We highlight key tax deadlines in India in 2021, including tax reporting dates, deadlines for audit compliance, and relevant dates for tax and finance obligations. These impact salaried taxpayers, businesses, and senior citizens.

It is important to note the latest dates and avoid incompliance and penalties due to exigencies; many deadlines have been extended (since last year) by the government due to the pandemic.

To prevent confusion regarding key tax reporting dates, businesses are welcome to reach out to our tax advisors at corporaterastaconsulting.com

Vivad Se Vishwas facilitates the settlement of disputed tax, disputed interest, disputed penalty, or disputed fees in relation to an assessment or reassessment order on the payment of 100 percent of the disputed tax and 25 percent of the disputed penalty, interest, or fee.

June 30, 2021
Last date to access tax incentive on purchase of new house
New home buyers can benefit from an income tax sop if their residential purchase is worth up to INR 20 million. The last date to avail this is June 30, 2021. According to tax experts, the government has increased the accepted differential between sale/purchase agreement value and circle rate from 10 percent to 20 percent for purpose of income tax calculation.

Last date to link Aadhaar and PAN
On March 31, the Central Board of Direct Taxes (CBDT) extended the deadline to link the two IDs until June 30, 2021, for a final extension. Thereafter, non-compliance will attract a penalty of up to INR 1,000.

July 31, 2021
Deadline to file ITR for FY 2020-21

For individual taxpayers, the last date for filing their income tax returns for FY 2020-21 is July 31. This assessment year, taxpayers will have the option to choose between the existing tax regime or the new concessional tax regime. If the taxpayer opts for the new tax regime – they must file an additional form while filing their income tax return.

December 31, 2021: Reduction in deadline period for belated filing of tax returns
Effective from filing the income tax return for FY 2020-21 onwards, taxpayers will now have time only till December 31, 2021 to file a belated ITR and pay a maximum penalty of INR 5,000. The deadline every year is July 31.

Previously, taxpayers would have time up till March 31, 2022 to file their returns and pay the penalty (which was INR 5,000 if filed by December 31 and INR 10,000 if filed by March 31 of the relevant assessment year). This reduction of three months was introduced in the Budget 2021.

However, the maximum penalty fee will not exceed INR 1,000 for taxpayers whose total income does not exceed INR 500,000 in a financial year.