The deadline for payment of Personal Income Tax (PIT) has been extended from February 28 to March 31 in view of the Covid-19 situation, the department of revenue and customs (DRC) notified yesterday.
The DRC has also extended the deadline for payment of Business Income Tax (BIT) and Corporate Income Tax (CIT) to April 30.
The DRC stated that taxpayers have faced challenges in submission of tax returns.
A penalty of Nu 100 per day in addition to a 24 percent penal interest on the tax payable shall be applicable after the expiry of the deadline. Tax filing after three months from the due date will attract non-filing penalty in accordance of the Income Tax Act of Bhutan.
The DRC has issued the notification a week after the department launched the BIT estimated tax app (BETA), a mobile app through which taxpayers can file their tax returns.
The BETA was launched to reduce physical interaction as well as to supplement revenue administration and management information system or RAMIS.
The app is aimed at benefiting 30,000 businesses paying BIT across the country. According to the Ministry of Finance, BETA will not only increase the efficiency of tax assessment, payment and collection, but also reduce the administrative cost.
The DRC also requests taxpayers to file tax return online by logging into RAMIS with user ID and password.