Tax Audit Filing Due Date Extension Request made to FM

The All India Federation of Tax Practitioners has made a request for date of filing of the tax audit reports for the A.Y 2020-21 to be extended by three months i.e from 31st October 2020 to 31st January 2021 and for filing the income tax returns by four months i.e from 30th November 2020 to 31st March 2021.

All India Federation of Tax Practitioners

Date: 04.09.2020

Hon’ble Smt. Nirmala Sitharaman
Union Finance Minister
Government of India
Ministry of Finance, North Block,
New Delhi – 110001

Respected Mam,

Sub: Extension of time for certain compliances under the Income-tax Act 1961 due to COVID-19 – Request – Regarding

The All India Federation of Tax Practitioners (the Federation in short) is one of the largest professional bodies of tax practitioners, advocates, and chartered accountants – both of direct and indirect taxes. It has been functioning for the last about 45 years since 1976 and has a membership of over 9000 individuals and about 130 Tax Bar Associations located all over the country in 27 out of 29 States.

2. The spread of the COVID-19 virus has impacted adversely the normal working in the country. The Government has been very kind to recognize the difficulties and hardships being faced by the income taxpayers. Vide Notification No. 35/2020//F.No. 370142/23/2020-TPL dated 24.06.2020, issued by the Department of Revenue, Ministry of Finance, Central Board of Direct Taxes, New Delhi, the due date for filing the tax audit report has been extended upto 31.10.2020 and that for filing the returns of income upto 30th November 2020.

3. Unfortunately, the ferocity of Coronavirus has not abated and is spreading in various parts of the country. Most of the offices, including the office of the members of the Federation, have not been functioning regularly or functioning with very limited staff, mostly young and less experienced.

4. Likewise, the offices of the taxpayers whose account needs to be audited under the Income-tax Act, are also not functioning normally and the required information for tax audit as also for subsequent filing of the Income-tax returns has not been forthcoming.

5. The available public transport is inadequate. Buses and trains are not running regularly. Whenever local trains are functioning, they are not halting at stations alleged to be in Containment Zones and COVID infected areas. In several big cities, even the taxies and buses are not plying after 5.00 or 6.00 p.m.

6. All these handicaps are making it virtually impossible for most of our members to adhere to the revised dates as per the aforementioned Notification of the Central Government.

7. The Federation shall, therefore, be most grateful if the date of filing of the tax audit reports for the A.Y 2020-21 is extended by three months i.e from 31st October 2020 to 31st January 2021, and for filing the income tax returns by four months i.e from 30th November 2020 to 31st March 2021.

8. An early action in the matter is requested.

With my most respectful regards,

Yours Sincerely

S.R. Wadhwa, IRS(Retd)
Advocate