Publisher:TAX DEDUCTION AT SOURCE (TDS) RATE FY 2023-24 (AY 2024-25) | ACADEMY TAX4WEALTH
Apr 29,2023
Tax Deduction at Source (TDS) Rate FY 2023-24 (AY 2024-25)
What does TDS (Tax Deducted at Source) stand for?
Tax deducted at source is referred to as TDS. If a payment exceeds certain thresholds, the Income Tax Act, 1961 requires that any corporation or individual making the payment deduct tax at the source. TDS must be subtracted at the rates authorized by the tax department.
TDS (Tax Deduction at Source) is a key compliance requirement for Income Tax Assessors. Several sections of the Income Tax Act specify TDS rates, payment forms, and TDS threshold limits. TDS has experienced significant changes as a result of Budget 2023.
The maximum TDS on cash withdrawals supplied to cooperative societies has been raised to 3 crores, the minimum threshold for TDS on online gaming has been eliminated, and the TDS rate on the taxable share of EPF withdrawals in non-PAN situations has been reduced from 30% to 20%.
"This blog contains a table of the different TDS rates for the financial year (FY) 2023-2024 or Assessment Year (AY) 2024-2025."
Changes to TDS in the Union Budget 2023-24:
The TDS Rate Chart has been updated for fiscal years 2023-2024/academic years 2024-2025. These changes are as follows:
Section 194BA: TDS on gaming revenues implemented on April 1, 2024.
Section 196A: Beginning April 1, 2023, non-residents earning income from mutual funds in India can submit a Tax Residency Certificate to get TDS at the rate indicated in the tax treaty, rather than the flat rate of 20%.
Section 192A: The TDS rate on PF withdrawals for employees without PANs has been lowered from the maximum marginal rate to 20%.
Section 193: Listed debentures' interest is subject to TDS. Interest earned on such specified securities must thus be taxed.
Section 194N: A higher TDS threshold is now in place for cash withdrawals from cooperative organizations. Starting on April 1, 2023, the tax will be deducted from cash withdrawals that are more than Rs 3 crore, up from the previous limit of Rs 1 crore.
Also read; TDS and TCS Return Due Dates for The FY 2022–2023
TDS Rate Chart for the Assessment Year 2024–2025 and the Fiscal Year 2023–2024 :
Section of the Income-tax Act
Nature of Payment
Rate of TDS
Threshold (INR)
Remarks
192
Salary Payment
Normal slab rates or New Tax Regime Slab Rates as opted by the employee
Taxable Income that is liable to tax
Basic exemption limit for employees
192A
Premature withdrawal from EPF
10%
50,000
The second clause in Section 192A of the Act, which would cause tax to be deducted, is proposed to be removed. The act's second clause, which would cause tax to be withheld at a rate of 20% rather than the top marginal rate if the individual failed to produce their PAN for payment of their outstanding amount, is being suggested to be removed. This modification would take effect in the Assessment Year 2023–2024.
193
Interest on Securities
10%
2500
According to the proposal, the proviso to Section 193 of the Act's clause should be removed. As a result, beginning on April 1, 2023, interest payments made on listed debentures to residents will no longer be free from TDS.
194
Dividend
10%
5000
-
194A
Interest other than interest on securities (Bank Deposit/Post office Deposit/Banking Co-Society Deposit)
A. Senior Citizens
B. Others
10%
50000
40000
-
194A
Interest other than interest on securities (other than Bank Deposit/Post Office
Deposit/Banking Co-Society Deposit)
10%
5000
-
194B
Winnings from lotteries, crossword puzzles, card games, and other game
30%
10000
The TDS threshold limit of 10,000 will continue to be in effect for games like the lottery, crosswords, and other similar ones, but it will now only apply to the total wins accrued over the course of a fiscal year. A proposal to change Section 194B will also take effect on July 23. With the revision, this clause will no longer apply to online gaming, which will be covered by a new section 194BA.
194BA
Winning from Online Games
30%
Nil
According to the proposed amendment, any person who is in charge of providing income to another person in the form of winnings from an online game throughout a fiscal year is required to deduct income tax on the net earnings that are still in the user account at the end of the fiscal year. The way the calculation is done must be specified. However, if a withdrawal is made from the user account during the fiscal year, income tax will be withheld both at the time of the withdrawal for any net winnings included in the withdrawal amount and at the end of the fiscal year for any net winnings still in the user account.
