the Companies Act, shall not be treated as a violation

 

 

Mar 25, 2020 - Blog - Team SSB



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