KMS Newsletter March 2021

KMS Newsletter March 2021

Important Updates on Direct Tax, Company Law, and Indirect Tax

Direct Tax:

  • Extension of various Due Dates
  • Search Case – Vivad Se Vishwas
  • Clause 30C and 44 in Tax Audit
  • Concessional Rate of Tax on Interest Income of FPIs
  • Clarification for prescribed IT Authority U/s 143(2)
  • Amendment in Form 12BA, 16, and 24Q
  • Insertion of Rule 29BA – Payment to Non-Residents
  • Reporting of various Income U/s 285BA

Company Law:

  • Accounting Software with Audit Trail
  • Amendment Under Schedule V of Companies Act, 2013
  • Amendment in Schedule III of Companies Act, 2013

Indirect Tax

  • Clarification – Refund related matters
  • Amendment in Finance Act
  • Other Amendments

KMS update related to Supreme Court on limitation period applicable to proceedings of various Laws

KMS update related to Supreme Court on limitation period applicable to proceedings of various Laws
Supreme Court on limitation period applicable to proceedings of various Laws
During COVID-19 pandemic, the Supreme Court have taken SUO MOTO Cognizance of the situation and issued directions for the extension of limitation period. The Apex Court observed in the order that due to the pandemic, the litigants across the country might have faced difficulties in filing petitions / applications / suits / appeals / all other proceedings under general law of limitation or under any special law of Centre as well as State.

In its order dated 08.03.2021, the Apex Court has instructed that for computing the limitation period of any proceeding, period from 15.03.2020 to 14.03.2021 shall remain excluded. Consequently, the balance period of limitation remaining as on 15.03.2020 shall become available with effect from 15.03.2021

As per the said order, following limitation period shall be applicable for the proceedings under Indirect Tax Law:
Particulars Extended limitation period as per SC order
Limitation period expired during 15.03.2020 to 14.03.2021 90 days from 15.03.2021 i.e. 13.06.2021
Limitation period expires after 14.03.2021 Actual date of expiry of limitation period or 90 days from 15.03.2021 whichever is later
The above limitation period is applicable subject to the amendment made in the “Taxation and Other Laws (Relaxation and amendment of Certain Provisions) Act” by Ministry of Finance. Order of the Apex Court is attached herewith for your kind perusal.