194BB
Income earned from winning in horse race
30%
10000
The TDS threshold limit of 10,000 will remain in effect, but it will now only apply to total wins throughout a fiscal year
194C
Payment of Contractors and sub-contractors
1% (Individual/HUF)
2% (Others)
Single Transaction: 30,000/Aggregate of Transactions: 1,00,000
-
194DA
Payment in respect of life insurance policy
5%
100000
-
194E
Payment to non-resident sportsmen/sports association
20%
-
The rate of TDS shall be increased by applicable surcharge and health & Education cess.
194EE
Payments in respect of deposits under the National Savings Scheme
10%
2500
-
194F
Payments on account of re-purchase of units by Mutual Funds or UTI
20%
-
-
194G
Commission, prize, etc., on sale of lottery tickets
5%
15000
-
194H
Commission or brokerage
5%
15000
-
194-I(a)
Rent for plant and machinery
2%
240000
-
194-I(b)
Rent for immovable property
10%
240000
-
194-IA
Payment for acquisition of immovable property other than agricultural land
1%
50 lakhs
One percent of the amount paid to or credited to the resident, or the property's stamp duty value, whichever is larger, is to be deducted as TDS. No tax is to be subtracted if the sum of the consideration paid for the transfer of real estate and the stamp duty value of such real estate is less than fifty lakh rupees.
194-IB
Payment of rent by individual or HUF
5%
50000 per
-
194-IC
Payment for Joint Development Agreements
10%
-
-
194J
Fee for professional or Technical Services (FTS), Royalty, ETC.
2% (FTS, certain royalties, call center)
10% (others)
30000
-
194K
Payment of dividends by Mutual Funds
10%
-
-
194LA
Payment of Compensation on acquisition of immovable property
10%
250000
-
194LBA (1)
Payment of income by Business trust
10%
-
-
194LBB(i)
Payment of income by Investment Fund
10%
-
-
194LBC (1)
Income by the securitization trust
25% (Individual/HUF)
30% (others)
-
-
194M
Payment to the commission, brokerage, etc. by Individual and HUF
5%
50 lakhs
-
194N
Cash withdrawal during the previous year from one or more accounts maintained by a person with a banking company, cooperative society engaged in the business of banking or a post office
2% / 5%
20 lakhs / 1 Crore
-
194-O
TDS on e-commerce participants
1%
5 lakhs
In case of non-availability of PAN, TDS Rate shall be 5%
194P
TDS on Senior Citizens above 75 Years
Tax Rates in Force
Taxable Income Liable to Tax
-
194Q
Purchase of goods (applicable w.e.f 01.07.2021)
0.10%
50 lakhs
-
194R
TDS on benefit or perquisite of a business or profession
10%
20000
-
194S
Transfer of Virtual Digital Assets
1%
-
-
195
Payment of any other sum to a Non-resident
-
-
The rate of TDS shall be increased by applicable surcharge and Health & Education cess.
195
(a) Investment made by a Non-resident Indian Citizen
20%
-
-
195
(b) Long-term capital gains referred to in Section 115E in case of a Non-resident Indian Citizen
10%
-
-
195
(c) Long-term capital gains referred to in sub-clause (3) of clause (c) of sub-section (1) of Section 112
10%
-
-
195
(d) Long-term capital gains as referred to in Section 112A
10%
-
-
195
(e) Short-term capital gains referred to in Section 111A
15%
-
-
(f) Any other income by way of long- capital gains
20%
-
-
(g) Income by way of interest payable by the Government or an Indian concern on money borrowed or debt incurred by the Government or the Indian concern in foreign currency (not being income by way of interest referred to in Section 194LB or Section 194LC)
20%
-
-
(h) Any other Income
30%
196B
Income from units from an offshore fund
10%
-
-
196C
Income from foreign currency bonds or GDR of an Indian company
10%
-
-
196D
Income of Foreign Institutional investors from securities
20%
-
-
206AB
Payment to non-filers, i.e., those who have not filed there in the last year
-2 times the rate given in the Income Tax Act or Finance Act or -5%, whichever is higher
-
Non-filers do not include: -
- People who are not required to file their ITRs
- NRIs who do not have a PE in India
206AA
TDS rate in case of Nonavailability of PAN
Rates specified above or 20% whichever is higher
-
-
Conclusion: -
TDS is required to be deducted at a rate of 2% on payments made to taxable goods and/or service providers by certain designated people under GST. The individual deducting tax must make a TDS return on form GSTR-7 within 10 days of the end of the month. This blog covers all aspects of TDS under GST, such as the TDS rate, deduction limit, application, paperwork to be filed, applicable interest and penalties, and more.
