CBDT defers new procedures for registration of certain entities to October 1; seeks legislative amendments
New Delhi: the Central Board of Direct Taxation (CBDT) has deferred the implementation of new procedure for approval/ registration/notification of certain entities to October 1, 2020. The decision has been taken in view of the “unprecedented humanitarian and economic crisis”, the finance ministry stated here on Saturday.
Accordingly, the entities approved/ registered/ notified under section 10(23C), 12AA, 35 and 80G of the Income-tax Act, 1961 (the Act) would be required to file intimation within three months from October 1, 2020, i.e, by December 31, 2020. Further, the amended procedure for approval/ registration/ notification of new entities shall also apply from October 1, 2020.
The necessary legislative amendments in this regard shall be proposed in due course.
It may be noted that The Finance Act, 2020 had rationalized the procedure relating to approval/ registration/ notification of certain entities referred to in sections 10(23C), 12AA, 35 and 80G of the Act, with effect from June 1, 2020. As per the new procedure, the entities already approved/ registered/ notified under these sections were required to file intimation within three months, i.e, by August 31, 2020. Further, the procedure for approval/ registration/ notification of new entities had also been rationalized with effect from June 1, 2020.
Various representations were received in the finance ministry expressing concerns over the implementation of the new procedure from June 1, 2020 due to the outbreak of novel corona virus (COVID-19) and consequent lockdown, and there were a number of requests made to defer the applicability of the new procedure.[the_ad_placement id=”sidebar-feed”]