|Notification number & date
|11/2020 dated 13th of February 2020
||According to the income tax provisions, every individual will have to link their aadhaar and PAN by the 31st of March 2020 otherwise their PAN will become inoperative immediately after the said date.
The income tax department has notified the manner in which the PAN will become inoperative if not linked to aadhaar within the specified due date. If the PAN becomes inoperative, it will be deemed that the PAN was not furnished or intimated wherever required and all the consequences of non-furnishing of PAN will be applicable to the individual.
The PAN will become operative only after the date of intimation of aadhaar number.
|10/2020 dated 12th of February 2020
||Section 115BAA was inserted by the Income Tax Act 1961 which provided for a reduced corporate tax rate of 22% from FY 2019-21 onwards for such domestic companies adhere to certain specified conditions.
The income tax department has notified Form no. 10-IC which will be furnished by the specified domestic companies under section 115BAA to avail the benefit of lower taxes from FY 2019-20 and onwards. The form will be furnished electronically and verified with the digital signature or EVC.
Similarly, Section 115BAB was inserted offering a reduced tax rate of 15% to the new domestic manufacturing companies.
With this notification, a new Form no. 10-ID has been introduced. The specified companies under section 115BAB will have to furnish this form to avail the lower tax rates from FY 2019-20 and onwards. The form will be electronically verified using a digital signature or an
Refer the link to know the format of Form 10-IC and 10-ID.
|09/2020 dated 12th of February 2020
||The courts of the Chief Judicial Magistrates of the union territory of Jammu and Kashmir are designated as Special Courts for the income tax purposes within their respective territorial jurisdictions by the Central Government.
|08/2020 dated 29th of January 2020
||CBDT has amended Rule 6DD to reduce the limit of the cash expense made on a particular day to Rs 10,000 and also inserted rule 6BBA that includes new payments method as non-cash payments for getting benefits/reliefs under various provisions of the Income Tax Act, 1961. These changes will be effective from the 1st of September 2019.
Here is the list of other electronic modes specified in the rule 6BBA:
The various sections that will be affected by this change are as follows:
- Credit/debit card
- Net banking
- BHIM Aadhaar pay
The eligible modes of payment provided in the aforementioned sections will include an account payee cheque drawn on a bank or account payee bank draft or use of electronic clearing system through a bank account or through such other electronic mode as prescribed in rule 6ABBA with effect from the 1st of September 2019.
- Section 35AD
- Section 40A
- Section 43/43CA
- Section 44AD
- Section 50C
- Section 80JJA
- Section 269SS/269ST/269T
|07/2020 dated 28th of January 2020
||Institute of Pesticide Formulation Technology, Gurugram (PAN:- AAATI0389Q) has been approved by the Central Government for the purpose of section 35(1)(ii) of the income tax act from AY 2019-20 and onwards under the category of “Research Association”.
|03/2020 dated 6th of January 2020
||Finance (No. 2) Act, 2019 amended Section 92D of the Income Tax Act, 1961 to provide clarification that a constituent entity of an international group shall be required to maintain and furnish the master file even when it doesn’t enter into any international transaction during the financial year. Now, the CBDT has correspondingly made amendments in Rule 10DA and Rule 10DB of the Income-tax Rules, 1962.
Some of the key changes to the rules are as follows:
- The information and documents to be furnished by the constituent entity of an international group as specified under Rule 10DA shall be furnished to the joint commissioner in Form 3CEAA on or before the due date of filing income tax returns. Earlier, Form 3CEAA was required to be furnished to the Director General of Income-tax (Risk assessment).
- Under rule 10DB, now every parent entity or the alternate reporting entity, which is resident in India, shall, for every reporting financial year, furnish the report in Form No. 3CEAD to Joint Commissioner as may be designated by the Director General of Income-tax (Risk Assessment).
|02/2020 dated 3rd of January 2020
||Indian Institute of Technology (Indian School of Mines), Dhanbad has been added to the category of “University, college or other institution” under section 35(1)(ii/iii) from AY 2019-20 and onwards.
|01/2020 dated 3rd of January 2020
||CBDT has notified the ITR forms ITR-1 and ITR-4 for the AY 2020-21.
Here are some of the changes made to the ITR forms:
- An individual with a brought forward/carry forward loss under the head ‘Income from house property’ can no longer use ITR-1 & ITR-4 to file his income tax returns.
Read all the changes here.
- For rented property, the individual will have to provide the name and PAN or aadhaar of the tenant in ITR-4.