Publisher:COMPARISON OF NEW TAX REGIME VS OLD TAX REGIME | ACADEMY TAX4WEALTH
Mar 13,2023
Which is Better for you Old Tax Regime or New Tax Regime?
The choice of whether the old tax regime or new tax regime is more beneficial for you is based on your personal financial circumstances, income level, and tax deductions or exemptions that you are eligible for. So, let us explain the key differences between the two regimes, so you can make an informed decision.
The Old Income Tax Regime:
Taxpayers may claim several deductions and exemptions under the old income tax regime, such as the standard deduction, house rent allowance, medical insurance payments, interest on home loans, contributions, and so on. The deductions and exemptions available differ based on the nature of the taxpayer's spending and might possibly reduce their taxable income and, as a result, their tax payment.
The New Income Tax Regime:
On the other hand, the new income tax regime, offers lower tax rates but fewer deductions and exemptions. Taxpayers who opt for the new regime do not need to claim any deductions or exemptions, and their taxable income is calculated after applying the lower tax rates.
Comparison of Old vs. New Tax Regime:
The new income tax regime was introduced in the Union Budget 2020 with the objective of providing taxpayers with a simplified and more transparent income tax system. Here is a comparison of the new income tax regime with the old income tax regime:
Tax Rates: Under the old tax regime, the tax rates were divided into different slabs with different tax rates for each slab. In the new regime, the tax rates are lower but there are no deductions and exemptions available. The new tax regime provides a choice to individuals to opt for either the old regime or the new regime.
Deductions and Exemptions: The old tax regime allows for several deductions and exemptions, such as deductions for investments made under Section 80C, deductions for interest paid on a home loan under Section 24, etc. The new tax regime eliminates most deductions and exemptions, including the standard deduction and exemptions under Section 80C, 80D, 80TTA, etc.
Taxable Income: Under the old regime, taxable income is calculated after considering various deductions and exemptions. However, under the new regime, taxable income is calculated without considering any deductions and exemptions. This means that if a taxpayer opts for the new regime, they cannot claim any deductions and exemptions on their taxable income.
Tax Benefits: The old regime offers tax benefits such as deductions and exemptions which can help in reducing the overall tax liability. On the other hand, the new regime offers lower tax rates without any deductions or exemptions.
Ease of Computation: The new tax regime is simpler and easier to understand as it offers lower tax rates without any deductions or exemptions. This means that taxpayers can easily calculate their tax liability without having to worry about the various deductions and exemptions available under the old regime.
To decide which regime is more beneficial for you, you need to compare your tax liability under both the regimes.
However, taxpayers who have significant deductions and exemptions, such as those who have taken home loans, made donations, or invested in certain financial products, may find the old regime more beneficial. Generally, the new regime may be beneficial for taxpayers who do not have significant deductions and exemptions to claim, and whose income falls within the lower tax brackets.
Conclusion:
To conclude, the new tax regime has lower tax rates but eliminates the majority of deductions and exemptions, whereas the old tax regime has higher tax rates but a variety of deductions and exemptions. The tax system chosen would be determined by the taxpayer's personal status and financial aspirations. It is recommended that you consult with a tax specialist or financial advisor who can advise you on the best solution for your particular situation.
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Publisher:30 TAX CONSULTANT INTERVIEW QUESTIONS AND ANSWERS-2023 | ACADEMY TAX4WEALTH
Mar 28,2023
30 Tax Consultant Interview Questions and Answers-2023
Are you preparing for Tax Consultant interview? The government imposes a tax on taxpayers to fund public expenditures. If you fail to pay your taxes, the government has the legal authority to punish you. House tax, road tax, and water tax are examples of taxes that must be paid. By implementing GST in all sectors, a significant amount of money is returned to the government as funds. Having prior experience calculating tax values will make it easier for you to attend interviews. There are a lot of people applying for Taxation jobs. Academy Tax4wealth focuses on giving Tax Consultant interview questions and answers to assist you in easily passing the interview.
Check out a list of the Top 30 Tax Consultant Interview Questions and Answers that really helping out passing the interview to become a Tax Consultant in 2023.
1. What inspired you to become a tax consultant?
Individuals may have different reasons. Some may have a natural inclination towards numbers and taxation while others may have the desire to help businesses and individuals navigate complex tax laws and regulations.
