The Portuguese Civil Code is applicable only in Goa and the Union territories of Dadra & Nagar Haveli and Daman & Dui.
Section 5A of the Income Tax Act offers for the Portuguese Civil Code. As per this code, any earnings earned by a companion of a firm, whose accounts are essential to be audited, really should be apportioned involving the spouses and incorporated in their total earnings.
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“…it is proposed that the due date for the filing of original return of income be extended to 31st October of the assessment year in case of spouse of a partner of a firm whose accounts are required to be audited under this Act or under any other law for the time being in force, if the provisions of section 5A apply to them,”
-the Budget documents mentioned.
The due date for a companion of a firm, which is essential to furnish a report from an accountant for getting into into an international transaction or specified domestic transaction, has also been proposed to be extended to 30th November.
Belated return time decreased
As per sub-sections (4) and (5) of Section 139 of the Income Tax Act, belated or revised returns can be filed prior to the finish of the assessment year or prior to the completion of the assessment, whichever is earlier.
Budget 2021 has proposed to decrease the final date of filing of belated or revised returns of earnings by 3 months.
“… the belated return or revised return could now be filed three months before the end of the relevant assessment year or before the completion of the assessment, whichever is earlier,” the Budget documents mentioned.
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The above-proposed modifications will be effective from April 1, 2021 and accordingly apply for the assessment year 2021-22 and the subsequent assessment years.