Jul 29, 2020
7 Money and tax tasks you should complete by July 31, 2020
Since March 2020, the government has extended various tax-related deadlines and relaxed terms and conditions of certain post office investment schemes. This was done to help the common man tide over financial problems caused due to the coronavirus pandemic.
Many of these extended deadlines end on July 31, 2020.
Here is a look at seven money-related tasks you should complete by July 31.
Last date of paying self-assessment tax for FY 2019-20
If your self-assessment tax for FY 2019-20 exceeds Rs 1 lakh, then you should pay it before July 31, 2020 to avoid levy of penal interest. As per a CBDT press release dated June 24, 2020, individuals whose self-assessment tax liability exceeds Rs 1 lakh, the last day to pay self-assessment tax without any penal interest is July 31, 2020. If such tax is paid after the date, then penal interest at the rate of 1 per cent per month will be levied.
End of reduced EPF contributions
To provide relief to employers and to provide higher take home pay to employees, the government reduced the Employee's Provident Fund (EPF) contribution for three months (for May, June and July, 2020). Therefore, from next month when your employer pays you salary, the deduction for your contribution to your EPF will be made at the normal rate of 12 per cent instead of the reduced 10 per cent.