Taxpayers have until the end of May, or until the date stated in the law or in the notice given, whichever is later, to file these returns for which the due date was 1 April or later.

In light of the difficulties taxpayers and consultants are facing as a result of the devastating second wave of the coronavirus pandemic, the Central Board of Direct Taxes (CBDT) extended deadlines for various legislative returns and, in some cases, depositing tax deducted at source (TDS).

According to an official announcement, the extra time has been granted for filing tax returns in response to a notice, filing appeals to commissioners, and raising objections to orders of dispute resolution committees. Taxpayers have until the end of May, or until the date stated in the law or in the notice given, whichever is later, to file these returns for which the due date was 1 April or later.

In addition, extra time has been granted until May 31, 2021, for the filing of belated tax returns and updated returns for assessment year 2020-21, which were due on or before March 31, 2021. If an assessee discovers an error or false statement in the original return, the Income Tax Act requires them to file amended returns before the end of the assessment year or until the tax assessment is completed.

The deadline for TDS enforcement by persons making payments in real estate transactions has been extended from April 30 to the end of May. This holds true for both remitting deducted taxes to the IRS and filing the proper tax statement. In property transactions, there is a 1% TDS requirement.

There is a 5% TDS threshold for rent payments above Rs50,000 per month. In these situations, the deadline for paying the government and filing the statement has been extended from April 30 to May 31. A similar extension of time has been granted in the case of employment contracts, including the provision of labour for the completion of the work.

According to the CBDT announcement, these relaxations are the latest in a series of government measures aimed at making enforcement easier for taxpayers and providing relief during these trying times. The CBDT said it had received many requests for extensions of time from taxpayers, contractors, and other stakeholders across the region.

On April 28, Mint announced that small businesses suffering business losses and manpower shortages were seeking another round of government enforcement relief.