Relaxations by FM

Statutory and Regulatory Compliances Relaxations

֍ Income Tax ֍

• Last Date for filing of ITR for FY 2018-19 only extended to 30th June, 2020 from 31st March, 2020.

• Interest rate on delayed payments of advance tax, self-assessment tax, regular tax, equalization levy, Securities Transaction Tax (STT), Commodities Transaction Tax (CTT) and Deduction of Tax at Source (TDS), Collection of Tax at Source (TCS) reduced to 9% p.a. (vs current rate of 12%) till 30th June, 2020. Effective Rate is 0.75% per month.

• No extension in due date of payment of TDS. However for Delayed deposit of TDS, Interest rate on delayed payments reduced to 9% p.a. (vs current rate of 18%) till 30th June, 2020. Effective Rate is 0.75% per month.

• Due dates for Notice Intimation / Notification / Sanctioning order / Filing of Appeals and ALL documents and savings related schemes (include Chapter VI-A) and Investments for Rollover benefit of capital gains along with Wealth Tax / Black Money Act / STT Law /CTT Law/ Equalization Levy Law/ Vivad Se Vishwas law where the due dates fall between 20th March, 2020 to 29th June, 2020 extended till 30th June 2020.

• Last date for linking of Aadhar-PAN extended till 30th June, 2020 from 31st March, 2020.

• Vivad Se Vishwas Scheme extended till 30th June, 2020. Also, no 10% additional payment of Disputed Tax amount if payment is made from today to 30th June 2020.

֍ GST ֍

• Last date for filing GSTR-3B in March, April and May, 2020 extended till last week of June, 2020 (Staggered Due Dates will roll out soon).

• No Interest, late fee and penalty to be charged on companies having aggregate turnover less than 5 Crore.

• No late fee and penalty to be charged but interest will be chargeable at a reduced rate of 9% (previously 18%) for delayed payments between 20th March, 2020 and 30th June, 2020 on companies having aggregate annual turnover more than 5 Crore.

• Due date for filing GST annual returns in Form GSTR – 9 & reconciliation Statement in Form GSTR – 9C for FY 18-19 extended from 31st March, 2020 till last week of June, 2020.

• Due date for opting composition scheme extended till last week of June, 2020.

• Filing of return for FY 19-20 and due date for payment by Composition dealers for quarter ending 31st March, 2020 extended till last week of 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 20th March, 2020 to 29th June, 2020 shall be extended to 30th June, 2020.

• Payment under Sabka Vishwas Scheme is extended to 30th June, 2020 and no interest to be charged if paid on or before 30th June, 2020.

֍ Customs ֍

• Customs clearance till 30th June, 2020 to be operational 24/7 as an essential service.

• All the Due dates for compliances under Customs Act and other Allied laws having time limit expiring between 20th March, 2020 to 29th June, 2020 shall be extended to 30th June, 2020.

֍ MCA/ROC ֍

• No late filing fees will be charged on any forms, irrespective of its due date filed during 1st April, 2020 to 30th September, 2020.

• Gap between Board Meetings of 120 days relaxed to 180 days for next 2 quarters i.e. from 1st April, 2020 to 30th September, 2020.

• Applicability of CARO, 2020 shifted to F.Y. 2020-2021 from F.Y. 2019-2020, notified earlier.

• If no Independent Directors meeting is held during the FY 2019 -20, then it is not considered as Non Compliance.

• Filing of Form INC 20A (Declaration of commencement of business) relaxed by additional 6 months from the date of Incorporation i.e. 12 months total duration.

• Creation of Deposit Reserves of 20% of deposits by 30th April, 2020 for companies having deposits of debentures extended to 30th June, 2020.

• Similarly requirement of investment for debentures repayment (15% investment in specified instruments) for debentures maturing in next year is extended to 30th June, 2020.

• Resident Director requirement of staying in India for 182 u/s 149 is relaxed and Non Compliance of the same shall not be treated as a violation.

֍ Insolvency & Bankruptcy Code ֍

• Default limit shifted from 1 lakh to 1 Crore to prevent triggering of insolvency proceedings for MSMEs.

• If the current situation continues beyond 30th April, 2020 then Sections 7, 9 and 10 for filing Insolvency under IBC against companies will be suspended for a period of 6 months.

֍ Financial Services ֍

• Debit card withdrawal from any bank ATM will have no charges for 3 months.

• No min balance requirements.

• Minimise Bank charges to Digital transaction.

֍ Fisheries ֍

• All Sanitary Import permit (SIPs) whose licence is expiring between 01.03.2020 to 15.04.2020 extended by 3 months.

• Delay upto 1 month in arrival of consignments to be condoned.

• Verification of documents and grant of NOC for quarantine shifted from 7 days to 3 days.

* Necessary legal circulars and legislative amendments for giving effect to the aforesaid reliefs shall be issued in due course.