FIX REASONABLE TIME SO THAT UN-NECESSARY TIME IS NOT LOST FOR EXTENSIONS, SEEKING ADJOURNMENTS ETC

[CA DEV KUMAR KOTHARI]

REASONABLE TIME:

For any work to be done, and compliance to be made it is necessary that reasonable time is fixed. The time may be fixed originally, or revised or further revised at all occasions reasonable time required must be considered.

The time may be fixed under law and under administrative actions and steps and proceedings.

Government Departments are well organized and have adequate resources, to make compliances however we find that government appeals are mostly filed with petition for condonation of delay. This shows that time originally fixed is short time.

SHORT TIME IS UNJUSTIFIED:

We find that in many situations short time is fixed for compliance and even when extension is granted, short extension is granted, this require further extension. Working time reasonably required must be considered keeping in mind ground realities like intervening holidays, priorities, limitations of concerned persons.

EXTENSION OF TIME:

Even when extension is granted, it is granted very late and for short time, this requires further extension.  Author found  in search with “extension of time “ under any law for year 2019 total 38 results  on the following page 

The search was made on 18.08.19 at about 20:10 hours. 38 Results include extensions of time under various laws like direct and indirect tax laws, Companies Act, IBC , DGFT etc. Some search result may not be directly on extension of time for compliance, but majority are in relation to extension of time for some compliances.

Earlier search results found for search on this website:

Search of notification, all categories for all type and for extension of time are analyzed in the following table:

Search date 11.05.2019 at about 15:30 hours on  https://www.taxmanagementindia.com/search/advanced/advanced_search.asp?search_in=Notifications

Text of search	Law	No of results	Latest date	Earliest date	Nos for 2019
BLANK means all	GST	580	10052019	10092016	75
Extension of dates	GST	48	29032019	28062017	4
BLANK means all	GST states	6452	10052019	09012017	582
Extension of dates	GST-states	418	08052019	09012017	17

The above table shows number of extensions within short duration of GST.

Under various laws we find similar extensions. This is because original time fixed is not reasonable.

Expert advisory committees etc:

We find that time fixed for submissions of Reports by expert advisory committees are also  extended many times. This is because original time fixed was short. Recent example is for report under direct tax laws.

Time fixed for filing of Returns and documents:

Reasonable time should be fixed for filing of various returns, reports, etc. keeping in mind volume and difficulties due to limited organizational capacity of concerned persons and organizations.  At the time of extension also reasonable extension should be allowed and that too well in advance. Author appreciate recent extension of date from 31.07.19 to 31.08.19 for filing of ITR at least this time people were not held at tenterhook  up to last day and extension was granted about a week before original date . However this could be more in advance and extension should be at least up to 30.09.2019.

Time for filing ITR for companies up to 30 the September is also unreasonable and short because companies have to get accounts audited and approved in General meetings which can be generally up to 30^th September. Therefore in case of companies due date should be at least 31^st October. In this regard we can recall that earlier due date was up to 31^st December in many cases and it has been advanced due to more and more computation. Even after computerization there are many limitations. These must be considered.

Time fixed for hearings:

We find that very short time is allowed without keeping in mind time required in service of time, intervening holidays, and quantum and nature of matter. This leads to concerned parties seeking adjournment.

Adjournment:

Even in case of adjournments, we find that Courts, Tribunals and authorities, do not allow reasonable time. If Counsel showing difficulties seek time of 45 days, time may be allowed of 15-20 days then again one has to seek adjournments.

Adjournment is a natural aspect, it should not be considered a big relief:

Seeking adjournments is a natural and administrative requirement. If originally time allowed is short, one need to seek adjournment. If after adjournment also time allowed is short, concerned person has to seek further time. Grounds for seeking time should also be considered.

If Courts, Tribunals and authorities take reasonable view and fix or re-fix dates for compliance, filing, and hearing of  cases etc.  allowing reasonable time, there will be saving of lot of time in seeking and granting adjournments.

Discussions to this article

[Ganeshan Kalyani]

Very valid point you have highlighted Sir. GSTR 1 to be filed by 11th of subsequent month. In this short duration preparation of data as required in the various table in the return itself takes huge time. Further while uploading lot of errors are thrown by the system. Rectification of those errors also takes time. To all this system slowdown is adding pain to the taxpayer. Time given should be 20th at least.