Government announces tax relief on covid related aid

The Centre on Friday announced income-tax exemption on the amount received by a taxpayer from his/her employer or from any other person for the treatment of Covid-19 during FY 2019-20 and subsequent years.

The government on Friday extended deadlines for various income tax compliances.

The amount of ex-gratia payment from any person has also been restricted to Rs 10 lakh, the minister added.
“In view of the impact of the Covid-19 pandemic, taxpayers are facing inconvenience in meeting certain tax compliances and also in filing response to various notices.
“In order to ease the compliance burden of taxpayers during this difficult time, reliefs are being provided…,” the Central Board of Direct Taxes (CBDT) said in a statement.

The income tax department, in a statement, said the payment deadline for Vivad Se Vishwas direct tax dispute resolution scheme has been extended by two months till August 31.

Taxpayers can make payments till October 31 with additional amount of interest. The last date for PAN-Aadhaar linking too has been extended by three months to September 30, 2021.

The deadline for employers to furnish Tax Deducted at Source (TDS) certificate in Form 16 to employees too has been extended till July 31, from July 15, 2021.

By editor

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