2. What are your key skills and strengths as a tax consultant?
Some key skills and strengths that a tax consultant may have include expertise in tax law and regulations, attention to detail, strong analytical and problem-solving skills, good communication and interpersonal skills, and the ability to work under tight deadlines.
3. What tax software programs are you familiar with?
Tax consultants may be familiar with popular tax software programs like TurboTax, H&R Block, and TaxAct.
4. How do you keep up with tax law and regulation changes?
Tax laws and regulations are constantly changing, so a tax consultant should stay up-to-date on the latest developments. This may involve attending seminars and conferences, reading tax journals and publications, and networking with other tax professionals.
5. What do you think are the biggest challenges facing tax consultants today?
Today's biggest challenges facing tax consultants include keeping up with the constantly changing tax laws and regulations, dealing with complex tax issues, and staying competitive in a crowded and rapidly evolving marketplace.
6. Can you walk me through your typical tax preparation process?
A tax consultant may begin by gathering all relevant financial documents from the client, including income statements, expense reports, and tax forms. They will then use this information to prepare the client's tax returns, making sure to take advantage of all available deductions and credits.
7. How do you ensure the accuracy of your work?
Tax consultants may use a variety of tools and techniques to ensure the accuracy of their work, including double-checking calculations, reviewing all relevant financial documents, and staying up-to-date on the latest tax laws and regulations.
8. Can you give me an example of a particularly challenging tax issue you helped a client resolve?
Tax consultants may encounter many challenging tax issues in their work, and the specific issue they discuss may vary. They may discuss complex issues like foreign income taxes, investment income, or estate taxes.
9. What do you think is the most important quality for a tax consultant to have?
One of the most important qualities for a tax consultant to have been attention to detail, as even small errors in tax preparation can have serious consequences.
10. How do you determine a client's tax knowledge?
Delivering tax-related information to clients helps in their understanding of their financial situation. Hiring managers ask this question to assess your communication skills and capacity to educate clients depending on their knowledge of taxes, rules, and financial situation. Describe the questions you ask your customers to acquire a good idea of their tax expertise.
11. How do you handle changing tax laws? How do you explain it to your clients?
A tax consultant must be adaptable and knowledgeable about tax laws. Hiring managers ask this question to determine how quickly and effectively you understand and communicate new tax laws to your clients. Give particular incidents or outline your client’s communication method.
12. How do you find tax-saving opportunities for your clients?
This question is used by interviewers to examine your knowledge of tax regulations, your competence, and how you use a client's financial information to find tax-saving options. This question also allows them to assess your problem-solving, analytical, and attention-to-detail skills. In your response, explain your tactics.
13. How do you inform your clients about tax deductions?
Good communication skills help in developing trust and a great working connection with clients. Hiring managers use this inquiry to gauge how well you can explain complicated material to customers so that they have a better knowledge of relevant tax regulations and tax-saving strategies. To respond, give an instance of a previous conversation with a client.
14. How do you overcome challenges in tax planning?
Tax planning is one of a tax consultant's main tasks. The recruiting manager uses this question to gauge how well you comprehend economic theories, tax regulations, and financial planning techniques. Also, it enables them to assess how well they can think critically, creatively, and practically. Tell us about your approach to overcoming obstacles.
15. What Is Income Tax? How Is It Calculated?
The income tax is a yearly tax levied by the government on a person's earnings. It is levied for the corresponding assessment year at the rates established by the Finance Act for the previous year's assessment year.
The individual's income is classified into five categories: -
Salaries
Income from house property
Profits and gains of business or profession
Capital gains
Income from other sources.
Income is calculated separately for each of these categories, and tax is calculated using the income tax slab issued by the government each fiscal year.
16. What does "assessment year" mean?
The assessment year is the period that starts on 1 April and finishes on 31st march. The income of the prior fiscal year is evaluated in the year that immediately follows that fiscal year. The tax on the prior year is computed by the government using an assessment year.
17. What was the previous year?
The previous year is the one in which the income earned is subject to taxation in the assessment year that follows. The financial year that came before the assessment year can be used to describe it. For example, if the current assessment year is 2015–16, the prior year was 2014–15.
