From PAN-Aadhaar linking to LTC Scheme, here are 9 financial deadlines expiring in March 2021
March is the last month of the financial year. There are several deadlines that are expiring at the end of March. Here is the list of important money deadlines that must not be missed.
There are several financial deadlines that will expire on March 31, 2021. Here is a list of all the money-related deadlines you should not miss.
1. March 31: Filing declaration to avoid double taxation
The Central Board of Direct Taxes (CBDT) has asked the foreign nationals and non-resident individuals facing double taxation on income earned in FY 2020-21 because of forced stay in India due to the coronavirus pandemic, to file information related to the same by March 31, 2021.
The Central Board of Direct Taxes (CBDT) has asked the foreign nationals and non-resident individuals facing double taxation on income earned in FY 2020-21 because of forced stay in India due to the coronavirus pandemic, to file information related to the same by March 31, 2021.
As per the circular issued on March 3, 2021, the department has asked the individuals that if they are facing double taxation even after taking into consideration the relief provided by the DTAAs, then they can submit the information in Form-NR. The department will consider providing a general relaxation or specific relaxation, as the case may be.
2. March 31: PAN-Aadhaar linking deadline
Due to the novel coronavirus pandemic, the government extended the deadline to link PAN with Aadhaar to March 31, 2021, from the previous deadline of June 30, 2020.
If the PAN is not linked with Aadhaar number by March 31, 2021, then the PAN will become inoperative from April 1, 2021. An individual will not be able to conduct financial transactions once his/her PAN becomes inoperative.
Due to the novel coronavirus pandemic, the government extended the deadline to link PAN with Aadhaar to March 31, 2021, from the previous deadline of June 30, 2020.
If the PAN is not linked with Aadhaar number by March 31, 2021, then the PAN will become inoperative from April 1, 2021. An individual will not be able to conduct financial transactions once his/her PAN becomes inoperative.
If you link your PAN with Aadhaar after it has become inoperative then your PAN will become operative once again from the date of linking.
3. March 31: Submission of bills under LTC Cash Voucher Scheme
To avail the tax benefit under the LTC Cash Voucher Scheme, ensure that required bills in the correct format containing GST amount and GST number of the vendor have been submitted to your employer (provided the employer is offering the scheme) on or before March 31, 2021. As per the scheme, an employee is required to spend three times the amount deemed as LTA fare on goods and services attracting GST of 12% or more.
To avail the tax benefit under the LTC Cash Voucher Scheme, ensure that required bills in the correct format containing GST amount and GST number of the vendor have been submitted to your employer (provided the employer is offering the scheme) on or before March 31, 2021. As per the scheme, an employee is required to spend three times the amount deemed as LTA fare on goods and services attracting GST of 12% or more.
The LTC Cash Voucher Scheme was announced by the government back in October 2020 to incentivise employees to use their unclaimed Leave Travel Allowance (LTA) amount to boost consumer demand. The scheme was first announced for central government employees. It was later extended to non-central government employees like those in the private sector and PSU employees. The scheme, which offers tax benefit subject to fulfilment of specified conditions, was notified in Budget 2021.
4. March 31: Last date to file revised/belated ITR for FY 2019-20
The last date for individuals whose accounts are not required to be audited to file a revised or belated income tax return (ITR) for FY 2019-20 is March 31, 2021. A belated ITR filed now by an individual will attract a late filing fee of Rs 10,000. However, for small taxpayers, with income up to Rs 5 lakh, the late filing fee will be Rs 1,000.
The last date for individuals whose accounts are not required to be audited to file a revised or belated income tax return (ITR) for FY 2019-20 is March 31, 2021. A belated ITR filed now by an individual will attract a late filing fee of Rs 10,000. However, for small taxpayers, with income up to Rs 5 lakh, the late filing fee will be Rs 1,000.
Similarly, if you have discovered a mistake in your original ITR for FY 2019-20, then you can file a revised ITR by March 31, 2021.
