Tax department extends date for filing SFT by banks, MFs till June 30

The Income Tax department on Wednesday extended the date for filing the Statement of Financial Transaction (SFT) report by banks, mutual funds and financial institutions by a month to June 30.

The Central Board of Direct Taxes (CBDT) received representations for extension of the date on account of the "teething problems and the volume of data to be compiled", the finance ministry said in a statement.

"In view of these representations and in order to remove inconvenience and to facilitate ease of compliance, the CBDT, have extended the due date of furnishing of the SFT in respect of specified financial transactions registered during Financial Year 2016-17, from May 31, 2017 to June 30, 2017," the statement said.

CBDT had last week asked the entities required to furnish SFT under 114E of Income Tax Rules to register with the I-T department and generate Income Tax Reporting Entity Identification Number (ITDREIN).

Banking companies, cooperative banks, trustees of a mutual funds and post offices need to file SFT for payments and receipts beyond a certain threshold.