New Delhi: Financial year is coming to an end today so don’t forget to take stock of other important tasks that you can’t afford to postpone any longer. With the financial year 2020-21 just around the corner, there are certain financial tasks that need to be completed before March 31 to avoid paying penalty or face other serious consequences.
Complete these financial tasks today (March 31):
Linking PAN-Aadhaar deadline: Because of the COVID-19 pandemic situation, the government had extended the deadline to link your Permanent Account Number (PAN) with Aadhaar to March 31, 2021. Don’t forget to link these important documents by the March end deadline. In case you don’t do it, your PAN will become invalid. In the Finance Bill, 2021, passed by the Lok Sabha on Tuesday, the government has introduced an amendment under which a person will be liable to pay a late fee of up to Rs 1,000 in case of non-linking of PAN with Aadhaar.
The Finance Bill (Lok Sabha) has inserted a new Section 234H to levy a fee for default in intimating the Aadhaar number. If a person is required to intimate his Aadhaar under Section 139AA(2) and such person fails to do so, they will be liable to pay a fee, as may be prescribed, not exceeding Rs 1,000 at the time of making such intimation.
Filing revised ITR: The Central government has given time until March 31, 2021 for filing the revised or delayed income tax return for FY 2019-20. If you missed the earlier deadline, you must file the revised ITR before March 31. Filing later may lead to a late fee of up to Rs 10,000. However, you have to pay a late fee of only Rs 1,000 if your income is up to Rs 5 lakh.
Invest in tax-saving instruments: Section 80C provides tax exemption up to Rs 1.50 lakh if the individual or the HUF taxpayer invests or spends in the specified products before the end of the year. For FY 2020-21, such investments are to be done before March 31, 2021. If one misses this date, he loses the benefit. If this deadline is missed then you will not be able to file revised or belated ITR for financial year 2019-20. Belated ITR will be submitted with a late filing fee of Rs 10,000 on or before March 31, 2021.
LTC Cash Voucher Scheme: Central government employees need to submit their Leave Travel Concession Cash Voucher Scheme (LTC) by March 31, 2021. They need to fill in the correct format to avail tax benefits under the LTC scheme.
Vivad Se Vishwas
Vivad Se Vishwas: The deadline for filing declaration under Vivad Se Vishwas scheme was extended to 31 March, 2021. As per a Central Board of Direct Taxes’s notification, the date for payment of tax without additional interest under the scheme remains unchanged at 30 April, 2021. The Direct Tax ‘Vivad se Vishwas’ Act, 2020 was enacted on March 17, 2020, with the objective to reduce pending income tax litigation, generate timely revenue for the government and to benefit taxpayers.