18. What does "financial year" mean?
A financial year is a period of twelve months that begins on April 1 and ends on March 31 and is used to calculate various annual financial statements for businesses and organizations.
19. How do you distinguish between the fiscal year, the assessment year, and the previous year?
Financial years come in two varieties: assessment years and prior years. These financial years last twelve months, from 1 April to 31 March. The previous financial year is the prior year of the assessment financial year.
20. Who Is an Assesses?
A person who is required by the Act to pay tax or any other amount of money is referred to as an "Assesses."
It includes.
Any person against whom a procedure under this Act has been brought for the assessment of his income or the income of any other person about whom he is assessable, of the loss he or she has suffered, or of the amount of a refund that is owed to him or such another person;
Any individual whom any provision of this Act deems to be an assessee;
Anybody who has been adjudged to be an assessee in default under any provision of this Act.
21. How Many Subheads Under Total Income Are There? Name Them
The total income section has five headings. They are
Income from Salary
Income from a home investment
Profits from a business or profession
Capital gains
Income from unrelated sources
22. Who Resides but Are Not Common Residents?
An individual who qualifies as a resident but not an ordinary resident has not resided in India for nine out of the ten years prior or has spent no more than 729 days there in each of the seven years prior.
23. Who Are the Non-Residents?
An individual will be regarded as a non-resident if they did not meet the requirements listed below in the preceding year:
You must spend at least 182 days in India within that calendar year, OR
You must spend at least 60 days of the year in India and at least 365 days throughout the four years before it.
24. Describe FBT?
Fringe Benefits Tax, or FBT, is a tax that an employer must pay for the perks provided to his or her employees. In addition to the monetary compensation, an employer may also offer fringe benefits to his staff. The value of any fringe benefits that an employer supplied to his employees during the prior year, or was judged to have provided, is due instead of FBT.
25. Describe the Tax Audit?
The Internal Revenue Service (IRS) examines a company's or an individual's tax return to determine whether the income and deductions are accurately reported.
26. Describe a Tax Refund.
The extra tax paid by a person than the real owing is refunded by the government which is known as a tax refund. You file your income tax return for the year, and then you will get a tax refund after accounting for income tax, withholdings, tax deductions or credits, and other considerations.
27. Deferred tax: What Is It?
A tax burden that a firm needs to pay but does not pay at that current time and it will be liable for paying in the future is dubbed a deferred tax. Due to the disparity between accounting procedures and tax laws, deferred tax results in a different balance sheet for a corporation.
28. Define Working Capital?
The difference between a company's current assets and current liabilities is known as working capital. Working Capital is employed in the day-to-day operations of any firm.
Working Capital (WC)= Current Assets (CA) - Current Liabilities (CL)
29. Taxation: What Is It?
By charging fees on individuals and business organizations, taxes are one of the ways the government pays for its expenses. To promote or dissuade people from making specific economic decisions, the government imposes taxes on them.
30. What Does a Pan (Permanent Account Number) Mean?
A ten-digit alphanumeric identifier known as a permanent Account Number (PAN) is given out by the Income Tax Department in the form of a laminated card to link all of the individual's transactions with the department. Tax payments, TDS/TCS credits, income/wealth/gift/FBT returns, defined transactions, communication, etc. are all examples of transactions. Using a ten-digit number, PAN assists the department in keeping an accurate record of each person's transactions to prevent tax evasion in any situation.
Conclusion:
We covered a wide variety of subjects that tax consultants could encounter in the course of their employment in our collection of 30 Tax Consultant Interview Questions & Answers. These questions covered topics like how to handle challenging clients and audits as well as how to stay up to date with tax laws and regulations. Tax consultants are essential in guiding customers through complicated tax rules and regulations and helping them save money. Tax consultants may create lasting connections with customers and help them in reaching their financial objectives by being informed, moral, and committed to providing outstanding service.
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Publisher:NEW INCOME TAX E-FILING 2.0 PORTAL | ACADEMY TAX4WEALTH
Mar 31,2023
New Income Tax e-Filing 2.0 Portal
The new income tax e-filing 2.0 portal is a revamped version of the existing income tax e-filing portal, which is used by taxpayers to file their income tax returns. The new portal was launched on 7th June 2021 by the Income Tax Department of India.
