QR – 71 234A Interest for Extended ITRs
{As per CBDT Press Release dated 24.10.2020}
{The necessary notification in this regard shall be issued in due course – says press release}
Regarding extension of due dates for the purpose of charging of interest u/s 234A of the Income Tax Act, 1961 for the assessment year 2020-21
1. Section 234A(1) of the Income Tax Act, 1961 provides that where the return of income for any assessment year under sub-section (1) or sub-section (4) of section 139, or in response to a notice under sub-section (1) of section 142, is furnished after the “due date”, or is not furnished, the assessee shall be liable to pay simple interest @ 1% for every month or part of a month comprised in the period commencing on the date immediately following the “due date”.
2. It means that the interest shall be liable to be paid for such default for the period commencing on the date immediately following the “due date”.
3. As per the provisions of Explanation 2 to section 139(1) of the Act, the following are the “due dates” for the assessment year 2020-21:
| SN | Clause of the
Explanation 2 |
Assessee | Due date |
| 1 | (a)(i) | Where the assessee other than an assessee referred to in clause (aa) is a company | 31.10.2020 |
| 2 | (a)(ii) | Where the assessee other than an assessee referred to in clause (aa) is a person (other than a company) whose accounts are required to be audited under this Act or under any other law for the time being in force | 31.10.2020 |
| 3 | (a)(ii) | Where the assessee other than an assessee referred to in clause (aa) is a partner of a firm whose accounts are required to be audited under this act or under any other law for the time being in force | 31.10.2020 |
| 4 | (aa) | In the case of an assessee who is required to furnish a report referred to in section 92E | 30.11.2020 |
| 5 | (c) | In the case of any other assessee | 31.7.2020 |
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