5. March 31: Complete tax-saving exercise for FY 2020-21
If you have opted for the old tax regime, then ensure that you have completed your tax-saving investments/expenditures by March 31, 2021. If this date is missed, then you will lose out on the opportunity to reduce your income tax liability for FY 2020-21.
If you have opted for the old tax regime, then ensure that you have completed your tax-saving investments/expenditures by March 31, 2021. If this date is missed, then you will lose out on the opportunity to reduce your income tax liability for FY 2020-21.
6. March 31: Filing declaration under Vivad se Vishwas scheme
The government via a notification dated February 26, 2021, has extended the last date for filing declaration under the dispute resolution scheme 'Vivad Se Vishwas Scheme' to March 31, 2021, from the earlier deadline of February 28, 2021.
The government via a notification dated February 26, 2021, has extended the last date for filing declaration under the dispute resolution scheme 'Vivad Se Vishwas Scheme' to March 31, 2021, from the earlier deadline of February 28, 2021.
Once the declaration has been filed by an individual, the payment can be made on or before April 30, 2021, without any additional amount.
7. March 31: Last date to avail Special Festival Advance Scheme
Government employees can avail an interest-free special advance of Rs 10,000 on or before March 31, 2021. The special festive advance was announced by the government back in October 2020 along with the LTC Cash Voucher Scheme. The advance taken by a government employee will be recovered by the government in a maximum of 10 instalments.
Government employees can avail an interest-free special advance of Rs 10,000 on or before March 31, 2021. The special festive advance was announced by the government back in October 2020 along with the LTC Cash Voucher Scheme. The advance taken by a government employee will be recovered by the government in a maximum of 10 instalments.
8. March 31: Benefit of credit subsidy under PMAY
March 31, 2021, is the last date to avail the benefit of credit subsidy under the Pradhan Mantri Awas Yojana (PMAY). The scheme provides credit-linked subsidies, subject to terms and conditions, on home loans to middle-income groups having annual income between Rs 6 lakh and Rs 18 lakh.
March 31, 2021, is the last date to avail the benefit of credit subsidy under the Pradhan Mantri Awas Yojana (PMAY). The scheme provides credit-linked subsidies, subject to terms and conditions, on home loans to middle-income groups having annual income between Rs 6 lakh and Rs 18 lakh.
With a lower interest rate on home loans, the scheme will help to further bring down the EMI burden of borrowers.
9. March 31: End of Emergency Credit Line Guarantee Scheme
The government, under the Atmanirbhar Bharat Package, announced the Emergency Credit Line Guarantee Scheme on May 13, 2020. The scheme provided fully guaranteed and collateral-free loans to various entities including individuals who want to avail loans for business purposes. The last date of availing of the benefit under the scheme is March 31, 2021.
The government, under the Atmanirbhar Bharat Package, announced the Emergency Credit Line Guarantee Scheme on May 13, 2020. The scheme provided fully guaranteed and collateral-free loans to various entities including individuals who want to avail loans for business purposes. The last date of availing of the benefit under the scheme is March 31, 2021.
Payment of Advance taxes
The last date of making an advance tax payment for the financial year 2020-21 was March 15, 2021. You are liable to pay advance tax if your tax liability less of TDS in a fiscal exceeds Rs 10,000, 100% of the advance tax due from a taxpayer must be paid by March 15, 2021. If this deadline is missed, then a penal interest will be levied.
The last date of making an advance tax payment for the financial year 2020-21 was March 15, 2021. You are liable to pay advance tax if your tax liability less of TDS in a fiscal exceeds Rs 10,000, 100% of the advance tax due from a taxpayer must be paid by March 15, 2021. If this deadline is missed, then a penal interest will be levied.
If you have missed the deadline, then to avoid paying a hefty penal interest amount ensure that you swiftly pay your advance tax dues.
Do keep in mind that effective from April 1, 2020, the dividend received by an individual has become taxable in his/her hands at the income tax rates applicable to his/her income. Thus, if you have received substantial dividend income in FY 2020-21, you should check whether you have become liable to pay advance tax as well. TDS is also applicable on dividend income if it exceeds Rs 5,000 in a financial year.
Source: EconomicTimes
