The income tax department, via its Twitter handle and emails, has been informing taxpayers about the important tax dates for the year 2020. Being mindful of these dates can help taxpayers avoid penal consequences.
If you are a tax payer, you might have received an email from the income tax department with a calendar containing important income tax-related dates. It would bode well for you if you create an alert for these dates or mark them on your personal calendar. Doing so may help you avoid penal consequences of late filing of income tax returns (ITR) or tax deducted at source (TDS) returns and also help remind you to collect your TDS or tax collected at source (TCS) certificates. For instance, TCS is applicable when you purchase a car worth more than Rs 10 lakh.
What is more, from September 1, 2019, individuals have to deduct tax on the payments made to professionals, contractors and so on. Further, those paying monthly rent of Rs 50,000 or more are required to deduct tax, as per income tax laws. These dates will also help you keep a check on whether the TDS that has been cut from your income (salary or interest etc.) has been deposited against your PAN with the government. The deductor has to issue a TDS certificate within the specified time period, as per current income tax laws.
Abhishek Soni, Founder and CEO, Tax2win.in, a tax-filing website says, "Apart from salary, if any other payment received by an individual is subject to TDS, then he/she should get a quarterly TDS certificate for the same. For instance, if your bank has deducted tax on interest paid to you, say in the month of September, then the bank is required to issue TDS certificate within 15 days of deadline for filing TDS returns for that quarter, i.e., November 15."
According to the income tax department's calendar, here are the major tax-related dates in all the months you should be mindful of in 2020.
January January 15: Is the deadline to file quarterly statement of TCS for the third quarter of FY 2019-20. January 30: Is the deadline to issue TCS certificate to the person from whom tax has been collected. January 31: Is the deadline of filing TDS returns for the tax deposited with the government in the quarter ending December 31, 2019. February
February 15: Quarterly TDS certificate has to be filed with respect to tax deducted on income other than salaries for the quarter ending December 31, 2019.
Important tax dates in the year 2020 March March is an important month. Not only does the financial year end in March, but you will also have to complete your tax-saving exercise and file your belated/revised income tax return (ITR) by March 31.
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