The Central Board of Direct Taxation (CBDT) has pushed the deadline for taxpayers to avail a “one-time” facility to apply for compounding of income tax offences till January 31.
The earlier deadline for the same procedure was on December 31, 2019.
In I-T parlance, compounding refers to that the taxman does not file a prosecution case against the tax evader in court in exchange of clearance of payment of due taxes and surcharges.
The decision pertaining to the extension of the last date was proceeded “in view of references received from field formations, including requests made by ICAI (Institute of Chartered Accountants of India) chapters wherein it has been informed to the CBDT that the taxpayers will not be able to avail the benefit of the one-time relaxation window due to genuine hardships,” the order issued by the Central Board of Direct Taxation (CBDT) said.
