Condonation of Delay in Filing Forms under Income Tax Act: cbdt-issues-circular-no-16-2024
Issued By: Central Board of Direct Taxes (CBDT)
Date: November 18, 2024
The Ministry of Finance has issued Circular No. 16/2024, offering relief to taxpayers under Section 119(2)(b) of the Income-tax Act, 1961. This circular addresses the condonation of delay in filing crucial forms for specified assessment years, starting from AY 2018-19 onwards.
Key Highlights of Circular No.16/2024
1️Forms Covered:
- Form 9A: Application for income accumulation by charitable/religious trusts.
- Form 10: Statement for accumulation of income under Section 11(2).
- Form 10B: Audit report for charitable or religious institutions.
- Form 10BB: Audit report for Various Institutions of Charitable & Religious.
2️ Applicability:
- Relevant to taxpayers and entities for Assessment Year 2018-19 and subsequent years.
- Ensures compliance with statutory timelines despite delays.
3️ Objective:
- To provide relief to eligible entities and trusts by allowing delayed submissions of these forms without penalty under specific conditions.
4️ Conditions for Relief:
- The taxpayer must demonstrate valid reasons for the delay.
- Applications for condonation must be submitted to the jurisdictional tax authority.
How to Comply with Circular No. 16/2024
- Identify Forms: Ensure you determine which form applies to your entity (9A, 10, 10B, or 10BB).
- Document Valid Reasons: Prepare documentation explaining the reasons for the delay.
- File an Application: Submit a formal condonation request to the relevant income tax authority.
- Consult Professionals: Seek guidance from a tax consultant or legal advisor for compliance.
Why Is This Important?
The condonation relief ensures that entities and trusts do not lose their tax exemptions or face penalties due to genuine delays in compliance. By streamlining the process, the government reinforces its commitment to supporting taxpayers.
DISCLAIMER: The information provided in this article is intended for general informational purposes only and is based on the latest guidelines and regulations. While we strive to ensure the accuracy and completeness of the information, it may not reflect the most current legal or regulatory changes. Taxpayers are advised to consult with a qualified tax professional or you may contact to our tax advisor team through Whatsapp:- +91-9871990888 or info@ngopilot.in .