For more information, Visit us at: https://academy.tax4wealth.com/
Publisher:ONLINE INCOME TAX PAYMENT: 24 BANKS HAVE BEEN AUTHORISED BY THE I-T DEPARTMENT TO PROVIDE E-PAY TAX SERVICE | ACADEMY TAX4WEALTH
May 10,2023
Online Income Tax Payment: 24 Banks Have Been Authorised by The I-T Department to Provide E-Pay Tax Service
Tax e-Payment using the e-filing portal: The Income Tax Department has allowed RBL bank’s e-Pay Tax Service, which includes over-the-counter and net banking alternatives. Along with RBL Bank, the tax department has approved 24 banks for tax payments using the e-Pay Tax Service available on the e-Filing platform.
Taxpayers can use the e-Pay Tax option to pay their taxes via Net Banking/Debit Card/Over the Counter/NEFT/RTGS and Payment Gateway of authorized banks. To use the e-Pay Tax Service, users must input their PAN/TAN and mobile number.
The complete list of banks authorized to provide the e-Pay Tax service on the e-filing site is given below:
Axis Bank
Bank of Baroda
Bank of India
Bank of Maharashtra
Canara Bank
Central Bank of India
City Union Bank
Federal Bank
HDFC Bank
ICICI Bank
IDBI Bank
Indian Bank
Indian Overseas Bank
IndusInd Bank
Jammu & Kashmir Bank
Karur Vysya Bank
17. Kotak Mahindra Bank
Punjab National Bank
Punjab & Sind Bank
RBL Bank
State Bank of India
South Indian Bank
UCO Bank
Union Bank
How to utilize the e-Pay tax service:
Taxes can be paid using the e-Pay Tax service on the e-filing site without logging in. Taxpayers should take the following steps:
Step 1: Visit the electronic filing site and select e-Pay tax.
Step 2: Click "Continue" after entering the required details, such as your PAN, tax information, and mobile number.
Step 3: Enter the 6-digit OTP that you received on your mobile device in step 3 to complete OTP verification, then click "Continue:
Step 4: After OTP verification is complete, you will get a success message containing your PAN/TAN and masked name. To proceed, click "Continue" once again.
Step 5: On the e-Pay Tax page for new payments, click "Proceed" on the tax payment type that applies to you.
Step 6: Select the Assessment year, Minor head, and other information, and then click "Continue" once again.
Step 7: On the "Add Tax Breakup Details" screen, enter the breakdown of the total amount of tax paid and press the "Continue" button.
Step 8: Click Continue after selecting Payment Gateway Mode.
Step 9: Review the information on the "Preview and Make Payment page" and click the "Pay Now" button.
Step 10: Make your payment, and you will receive a confirmation email and SMS. You can also save the Challan Receipt for future use. After logging in, this information will also be available under the "Payment History" tab on the "e-Pay Tax" website.
Publisher:ITR FILING: ITR 1 & ITR 4 EXCEL UTILITIES ARE STARTING FOR FY 2023-24 | ACADEMY TAX4WEALTH
May 18,2023
ITR Filing: ITR 1 & ITR 4 Excel Utilities Are Starting for FY 2023-24
Introduction:
For the assessment year 2023–2024, the Income Tax Department has recently enabled offline Excel-based utilities for ITR-1 (Sahaj) and ITR-4 (Sugam) filing. This means that individuals can now download these utilities from the Income Tax e-filing website and use them to file income tax returns.
