The National Board of Revenue (NBR) is likely to allow taxpayers two more months for submitting their income tax returns till November 30, following demands from various trade bodies and individuals.
The board is considering extending time period as there were public holidays for religious festivals like Eid ul-Azha in September and will be for Durga Puja festival in October. In addition, many taxpayers were out of the city for performing Hajj, officials said.
Considering the issues and requests from trade bodies, tax lawyers and taxpayers, the board is likely to extend the time by two more months, they said, adding that the taxpayers can easily get two-month extension for filing returns only if they apply.
The current deadline for income tax return submission will expire tomorrow on September 30. According to the income tax act, taxpayers having income above Tk2.50 lakh have to pay tax. About 17 lakh people now holds TIN across the country although some 12 lakh filed their returns to NBR last year.
The NBR said it received poor response from those filing returns, and therefore, took the decision. The tax authority is assigned to mobilise Tk1,76,370 crore revenue in this fiscal while the lion’s share of Tk64,971 will be generated from income tax.
According to the income tax ordinance, the NBR can fine Tk1,000 at a time and Tk50 for each day if any TIN holder fails to submit the returns within the deadline.
However, the ordinance allows taxpayers to seek extension for submission of the returns subject to valid reasons. The deputy commissioner of Taxes can allow maximum two months to the respective taxpayers.
The new e-Tin holders will be penalised with the highest Tk5,000 if they fail to file their returns by the deadline, according to a new section incorporated in finance bill 2015.
Usually the revenue watchdog extends the deadline each year to entertain the requests made by taxpayers, especially trade bodies, and the tax lawyers’ association.
Although the original deadline for submitting income tax return is September 30, the revenue authority had extended the deadlines thrice till December 31 in 2014. Apart from that, the deadlines for submitting tax returns were extended by 60 days in 2013, 45 days in 2012, 30 days in 2011 and seven days in 2010.