Due Date - ITR Filing & Form 3CD

[Ethirajan Parthasarathy]

For A.Y 20 – 21, ITR filing due date is 30/11/20. But report u/s 44AB has to be uploaded by 31/10/20. The assessee wants to pay bonus outstanding only around 15/11/20. This being item covered u/s 43B, the assessee is entitled to claim deduction in A.Y 20 – 21. How a person giving report u/s 44AB should address this situation. How does the assessee claim the bonus as deduction if as per 44AB report bonus outstanding remain unpaid on date of audit report

[DR.MARIAPPAN GOVINDARAJAN]

In my view he cannot claim.

AI Summary

Deductibility of bonus disallowed where audit report under section 44AB records bonus unpaid before the reported payment. Deductibility of bonus claimed under payment-linked rules where the audit report filed under section 44AB records the bonus as outstanding at the report date, while actual payment occurs after the audit report but before the ITR filing due date; the auditor advised that the deduction cannot be claimed because the bonus remained unpaid on the date of the audit report.