For those unfamiliar with Excel-based utilities, they are tools that allow taxpayers to electronically file their returns. By downloading the utility, enabling macros in Excel, and understanding the utility's requirements, individuals can effectively file their taxes. In case of any technical difficulties, taxpayers can seek assistance from CBDT's ITR utility customer service or consult tax professionals.
It's important to note that salaried individuals will need to wait a little longer before filing their returns. They are required to obtain their TDS certificate, also known as Form 16, from their employers. Form 16 is expected to be issued by employers by June 15. Once they have the necessary documents, salaried individuals can proceed with filing their returns.
The ITR-1 (Sahaj) Excel utility is designed for residents (excluding those not ordinarily resident) with a total income of up to Rs 50 lakh. This includes one house property, salary income, other sources of income such as interest, and agricultural income up to Rs 5000.
The ITR-4 (Sugam) Excel utility is meant for residents, Hindu Undivided Families (HUFs), and firms (excluding LLPs) with a total income of up to Rs 50 lakh. This category covers individuals with income from business and profession computed under sections 44AD, 44ADA, or 44AE, as well as agricultural income up to Rs 5000.
According to the Income Tax Department, the "Excel utilities have been enabled offline Excel-based utilities for ITR-1 (Sahaj) and ITR-4 (Sugam) for AY 2023–24. Please refer to the real-time ticker at e-filing website (https://www.incometax.gov.in/iec/foportal/). Software and tools for creating additional ITRs and forms for the tax year 2023–2024 will soon be available. Taxpayers will be able to get information about it on the e-filing portal.
What exactly is an Excel-based utility?
Taxpayers can electronically file their taxes using the Excel-based tools included on Income Tax Return forms. By downloading this program, activating macros in Excel, and comprehending the tool's usage requirements, taxpayers can efficiently submit their taxes. Taxpayers can contact CBDT's ITR utility customer care or tax experts for assistance with any technological issues.
ITR-1 (Sahaj) Excel Utility:
The ITR-1 (Sahaj) Excel Utility is made for residents (apart from those who aren't typically residents) with a total income of up to Rs 50 lakh. It is applicable for individuals with income from salaries, one house property, other sources such as interest, etc., and agricultural income up to Rs 5000.
ITR-4 (Sugam) Excel Utility:
The ITR-4 (Sugam) Excel Utility is designed for resident individuals, Hindu Undivided Families (HUFs), and firms (excluding Limited Liability Partnerships or LLPs) with a total income of up to Rs 50 lakh. It applies to those with business and professional income that is calculated by sections 44AD, 44ADA, or 44AE, as well as agricultural income up to Rs 5000.
For more update, Visit us at: https://academy.tax4wealth.com/
Publisher:KNOW THE NEW INCOME TAX SLAB RATES FOR FY 2023-24 (AY 2024-25) | ACADEMY TAX4WEALTH
May 23,2023
Know the New Income Tax Slab Rates for FY 2023-24 (AY 2024-25)
On February 1, 2023, Nirmala Sitharaman, India's Finance Minister, announced the Union Budget 2023, which included new income tax slabs and rates under the new tax regime. The new tax structure was implemented in Budget 2020 with six slabs, which have since been reduced to five for normal persons, elderly citizens, and HUFs (Hindu Undivided Families).
Furthermore, in the case of the new tax system for FY 2023-24, the basic exemption level was raised to Rs. 3 lakh from Rs. 2.5 lakh previously. However, no modifications were made to the former tax regime's tax slabs and rates for AY 2024-25, which would stay the same as the income tax slab FY 2022-23 (AY 2023-24).
Let's look at the revised income tax slabs for FY 23-2024 for both the new and old tax regimes.
Income Tax Slabs for HUFs and Individuals in FY 2023-24 (AY 2023-24):
According to the Budget 2023 release, the new income tax slab rates for each individual for FY 23-2024 are as follows:
Annual Taxable Income
New Tax Regime
Old Tax Regime
Up to Rs.2.5 lakh
Exempt
Exempt
Over Rs.2.5 lakh to Rs.3 lakh
Exempt
5%
Over Rs.3 lakh to Rs. 5 lakh
5%
5%
Over Rs.5 lakh to Rs.6 lakh
5%
20%
Over Rs.6 lakh to Rs. 9 lakh
10%
20%
Over Rs.9 lakh to Rs.10 lakh
15%
20%
Over Rs.10 lakh to Rs.12 lakh
15%
30%
Over Rs.12 lakh to Rs.15 lakh
20%
30%
Above Rs.15 lakh
30%
30%
The majority of tax-saving investments, such as life insurance tax advantages, however, cannot be obtained if one chooses the new tax system.
