The Central Board of Direct Taxes (“CBDT”) by way of Extraordinary Notification No. CG-DL-E-24092021-229929 dated September 24, 2021 promulgated that the Safe Harbor Rules will have retrospective applicability for the Assessment Year (“AY”) 2021-2022.
CBDT has notified the Income-tax (30th Amendment) Rules, 2021 which seeks to amend Income Tax Rules, 1962 (“the IT Rules”)
In the IT Rules, in Rule 10TD, in sub-rule (3B), for the words and figures “the assessment year 2020-21”, the words and figures “assessment years 2020-21 and 2021-22” shall be substituted.
Rule 10TD of the IT Rules relates to Safe Harbor Rules and its procedure. CBDT notified changes to these rules and stated that rates applicable from AY 2017 – 2018 to 2020 – 2021 will continue to apply for AY 2021 – 2022.
Further, certified that no person is being adversely affected by giving retrospective effect to the above-mentioned rules.
The Notification can be accessed at: https://egazette.nic.in/WriteReadData/2021/229929.pdf