Income tax return: The Central Board of Direct Taxes (CBDT) has announced an extension to the income tax return filing deadline for taxpayers with international transactions who need to submit reports under Section 92E. This deadline extension primarily applies to entities involved in international or specified domestic transactions.
The new deadline for filing ITR for these taxpayers has been pushed back by 15 days, from November 30, 2024, to December 15, 2024, for the financial year 2023-24 (assessment year 2024-25).
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The deadline for submitting the income tax return under section 139 (1) of the Income-tax Act, 1961 has been set as 30th November 2024 for taxpayers who are required to file a report as per Section 92E. The extension has been granted to taxpayers falling under clause (aa) of Explanation 2 to sub-section (1) of Section 139, pushing the deadline to 15th December 2024.
“The due date for furnishing the return of income u/s 139 (1) of the Income-tax Act, 1961 (the Act) in the case of assessee who is required to furnish a report referred in Section 92E is the 30th day of November of the assessment year i.e. 30.11.2024 for the AY 2024-25. The due date, originally set as 30th November 2024, for assesses covered under clause (aa) of the Explanation 2 to sub-section (1) of Section 139, has now been extended to 15th December 2024 by CBDT circular no 18/2024,” the CBDT said.
Who should submit reports under Section 92E
In any financial year, entities engaged in specified domestic and/or international transactions must obtain a report from a chartered accountant. This report needs to be submitted to the income tax department by October 31 using Form 3CEB.
Section 92E applies to transactions that meet certain criteria, such as the buying, selling, or leasing of tangible or intangible property, business transactions generating income, profits, losses, or gains, and lending or borrowing of money.
The total value of these transactions carried out by the taxpayer cannot exceed Rs 20 crore. If this threshold is exceeded, taxpayers must comply with transfer pricing rules.
Penalty
As per income tax regulations, businesses that do not submit their chartered accountant’s report by the October 31 deadline will incur a penalty of Rs 1 lakh.