Income Tax Slab for Super Senior Citizens in AY 2024-25 (FY 2023-24):
As per the Income Tax Act, of 1961, taxpayers above 80 years of age are considered super senior citizens and they get a higher exemption limit of Rs.5 lakh under the old tax regime. This benefit is however not applicable to super senior citizens opting for the new tax regime slabs in FY 2023-24. Super senior citizens will be required to pay taxes as per the income tax slab FY 2023-24 & AY 2024-25 under the old tax regime and new tax regime as mentioned below:
Annual Taxable Income
New Tax Regime
Old Tax Regime
Up to Rs.3 lakh
Exempt
Exempt
Over Rs.3 lakh to Rs. 5 lakh
5%
Exempt
Over Rs.5 lakh to Rs.6 lakh
5%
20%
Over Rs.9 lakh to Rs.10 lakh
15%
20%
Over Rs. 6 lakh to Rs. 9 lakh
10%
20%
Over Rs.10 lakh to Rs.12 lakh
15%
30%
Over Rs.12 lakh to Rs.15 lakh
20%
30%
Above Rs. 15 lakh
30%
30%
The income tax slab for FY 2024 under either the new or old tax system is an option for super senior people, just as for other individual taxpayers. As you can see, the new tax regime gives the same exemption limit and income tax slab rates to all qualifying taxpayers, but the previous tax system offers a larger exemption limit of Rs. 5 lakh. Additionally, the most popular old regime exclusions and deductions including Section 80C, Section 80D, Section 24, and many more are not available under the new tax system in 2023.
Income Tax Slabs and Rates for Senior Citizens in AY 2024–25 (FY 2023–24):
According to the Income Tax Act of 1961, taxpayers between the ages of 60 and 80 are designated senior citizens and are entitled to a larger exemption level than taxpayers under the previous tax system. However, under the new tax system for AY 2024–2025, this advantage is not accessible.
Here is a comparison of the income tax brackets and rates for seniors under the previous and new tax systems for the fiscal years 2023–2024:
Annual Taxable Income
New Tax Regime
Old Tax Regime
Up to Rs.3 lakh
Exempt
Exempt
Over Rs.3 lakh to Rs. 5 lakh
5%
5%
Over Rs.5 lakh to Rs.6 lakh
5%
20%
Over Rs.6 lakh to Rs. 9 lakh
10%
20%
Over Rs.9 lakh to Rs.10 lakh
15%
20%
Over Rs.10 lakh to Rs.12 lakh
15%
30%
Over Rs.12 lakh to Rs.15 lakh
20%
30%
Above Rs.15 lakh
30%
30%
As you can see, the basic exemption ceiling for senior citizen taxpayers under both tax regimes has increased to Rs. 3 lakh as a result of the change to the new tax system in Budget 2023. Seniors who choose the new tax regime slabs in FY 2023–24 will forfeit the advantages of some popular tax-saving investments, but they will profit from reduced income tax slab rates for the fiscal year.
Super Senior Income Tax Slab in AY 2024–2025 (FY 2023–2024):
Taxpayers above the age of 80 are regarded as super senior persons under the Income Tax Act of 1961 and are entitled to a greater exemption ceiling of Rs. 5 lakh. However, super elderly persons who choose the new tax regime slabs in FY 2023–2024 are not eligible for this benefit. By the income tax slabs for FY 2023–24 and AY 2024–25 under the previous and new tax regimes, respectively, super elderly persons will be obligated to pay taxes:
Annual Taxable Income
New Tax Regime
Old Tax Regime
Up to Rs.3 lakh
Exempt
Exempt
Over Rs.3 lakh to Rs. 5 lakh
5%
Exempt
Over Rs.5 lakh to Rs.6 lakh
5%
20%
Over Rs.6 lakh to Rs. 9 lakh
10%
20%
Over Rs.9 lakh to Rs.10 lakh
15%
20%
Over Rs.10 lakh to Rs.12 lakh
15%
30%
Over Rs.12 lakh to Rs.15 lakh
20%
30%
Above Rs.15 lakh
30%
30%
The income tax slab for FY 2024 under either the new or old tax system is an option for super senior people, just as for other individual taxpayers. As you can see, the new tax regime gives the same exemption limit and income tax slab rates to all qualifying taxpayers, but the previous tax system offers a larger exemption limit of Rs. 5 lakh. Additionally, the most popular old regime exclusions and deductions including Section 80C, Section 80D, Section 24, and many more are not available under the new tax system in 2023.
