The government deferred reporting of compliance related to Goods and Service Tax (GST) and General Anti-Avoidance Rules (GAAR) in the income tax audit reports, by a year i.e. March 2021. This move is a major relief to businesses who are struggling to cope with the challenges of the Coronavirus pandemic right now.
The Central Board of Direct Taxes (CBDT) said that several representations have been received about the difficulty in complying with the reporting requirements in view of the pandemic.
Earlier , the tax audit report form was amended in 2018 in order to include details of GST registration along with whether the business has been entered into any arrangement which is meant to avoid tax which is prohibited under GAAR. It was kept under abeyance till March 2020. Now, the GST and GAAR related compliance reporting in the tax audit report has been deferred till March 2021.