This new portal is designed to be more user-friendly and efficient than the previous version. It is an online platform provided by the Indian government's Income Tax Department for taxpayers to file their income tax returns online. The portal has a modern and intuitive interface, making it easier for taxpayers to navigate and complete their tax-related tasks. Some of the key features of the new income tax e-filing 2.0 portal are:
Want to learn how to File ITR Online click here👉🏻 Learn How to File ITR Online | E-filing of Income Tax Returns
Mobile-friendly: The new portal is designed to be mobile-friendly, which means that taxpayers can access it from their smartphones or tablets, making it convenient for taxpayers to file their returns on the go.
Single dashboard: The new portal has a Personalised dashboard that displays all the important tax-related information in one place, making it easier for taxpayers to manage their tax affairs.
Pre-filled forms: The new portal allows taxpayers to file their income tax returns quickly and easily by pre-filling them with information from their previous year's returns. This means they no longer need to manually enter all the tax-relevant pieces of information.
Quick e-filing: The new portal has a quick e-filing option, which allows taxpayers to file their returns quickly and easily.
Instant processing: The new portal has an instant processing feature that allows taxpayers to receive instant acknowledgements and updates on the status of their tax returns.
Interactive assistance: The new portal has interactive assistance features, which provide step-by-step guidance to taxpayers on how to complete their tax-related tasks.
Enhanced security: The new portal has enhanced security features, ensuring taxpayers' personal and financial information is kept safe and secure.
Multiple modes of verification: The new portal offers multiple modes of verification, including Aadhaar OTP, net banking, and bank account numbers, to ensure the security of taxpayers' personal and financial information.
Multiple options for payment:
The new portal has multiple options for payment, including net banking, UPI, and credit/debit cards.
Overall, the new income tax e-filing 2.0 portal is a significant improvement over the previous version and it aims to make the process of filing income tax returns simpler and more convenient for taxpayers.
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Publisher:10 INCOME TAX RULES HAVE CHANGED: CHECK DETAILS | ACADEMY TAX4WEALTH
Apr 03,2023
10 Income Tax Rules Have Changed For Taxpayers From 1 April 2023: Check Details
Even though the new fiscal year 2023-24 began on April 1, the Income Tax Changes Proposed by Finance Minister Nirmala Sitharaman in Budget 2023 were effective on the same day.
The new income tax rules are:-
1) The New Income Tax Regime Is Now the Default Regime:
On April 1, 2023, the new income tax system became the default tax regime. Tax assessors will still be able to use the former regime. For salaried persons and retirees, the standard deduction under the new system for taxable income above Rs 15.5 lakh is Rs 52,500.
2) Standard Deductibility:
The standard deduction of Rs 50,000, which was available to employees under the previous tax regime, has not altered. According to the finance minister, the standard deduction would be extended to the new pension tax scheme.
3) The Tax Rebate limit has been increased to Rs 7 lakh:
Those with earnings under Rs 7 lakh do not need to make any investments to qualify for exemptions, according to a hike in the tax rebate threshold from Rs 5 to Rs 7 lakh. The income of such people is fully tax-free, regardless of how many investments they make.
4) LTA:
Up to a specific amount, non-government employees are free from the leave encashment obligation. The maximum has been raised to Rs 25 lakh.
5) These Mutual Funds do not provide LTCG Tax benefits:
From today, investments in debt mutual funds will be subject to short-term capital gains tax. Investors would lose the long-term financial benefits that had made such investments appealing in the first place.
6) Marketable Debentures:
Investments in Market Linked Debentures (MLDs) will henceforth be deemed short-term financial assets as of today. With this, grandfathering of prior investments has ended, which has had a modest negative impact on the mutual fund industry.
7) Policies of Life Insurance:
The earnings from life insurance premiums in excess of Rs 5 lakh will be taxable beginning with the commencement of the new fiscal year, or 1 April 2023. Finance Minister Nirmala Sitharaman indicated during the presentation of the Budget 2023 that the ULIP will be exempt from the new income tax regulations.
