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Various relief for compliance services under covid crises

DigitalCA
Mar 29, 2020

Central Government of India and various institutions announced various relief to the public at large to fight against Covid-19. Following are the FAQ which helps you to understand it.

GST (Goods & Service Tax)

  1. What is the due date of 3B for the month of February, March & April, if annual aggregate turnover is up to 5 Crores? Can Interest & Penalty be charged?
  • Due dates of GST 3 B return for the month of February, March & April extended to 30.06.2020.
  • No interest, late fee, and penalty to be charged.

 

  1. What is the due date of 3B for the month of February, March & April, if annual aggregate turnover more than 5 Crores? Can Interest & Penalty be charged?
  • Due dates of GST 3 B return for the month of February, March & April extended to 30.06.2020.
  • Interest would attract reduced rate of interest @9 % per annum from 15 days after due date (current interest rate is 18 % per annum).
  • No late fee and penalty to be charged, if complied before till 30 June 2020.

 

  1. What is the duet date for opting for composition scheme?

 

 

  1. What is the due date of GST Annual Return (GSTR-9, 9A, 9B, 9C) for Financial Year 2018-19?
  • Date for filing GST annual returns of FY 18-19, which is due on 31 March, 2020 is extended till the last week of June 2020.

 

  1. Any extension of Due date of any order, appeal etc. is expiring between 20 March 2020 to 29th June 2020?

 

  • 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 20 March 2020 to 29th June 2020 shall be extended to 30th June 2020.

 

  1. Any extension of Payment date under Sabka Vishwas Scheme?

 

  • Payment date under Sabka Vishwas Scheme shall be extended to 30 June, 2020. No interest for this period shall be charged if paid by 30 June, 2020.

 

 

Income Tax:

 

  1. What is the due date of ITR for FY 2018-19?
  • Extend last date for income tax returns for (FY 18-19) from 31 March, 2020 to 30 June, 2020.

 

  1. What is the due date of linking of Aadhar & PAN?

 

  • Aadhaar-PAN linking date to be extended from 31 March, 2020 to 30 June, 2020.

 

  1. What is due date of Vivad se Vishwas scheme?
  • Vivad se Vishwas scheme – no additional 10% amount, if payment made by June 30, 2020.

 

  1. Any extension of Due date of any order, appeal etc. is expiring between 20 March 2020 to 29th June 2020?

 

  • Due dates 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 is expiring between 20 March 2020 to 29 June 2020 shall be extended to 30th June 2020.

 

  1. What is the limit of investment for deductions as per section 80c to 80U and capital gain investment u/s 54?

 

  • 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 20 March 2020 to 29 June 2020 shall be extended to 30th June 2020.

 

  1. Any relief for Advance Tax, Self-assessment Tax & TDS due date?
  • Rebated rate of interest will be applicable for delayed payments of advanced tax, self-assessment tax, regular tax, TDS, TCS, equalization levy, STT, CTT made between 20th March 2020 and 30 June 2020,

 

  • The 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.

 

Corporate Affairs

 

  1. Whether additional fee will be charged during this covid crises?

 

  • 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’;

 

  1.  Any relief for compulsory board meeting under companies act?
  • 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;

 

  1. What is the due date of applicability of CARO, 2020?
  • 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.

 

  1. What is the due date of commencement of newly incorporated company i.e. due date of filing of form 20A?

 

  • 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.

 

Rescheduling of Payments – Term Loans and Working Capital Facilities by RBI.

 

  1. What will be in case of repayment of term loan during this lock down?

 

  • As per RBI circular, Banks & other financial institutions are permitted to grant a moratorium of three months on payment of all instalments* falling due between March 1, 2020 and May 31, 2020.

 

  • The repayment schedule for such loans as also the residual tenor, will be shifted across the board by three months after the moratorium period.

 

  • Interest shall continue to accrue on the outstanding portion of the term loans during the moratorium period.

 

*Note:  Instalments will include the following payments falling due from March 1, 2020 to May 31, 2020: (i) principal and/or interest components; (ii) bullet repayments; (iii) Equated Monthly instalments; (iv) credit card dues.

 

  1. What will be in case of repayment of term loan during this pandemic?

 

  • In respect of working capital facilities sanctioned in the form of cash credit/overdraft (“CC/OD”), lending institutions are permitted to defer the recovery of interest applied in respect of all such facilities during the period from March 1, 2020 upto May 31, 2020 (“deferment”).
  • The accumulated accrued interest shall be recovered immediately after the completion of this period.

 

  1. Any relief for working capital loan as like CC/ODs?

 

  • In respect of working capital facilities sanctioned in the form of CC/OD to borrowers facing stress on account of the economic fallout of the pandemic, lending institutions may recalculate the ‘drawing power’ by reducing the margins and/or by reassessing the working capital cycle.
  • This relief shall be available in respect of all such changes effected up to May 31, 2020 and shall be contingent on the lending institutions satisfying themselves that the same is necessitated on account of the economic fallout from COVID-19.
  • Further, accounts provided relief under these instructions shall be subject to subsequent supervisory review with regard to their justifiability on account of the economic fallout from COVID-19.