Government extends income tax, GST compliance timelines due to outbreak of second wave of COVID-19
May, 03rd 2021
The central government on May 2 extended the compliance timelines for income tax and goods and services tax, waived late fees, and also reduced the interest rates for GST assesses, due to the resurgence of the COVID-19 pandemic and the hardships it has caused.
The government's decision comes at a time when several parts of the country including Delhi, Mumbai, cities in Haryana, and Uttar Pradesh are facing a lockdown, and small and medium enterprises would get hit if compliance timelines were not extended.
The decision also comes after the ministry of finance had received multiple requests from the industry wanting tax compliance timelines to be pushed back by up to three months.
The Centre has waived off the late fee on delayed filing of monthly return GSTR-3B and tax payment for the months of March and April and also cut interest rate for late filers, the government said in a press release.