AOP, BOI, and AJP Income Tax Slab for AY 2024–25:
Taxpayers such as the Association of Persons (AOP), Body of Individuals (BOI), and Artificial Judicial Person (AJP), who are not Individuals or HUF, are now ineligible for the new tax regime. Because of this, the income tax rates and slabs that apply to these taxpayers in AY 2024–25 are the same as those that applied to them in AY 2023–24, as indicated below:
Net Taxable Income
Income Tax Rate FY 2023-24
Up to Rs. 2.5 lakh
Exempt
Over Rs. 2.5 lakh up to Rs. 5 lakh
5% of income exceeding Rs. 2.5 lakh
Over Rs. 5 lakh up to Rs. 10 lakh
Rs. 12,500 + 20% of income exceeding Rs. 5 lakh
Over Rs. 10 lakh
Rs. 1,12,500 + 30% of income exceeding Rs. 10 lakh
Tax increase for the years FY 23 and FY 24:
The maximum surcharge under the new tax system that applies to income tax was reduced from 37% in AY 23–24 to 25% in AY 24–25 as part of the Budget 2023 announcement. If the taxpayer's total income exceeds a certain yearly income cap, a surcharge is applied to the income tax amount. The surcharge rates for the previous tax system and the new tax system in FY 23–24 are contrasted as follows:
Income
Surcharge Rate in Old tax regime
Surcharge Rate in New Tax Regime
Less than Rs.50 lakh
NIL
NIL
Rs.50 lakh – Rs.1crore
10%
10%
Rs.1 crore – Rs.2 crore
15%
15%
Rs.2 crore – Rs.5 crore
25%
25%
Rs.5 crore – Rs.10 crore
37%
25%
More than Rs.10 crore3
37%
25%
Note: The Income Tax Act of 1961's Sections 111A, 112A, and 115AD provides that the 25%- and 37%-income tax surcharges are not deducted from taxable income. The additional income tax rate in these circumstances is 15%. On the income tax surcharge, there is, nevertheless, a small amount of relief available in certain circumstances.
For more information, Visit us at: https://academy.tax4wealth.com/blog
Publisher:HIGHER RATE OF TDS/TCS FOR NON-FILERS OF INCOME-TAX RETURNS
May 24,2023
Higher Rate of TDS/TCS for Non-Filers of Income-Tax Returns
To promote tax compliance and ensure a more efficient tax system, the government has introduced measures to encourage individuals and entities to file their income tax returns on time. One such measure is the higher rate of Tax TDS and TCS for non-filers of income tax returns. This blog aims to explain the concept of TDS/TCS, highlight the consequences of non-filing, and discuss the implications of higher rates imposed on non-filers.
Understanding TDS and TCS:
Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) are mechanisms implemented by the government to collect taxes at the source of income generation. TDS applies to various types of payments such as salary, interest, rent, professional fees, etc., while TCS is levied on specified goods or services like the sale of liquor, scrap, minerals, etc. Under these mechanisms, the person making the payment (deductor/collector) is responsible for deducting or collecting tax from the payment and remitting it to the government.
Consequences of Non-Filing of Income Tax Returns:
Filing income tax returns is not only a legal obligation but also essential for various financial activities such as availing loans, claiming tax refunds, carrying forward losses, etc. Non-filing of income tax returns can lead to several consequences, including:
Penalty and Interest: Individuals who fail to file their income tax returns within the due dates may be liable to pay penalties and interest on the outstanding tax amount.