8) Benefits to Senior Citizens:
The maximum deposit limit under the Senior Citizen Savings Plan will be increased from Rs 15 lakh to Rs 30 lakh. The maximum deposit limit for the monthly income programme would increase from 4.5 lakh to 9 lakh for single accounts and from 7.5 lakh to 15 lakh for joint accounts.
9) Conversion of physical gold to e-gold receipt is exempt from capital gains tax:
According to Finance Minister Nirmala Sitharaman, there would be no capital gains tax if actual gold is converted to an Electronic Gold Receipt (EGR) or vice versa. This will go into effect on April 1, 2023.
10) Changes to Income Tax Slabs:
0-3 lakh - 0
3-6 lakh - 5%
6-9 lakh- 10%
9-12 lakh - 15%
12-15 lakh - 20%
30% for amounts greater than 15 lakhs.
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Publisher:TDS AND TCS RETURN DUE DATES FOR THE FY 2022–2023 | ACADEMY TAX4WEALTH
Apr 07,2023
TDS and TCS Return Due Dates for The FY 2022–2023
Due Dates for TDS Returns:
Every taxpayer whose TDS has been deducted is required to complete a TDS return. These forms must be filed at specific times, and the information that must be supplied to the income tax authorities includes the TAN number (Tax Deduction and Collection Account Number), the amount deducted, the Permanent Account Number (PAN), the TDS payment, the kind of payment, and so on.
There are late filing costs for late submission of TDS returns, therefore it is critical to remember the due dates as well as the relevant documentation necessary.
TDS Deducting Deposit Deadlines:
The tax deductor shall deposit the TDS to the government within the time period specified in Section 200 of the Income Tax Act of 1961. Current income tax laws require the tax deductor to deposit the tax with the government by the seventh day of the following month. The government and other deductors have varied deadlines for taxes deducted in March. The government has until April 7 to deposit tax deducted. The tax must be deposited by April 30 for all other deductors.
Deductor
Due Date of Depositing Tax Deducted
Deductors from the government and others (from April 2022 to February 2023)
7th of next month
Government and other tax payers (For March 2023)
Government date: April 7, 2023 Other deductors, such as employers and banks: 30 April 2023
TDS Return Filing Deadline FY 2022-2023:
Quarter
Quarter Period
Quarter Ending
Due Date
1st Quarter
April - June
30th June
31st July 2022
2nd Quarter
July - September
30th September
31st Oct 2022
3rd Quarter
October - December
31st December
31st Jan 2023
4th Quarter
January - March
31st March
31st May 2023
TCS Returns Filing Deadline for FY 2022-2023:
Quarter
Quarter Period
Quarter Ending
Due Date
1st Quarter
April - June
30th June
15th July 2022
2nd Quarter
July - September
30th September
15th Oct 2022
3rd Quarter
October - December
31st December
15th Jan 2023
4th Quarter
January - March
31st March
15th May 2023
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Penalties for late filing of TDS/TCS returns:
The following penalties shall be applicable if TDS is not paid on time or TDS returns are filed incorrectly:
Late filing fees
Penalty
Interest
Late Filing Fees:
If you do not file your TDS returns by the due date, you will be charged a late filing fee of Rs.200 per day. The cost will be levied for each day beyond the due date until your return is filed. The maximum fees you will have to pay, however, will be restricted to the TDS amount.
Penalty for TDS Return:
If TDS returns are filed beyond the due date or there are errors in the return forms, the following penalties will apply:
Penalty under Section 234E: Under this section of the Income Tax Act, the deductor must be fined Rs. 200 each day till TDS is paid; however, the penalty amount may not be greater than the TDS amount.
Penalty under Section 271H: If false information, such as an incorrect PAN or tax amount, is submitted, a penalty of between Rs. 10,000 and Rs. 1 lakh will be assessed.
A penalty will not be imposed under Section 271H of the Income Tax Act if TDS/TCS returns are not filed by the due date if the following criteria are met:
The TDS/TCS is paid to the government.
One year after the due date, the TDS/TCS return is submitted.
Any applicable interest and late filing costs have been paid to the government's credit.
Also read; Penalty for Late Filing TDS Return
Interest Rate for TDS Payment:
According to Section 201(1A) of the Income Tax Act of 1961, if tax is not deducted at source, either partially or completely, an interest rate of 1% per month would be applied from the day tax was meant to be deducted until the date it is actually deducted. If tax has been deducted but not paid in full or in part, an interest rate of 1.5% per month will be applied from the day tax was deducted until the date it was paid.
