The income tax department may extend the last date to file Income Tax Return (ITR) again, given the devastating floods of Kerala that have taken the whole country by surprise.
“The income tax department may increase the deadline by few more days given the large-scale calamity that has hit Kerala,” said an income-tax official on the condition of anonymity.”
Earlier, the Central Board of Direct Taxes (CBDT) extended the due date for the filing of Income Tax Return from July 31, 2018 to August 31, 2018.
CBDT stated in a circular issued on July 26, “The due date for filing of Income Tax Returns for Assessment Year 2018-19 is 31.07.2018 for certain categories of taxpayers. Upon consideration of the matter, the Central Board of Direct Taxes(CBDT) extends the ‘due date’ for the filing of Income Tax Returns from 31st July, 2018 to 31st August, 2018 in respect of the said categories of taxpayers.”
The one-month extension gave a great relief to taxpayers who were not ready with the tax-return. Tax experts also said that the extension gave them more time to understand the additional reporting requirements imposed in the recently revised tax audit report.
Considering there has been no intimation yet, the advice is not to sit back as any delay in not complying with the deadline can put you into a trouble from this year onwards. There is a penalty of Rs 5,000 if you file it after August 31 and Rs 10,000 if filed after December 31, 2018.
Separately, the income tax return filed in last one year has doubled in number. Data collected up to the last week of July shows the number of refund cases has increased by more than 81 per cent to 65 lakh. The refund amount cleared was Rs 77,700 crore, which was 35 per cent higher than the figure last year.
The income tax department successfully added 1.06 taxpayers last year and the aim is to increase another 1.25 crore new taxpayers.