Loss of Refunds: Non-filers may miss out on potential tax refunds that they might be eligible for based on deductions, exemptions, or excess tax payments.
Scrutiny by Tax Authorities: Non-filers are more likely to attract the attention of tax authorities, who may initiate scrutiny or investigation proceedings, resulting in increased scrutiny and potential penalties.
Also, read; TDS and TCS Return Due Dates for The FY 2022–2023
Higher Rates of TDS/TCS for Non-Filers:
To encourage the timely filing of income tax returns, the government has introduced higher rates of TDS and TCS for individuals and entities who have not filed their returns for a specified period. The higher rates act as a deterrent to non-compliance and aim to ensure that individuals fulfill their tax obligations promptly.
Implications of Higher Rates:
The higher rates of TDS/TCS for non-filers can have significant implications, including:
Reduced Cash Flow: Non-filers may experience reduced cash flow as a higher amount of tax is deducted or collected at the source, affecting their working capital and financial planning.
Increased Compliance: The higher rates serve as a motivator for non-filers to file their income tax returns to avoid the burden of enhanced TDS/TCS rates and associated cash flow issues.
Enhanced Revenue Collection: The implementation of higher rates encourages compliance, leading to increased tax revenue for the government, which can be utilized for developmental activities.
Conclusion
Filing income tax returns within the prescribed timelines is crucial to ensure compliance with tax laws and avoid the consequences of non-filing. The introduction of higher rates of TDS/TCS for non-filers acts as a deterrent, urging individuals and entities to fulfill their tax obligations promptly. By promoting tax compliance, the government aims to strengthen the tax system, increase revenue collection, and create a fair and transparent environment for taxpayers.
For more information, Visit us at: https://academy.tax4wealth.com/blog
Publisher:CALENDAR FOR STATUTORY AND TAX COMPLIANCE IN JUNE 2023 | ACADEMY TAX4WEALTH
Jun 03,2023
Calendar for Statutory and Tax Compliance in June, 2023
The June, 2023 Statutory Tax Compliance Calendar. This tracker offers an overview of the compliance requirements for the month of June 2023 under the Income Tax Act of 1961 and the Goods and Services Tax (GST) Act of 2017. It provides significant deadlines for different tax-related forms and payments, assisting individuals and organizations in staying on top of their tax responsibilities.
Keeping track of statutory and tax compliance deadlines is crucial for individuals and businesses to ensure timely filing and payment of taxes. In this article, we provide a comprehensive compliance calendar for June 2023, highlighting important dates and obligations. Please note that the specific requirements and deadlines may vary based on your jurisdiction and business type. It's always advisable to consult with a tax professional or refer to official government sources for accurate and up-to-date information.
S. No.
Statue
Purpose
Compliance Period
Due Date
Compliance Details
1
Income Tax
TDS/TCS Liability Deposit
May-23
7-Jun-23
The due date for filing TDS/TCS obligations for the preceding month under the Income Tax Act of 1961.
2
GST
GSTR-7- TDS return under GST
May-23
10-Jun-23
GSTR 7 is a return that must be filed by individuals who are obliged to deduct TDS (Tax deducted at source) under GST.
3
GST
GSTR-8- TCS return under GST
May-23
10-Jun-23
GSTR-8 is a return that e-commerce operators must file if they are obligated to deduct TCS (Tax collected at source) under GST.
4
GST
GSTR-1
May-23
11-Jun-23
1. GST Filing of returns by a registered person whose overall turnover in the prior year exceeded INR 5 crores.
2. A registered person having an aggregate turnover of less than INR 5 Crores in the previous year chose for monthly filing of QRMP returns.
5
GST
IFF (Invoice Furnishing Facility)
May-23
13-Jun-23
IFF of a registered person having a previous-year revenue of less than INR 5 Crores and who has chosen for quarterly filing of returns under QRMP.
6
GST
GSTR -6
May-23
13-Jun-23
The due date for Input Service Distributors to file their returns.
7
Income Tax
TDS Certificate
Apr-23
14-Jun-23
The TDS Certificate for taxes deducted under sections 194-IA, 194-IB, 194M, and 194S is due in April 2023.
Note: Only applies to the identified individual indicated in section 194S.