TDS Return Forms:
The TDS return forms and their purposes are as follows:
Form Number
Purpose
Form 24Q
TDS from salaries
Form 26Q
TDS on all payments apart from salaries
Form 27Q
Tax is subtracted from any dividends, interest payments, or other amounts owed to non-residents.
Form 27EQ
Collection of tax at source
Types of Challan Statuses in a TDS/TCS Statement:
The following are the different types of statuses in the TDS/TCS statement:
Booked
Match Pending
Match Failed (Challan)
Match Failed (Transfer Voucher)
Pending Booking
Frequently Asked Questions :-
Will there be an upload fee for correcting e-TDS/TCS returns?
Yes, an upload charge is required for e-TDS/TCS return rectification. The charge will vary depending on the number of records.
Who is the e-filing Administrator?
The CBDT has nominated the Director General of Income Tax (Systems) as the e-filing administrator.
What is the due date for filing TDS returns?
The final day of each month is the deadline for TDS deposition.
Is the TDS return due date extended?
The CBDT has extended the deadline for filing the TDS Return/ Statement in Revised/ Updated Form 26Q, applicable to non-salary deductions of tax at source, from 31 October 2022 to 30 November 2022 for the second quarter (Q2) of Fiscal Year (FY) 2022-23 (July-September).
What exactly is Form 26Q?
Form 26Q, Statement for TDS on All Payments Except Salaries. Form 26Q is required for TDS on all received payments other than salary. It is relevant for TDS under Income Tax Act of 1961 sections 200(3), 193, and 194 and must be submitted by the deductor each quarter.
What happens if TDS is not filled?
Section 234E states that if a person fails to file the TDS/TCS return by the due date indicated, he must pay a fine of Rs.200 for each day that the failure persists. The amount of late fees cannot exceed the amount of TDS/TCS.
Who is liable for TDS?
A person (deductor) who owes a specified sum to another person (deductee) must deduct and remit tax to the Central Government.
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Publisher:LAST DATE TO FILE INCOME TAX RETURN (ITR) FOR FY 2022-23 (AY 2023-24) | ACADEMY TAX4WEALTH
Apr 10,2023
Last date to file Income Tax Return (ITR) for FY 2022-23 (AY 2023-24)
The last day to file an Income Tax Return (ITR) without incurring a late charge for the financial year 2022–23 (AY 2023–24) is July 31, 2023.
The IRS will charge interest under Section 234A and a penalty under Section 234F to taxpayers who file their returns after the deadline.
What are the Financial Year (FY) and the Assessment Year (AY)?
The return you are now filling is for the tax year 2022–2023 (FY 2022–2023), which covers the period from 1st April 2022 to 31st March 2023. The assessment year is the time period during which you file your returns and declare your investments for tax assessment for the fiscal year (2022–2023). The assessment year for the income received during the FY (in this case, FY 2022-23) would be the year after that, from 1st April 2023 to 31st March 2024. AY 2023–24 would be the assessment year as a result.
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As a result, the deadline for filing ITR for fiscal year 2022-23 is described below.
Tax filing deadlines for fiscal years 2022-23 (AY 2023-24):
Taxpayer Category
Tax Filing Deadline-FY 2022-23 *(unless extended)
Individual/HUF/AOP/BOI (audited books of accounts are not necessary)
31st July 2023
Businesses (Audit Required)
31st October 2023
Businesses that require transfer price reports (for international/specified domestic transactions)
30th November 2023
Return Revised
31st December 2023
Belated/late return
31st December 2023
What happens if you don't file your ITR before the deadline?
Interest: If you file your return after the due date, you must pay interest on the unpaid tax amount at 1% each month or part month under Section 234A.
Late charge: A late cost of Rs.5,000 is required under Section 234F. If the total income is less than Rs.5 lakh, it will be lowered to Rs.1,000.
Loss Adjustment: If you have losses from the stock market, mutual funds, real estate, or any of your enterprises, you can carry them forward and offset them with revenue from the next year. This drastically reduces your tax liability. Loss adjustment is only permissible if the losses are declared in your ITR and filed with the income tax department before the deadline.
