In view of the lockdown due to corona virus, the Government has relaxed several deadlines relating to income tax and GST compliance.
One of the more import relaxations is that tax payers who needed to make investments typically under Section 80 C to avail of deductions have been given an additional time till 30 June 2020 to make such investments.
In effect, any investments made upto this period will be considered as deductions at the time of filing of income tax returns for the financial year ended 31 March 2020.
Taxpayers should compute their tax liability for FY 2020 and accordingly make investments in the next three months.
As employers would have already deducted TDS, the effect of any tax saving investments would result in a tax refund being due to the tax payer at the time of filing of returns.