Plethora of Obligations under Direct Taxes and GST during July 2018 – A case for extension/re-setting of due date of filing return of income.
The tax professionals will be overloaded with obligations/compliances under the Income Tax and GST in the month of July 2018 which are summarized as under:-
1. Income Tax
July 30, 2018
3. Scrutiny Assessments
a. Under Income Tax Act
b. Under Vat Laws
In addition to the above listed obligations there are other compliances applicable in particular kind of persons under different Direct and Indirect tax laws.
4. Other Factors
a) TDS/TCS transactions are to be updated in 26AS in the month of June 2018 only as the last date for submission of TDS returns is 31st of May and the certificates can be downloaded after 15th of June. The return of income cannot be filed without matching entries in 26AS.
b) Majority of the assessees are in the habit of getting their returns prepared in the last of due dates.
c) This time the professionals are to be under more pressure because every assessee will prefer to file his return within time to avoid the payment of late fees. The late fee provision under section 234F will be applicable from this year only. It is not hard to find the professionals who suffered a lot due to tremendous pressure of work.
d) There are amendments in the return forms and the proper preparation of return will take more time.
e) The time left for filing the returns with professionals will be less than two months for non audit cases which is very short.
5. The implementation of some GST returns and other compliances has been deferred till 30th June 2018. Further compliances of the deferred provisions will create more pressure on the professionals as well as the tax payers.
A case for relaxation in due dates of filing Income Tax Returns:- As explained in the forgoing paras it will not be possible to comply with the due dates of filing income tax returns. The due date of filing returns (Without Audit) may be reset as 31st August instead of 31st July. It is also requested that this time late fee may be deferred at least till 31st December 2018.