Belated Return: If you miss the ITR filing deadline, you can file a delayed return to the deadline. You must still pay the late charge and interest, and you will not be able to carry over the losses for future adjustments. The income tax administration has now set the deadline for filing the belated return as December 31st of the assessment year. (Unless extended by the government). For this year, you must file the belated return by December 31, 2023.
Important dates for making advance tax installments in the financial years 2023-24:
When it comes to income tax, some tax formalities must be performed within the stipulated due dates, such as filing income tax returns, paying advance tax on time, and so on.
The following dates are the deadlines for paying advance tax:
Due date
Nature of compliance
Tax to be paid
15th June 2023
First Instalment
15% of tax liability
15th September 2023
Second Instalment
45% of tax liability
15th December 2023
Third Instalment
75% of tax liability
15th March 2024
Fourth Instalment
100% of tax liability
31st March 2024
Presumptive Scheme
100% of tax liability
Frequently Asked Questions:
How can I get a tax refund after the deadline?
Only after you file your ITR can you claim an income tax refund. If you miss the ITR filing deadline, you can file a late return on or before December 31st of the assessment year. For the delay, a penalty of Rs.5,000 is levied. However, if the person's total income is less than Rs.5 lakh, the cost is Rs.1,000.
How do you pay income tax after the deadline?
If you have not paid your taxes or filed your return by the due date, you will be able to do so after that day. While filing ITR, however, a late filing penalty and interest will be assessed. A penalty of Rs.5,000 is levied for late submission of returns. If the person's total income is less than Rs.5 lakh, the cost is Rs 1,000.
What part of the Income Tax Act permits a person to file an ITR after the due date?
Section 139(4) permits the submission of a belated return, that is, a return filed beyond the due date. A penalty of up to Rs.5,000 is levied for late submission of returns.
When is the deadline for submitting an income tax return?
The deadline for filing an income tax return is usually the 31st of July for individuals and non-audit cases, and the 31st of October for audit cases in the relevant assessment year.
How can I update my income tax returns before the deadline?
If the taxpayer wishes to update the initial return, he or she may do so by filing a revised return under Section 139(5). The updated return can be submitted using the same method as the original return. However, the taxpayer is required to file the ITR under Section 139(5). While updating the return, the whole e-verification process must be completed.
How can I update my income tax return after the deadline?
If the taxpayer wishes to update the original return beyond the due date, the revised return u/s 139(5). You have until the 31st of December of the assessment year to file a late return. Once this deadline has past, taxpayers will be unable to file any returns. However, if the return was missed due to an unforeseen circumstance, you can apply to your A.O. for authorization to file prior returns under Section 119.
What happens if the income tax return is not filed on time?
If you forget to file your income tax return by the due date, you can file a delayed return. However, for filing late returns, a penalty of up to Rs. 5,000 would be levied. If the person's total income is less than Rs. 5 lakhs, the cost is Rs. 1,000.
What is the deadline for filing trust returns?
The deadline for filing returns for trusts whose finances do not need to be audited for fiscal year 2022–2023 is July 31, 2023. If the trust's finances must be audited, the deadline for filing an ITR is October 31, 2023.
If the trust is required to file an ITR in Form No. 3CEB pursuant to Section 92E, the due date will be November 30, 2023.
What is the deadline for filing corporate returns?
Domestic corporations' return filing deadline for fiscal year 2022–2023 is October 31, 2023. However, if the corporation has any foreign or specified domestic transactions and is obliged to provide a report in Form No. 3CEB u/s Section 92E, the last date to file an ITR is November 30, 2023.
What is the last day for filing an ITR?
Individuals have until July 31st of the relevant assessment year to file their ITR, while taxpayers whose accounts are subject to audit have until October 31st.
What exactly is an income tax audit?
It is the audit and inspection of a company's books of accounts that guarantee that the Income Tax Act of 1961 is followed. Only specific categories of assessors require a tax audit to be performed by a CA or a company of CAs.
Who is required to get an income tax audit report?
Any firm with an annual revenue of more than Rs 1 crore and any professional with receipts above Rs 50 lakh must have their taxes audited.
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