Pending income tax refunds up to Rs 5 lakh to be released immediately, says govt; move to benefit 14 lakh taxpayers

In an attempt to provide some relief to taxpayers, the Ministry of Finance on Wednesday decided to release all pending Income Tax refunds up to Rs 5 lakh with immediate effect. The total refund being granted amounts to approximately Rs 18,000 crore. As per a press note released by the finance ministry, the move will prove beneficial to as many as 14 lakh taxpayers.

The ministry added that it has also decided to issue all pending GST and Custom refunds which would benefit around 1 lakh business entities. Last month, Union Finance Minister Nirmala Sitharaman had announced a fiscal package of Rs 1.7 lakh crore , primarily focused on the poorest and vulnerable sections of the society. The government had assured that it will provide free LPG cylinders to beneficiaries of the Ujjwala scheme. The move is expected to help 8.3 crore BPL families. Click here for LIVE updates on coronavirus outbreak The finance minister had also announced a medical insurance cover of Rs 50 lakh per person to about 22 lakh healthcare providers who are at the forefront of the fight against the coronavirus. Sitharaman had said that the insurance cover will be available for three months till 30 June. The government had announced a few other reliefs which included the extension of the deadline for filing of Income Tax Returns for Financial Year 2018-19. The government had said that instead of 31 March, filing of I-T Returns would now be accepted till 30 June. The interest rate for delayed income tax too was reduced while the deadline for linking Aadhaar and PAN card was pushed to 30 June from 31 March. India has crossed the 5,000 mark for coronavirus cases with the death toll close to 150. Globally, the coronavirus pandemic has affected over 14 lakh people.