CBDT extends date for filing Form 26QE for FY 2022-23. Read Circular

Extension of due date for filing Form No. 26QE for F.Y. 2022-23

CBDT extends date for filing Form No. 26QE for FY 2022-23 which was required to be filed during the period 01.07.2022 to 28.02.2023.

As per section 194S of the Income-tax Act, 1961, any person responsible for paying to any resident person any sum by way of consideration for the transfer of a virtual digital asset is required to deduct an amount equal to 1% of such sum as income tax thereon. Further, as per sub-rule (40) of rule 31A, a ‘specified person’ is required to report such deductions in a challan-cum-statement electronically in Form No . 26QE within thirty days from the end of the month in which such deduction is made.

CBDT has issued Circular No. 04/2024 dated 7th March 2024 stating that it has come to its notice that said specified persons who deducted tax under section 194S during the period from 01.07.2022 to 31.01.2023, could not file Form No. 26QE and pay corresponding TDS on or before the due date, due to unavailability of Form No. 26Q E. This has resulted in consequential levy of fee under section 234E and interest under clause (ii) of sub-section (1A) of section 201 of the Act. Further, the specified persons who deducted tax under section 194S during the period from 01 .02.2023 to 28.02.2023 had insufficient time to file Form No. 26QE and pay corresponding TDS thereon.

CBDT, in order to address the grievances of such specified persons and in exercise of the powers conferred under section 119(2)(a) of the Act has retrospectively extend the due date of filing of Form No. 26QE to 30.05.2023 in those cases where the tax was deducted by specified persons under section 194S of the Act during the period from 01.07.2022 to 28.02.2023. Also, fee levied under section 234E and/or interest charged under section 201(1A)(ii) in such cases for the period upto 30.05.2023, has also been waived.

• Related party transaction u/s 40A(2) shall be treated as bona fide, unless evading tax
• ‘Transfer of property’ not include ‘acquiring’ of property or ‘purchasing’ of property – ITAT
• AO was not justified in questioning cash withdrawals from bank account – ITAT
• Return/Balance sheet filed within limitation extended by SC to be considered within time
• Satisfaction Note u/s 153C – term immediate cannot be extended to unreasonable delay