“Section 44AB of the Income-tax Act, 1961 (‘the Act’) read with rule 6G of the Income-tax Rules, 1962 (‘the Rules’) requires specified persons to furnish the Tax Audit Report along with the prescribed particulars in Form No. 3CD.
The existing Form No. 3CD was amended vide notification no. GSR 666(E) dated 20th July, 2018 with effect from 20th August, 2018. However, the reporting under clause 30C and clause 44 of the Tax Audit Report was kept in abeyance till 31st March, 2019 vide Circular No. 6/2018 dated 17.08.2018, which was subsequently extended to 31st March, 2020 vide Circular No. 912019. Vide circular no. 10/2020 dated 24.04.2020, it was further extended to 31st March, 2021.
In view of the prevailing situation due to COVID-19 pandemic across the country, it has been decided by the Board that the reporting under clause 30C and clause 44 of the Tax Audit Report shall be kept in abeyance till 31st March, 2022.”
Clause 30C relates to: Whether the assessee has entered into an impermissible avoidance arrangement, as referred to in section 96, during the previous year?
Clause 44 relates to: Break-up of total expenditure of entities registered or not registered under the GST.
Hence, on one hand applicability of both the GST clauses has been again extended in tax audit whereas on the other hand CBDT is increasing the inclusion GST details in Income tax return.
Incorporating GST turnover, including GSTR 1 details in compliance portal etc.
To read the above circular CLICK HERE.