Last Time Checklist: Now less than a week is left in the current financial year 2021-22. In such a situation, some work must be done before March 31.
Last Time Chchecklist: There is now less than a week left in the current financial year 2021-22. In such a situation, some work must be done before March 31. Before 31st March, you have to settle the work from investment in tax saving instruments to payment of advance tax. Apart from this, if you have not linked Aadhaar and PAN yet, then you have to protect yourself from the risk of PAN card becoming inactive. If you are a tax payer, then before March 31, see the checklist given below and decide whether you have done it or not
link aadhar card with pan
If you are a taxpayer and your Aadhar card is not yet linked with PAN, then complete it before 31 March 2022. If the Aadhaar card is not linked with PAN by March 31, then the PAN may become inactive and a penalty of Rs 10,000 may be imposed. The process of linking it is very easy and you can also link it online by logging on to the Income Tax website.
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Re-KYC of all your active accounts in financial institutions
According to the guidelines of RBI, all bank accounts and accounts linked to financial institutions or demat accounts, KYC of services like share trading company should be re-done every two years so that the account remains active. This year the deadline for completing KYC has been extended till March 31, 2022.
payment of advance tax
An assessee earning income from sources other than salary should clear his advance tax before March 31, if his tax liability is estimated to exceed Rs 10,000 in the financial year. The due date for the last installment was 15 March 2022. According to the rules of income tax, companies take TDS (Tax Deducted at Source) from the salaried people according to the income tax slab. Thereafter, the assessee should calculate the tax on estimated income from other source of income and pay advance tax if it exceeds Rs.10,000.
Before March 31, invest money in this scheme, get guaranteed pension at the rate of 7.4% every month for 10 years
investing to save tax
The benefit of tax deduction is available under several sections of income tax such as under section 80C, on investment of Rs 1.50 lakh, the assessee can save tax up to a maximum of Rs 46800. However, to take advantage of this, it is necessary that all the investments should be made before March 31, then only they will be able to claim it. However, keep in mind here that saving tax should not be the main objective but investment.
File a missed tax return
For the financial year 2020-21, the assessee had to file his tax return by 31 December 2021, which was the extended due date. If this date is also missed, then you can file it till 31 March 2022. However, now the assessee will have to pay penalty under section 434F of the Income Tax Act. The amount of penalty will depend on the gross income. If there is a gross income of 2.5 lakh-5 lakh rupees, then one thousand rupees will have to be given. Penalty is 10 thousand rupees for gross income of more than 5 lakh rupees, but due to corona epidemic, a relief of 5 thousand rupees has been given.
(Article: Deepak Jain, Chief Executive, TaxManager.in – Tax e-Filing and Compliance Management Portal)
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