The Central Board of Direct Taxes (CBDT) has provided relief to taxpayers by extending the due date for filing Form 56F, which is required under Section 10AA(8) read with Section 10A(5) of the Income Tax Act. As per CBDT Circular No. 2/2025, dated February 18, 2025, the due date has been extended from the original deadline under Section 44AB to March 31, 2025, for the Assessment Year 2024-25.
What is Form 56F?
Form 56F is a report of an accountant that must be filed by units operating in Special Economic Zones (SEZs) to claim tax deductions under Section 10AA of the Income Tax Act. This form certifies the eligibility of the taxpayer for deductions and ensures compliance with prescribed conditions.
Key Highlights of the Extension
- Previous Due Date: The due date for filing Form 56F was aligned with the tax audit deadline under Section 44AB.
- New Due Date: The deadline has now been extended to March 31, 2025, providing additional time for compliance.
- Applicability: The extension applies to all eligible SEZ units required to file Form 56F for Assessment Year 2024-25.
Impact of the Extension
- Additional Compliance Time: Businesses and accountants now have more time to prepare and submit Form 56F without penalties.
- Relief for SEZ Units: Units claiming tax deductions under Section 10AA can ensure proper documentation and verification.
- Alignment with Other Extensions: The extension helps maintain consistency in tax compliance timelines.
Conclusion
The extension of the Form 56F filing deadline to March 31, 2025, is a welcome move for taxpayers operating in SEZs. Taxpayers should take advantage of this extension to ensure error-free filings and avoid last-minute rushes.
For detailed information, refer to CBDT Circular No. 2/2025.
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