8
Income Tax
Form 24G
May-23
15-Jun-23
The deadline for submitting form 24G by a government agency where TDS/TCS for the month of May 2023 was paid without the submission of a challan.
9
Income Tax
TDS Certificate
Jan to March 2023
15-Jun-23
TDS certificates for the quarter ending March 2023 (in respect of tax deducted for payments other than wages). The very first.
10
Income Tax
Advance Tax
FY 2023-24
15-Jun-23
The first advance tax payment for the fiscal year 2023-24.
11
Income Tax
TDS Certificate (Form 16)
FY 2022-23
15-Jun-23
Employees will get a certificate of tax deducted at source for pay paid and tax deducted for the fiscal year 2022-23.
12
Income Tax
Form No. 3BB
May-23
15-Jun-23
The deadline for a stock exchange to provide a statement in Form No. 3BB for transactions in which client codes were amended after registration in the system for May 2023.
13
Income Tax
Form No. 64D
FY 2022-23
15-Jun-23
Furnishing a statement (in Form No. 64D) of income received or credited to a unit holder by an investment fund for the fiscal year 2022-23.
14
Labour Law
Provident Fund / ESI
May-23
15-Jun-23
Payment of Provident Fund and ESI contributions for the preceding month is due on this day.
15
GST
GSTR - 3B
May-23
20-Jun-23
1. GST Filing of returns by a registered person whose overall turnover in the prior year exceeded INR 5 crores.
2. A registered person having an aggregate turnover of less than INR 5 Crores in the previous year chose for monthly filing of QRMP returns.
16
GST
GSTR -5
May-23
20-Jun-23
Non-Resident Taxable Persons must submit GSTR-5 for the prior month.
17
GST
GSTR -5A
May-23
20-Jun-23
OIDAR Service Providers must submit GSTR-5A for the prior month.
18
GST
Due date of Payment of Tax
May-23
25-Jun-23
The due date for payment of GST is due by the registered person whose aggregate revenue was less than INR 5 crores in the previous fiscal year and who has chosen for quarterly filing of return.
19
Income Tax
Form No. 3CEK
FY 2022-23
29-Jun-23
The deadline for an eligible investment fund to e-file a statement (in Form No. 3CEK) under section 9A for its actions in the fiscal year 2022-23.
20
Company Law
DPT-3
FY 2022-23
30-Jun-23
DPT 3 is a deposit return submitted to provide information on deposits as well as outstanding receipts of loans or money other than deposits.
21
Income Tax
TDS Challan cum Statement
May-23
30-Jun-23
The deadline for submitting challan-cum-statements for taxes deducted under sections 194-IA, 194-IB, 194-M, and 194S is May 2023.
Note: Only applicable in the event of a specific person as defined in section 194S.
22
Income Tax
Securities transaction tax
FY 2022-23
30-Jun-23
Return for the fiscal year 2022-23 on securities transaction tax.
23
Income Tax
Return of non-deduction of TDS
Jan to March 2023
30-Jun-23
Quarterly return of a banking company's non-deduction of tax at source from interest on time deposits for the fiscal quarter ending March 31, 2023.
24
Income Tax
Form No. 64C
FY 2022-23
30-Jun-23
Alternative Investment Fund (AIF) will provide a statement (in Form No. 64C) to unitholders about revenue disbursed for the fiscal year 2022-23.
25
Income Tax
Report u/s Section 35AC(4)/(5)
FY 2022-23
30-Jun-23
Section 35AC(4)/(5) report by an approved institution/public sector organization for the fiscal year ending March 31, 2023.
26
Income Tax
Form No. 64B
FY 2022-23
30-Jun-23
The deadline for providing the business trust's statement of income given to unitholders for the fiscal year 2022-23. This statement must be sent to unit holders in form No. 64B.
27
Income Tax
Equalisation Levy statement
FY 2022-23
30-Jun-23
Delivering the Equalisation Levy Statement for Fiscal Year 2022-23.
Disclaimer:
Please note that the compliance requirements and deadlines may vary based on the specific jurisdiction and the nature of your business. It's always recommended to consult with a tax professional or refer to the official government websites for the most accurate and up-to-date information.
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