income tax
As soon as the new financial year starts, not only salary and expenses but also tax related responsibilities start coming along. If you want not to have to worry about taxes or face any penalty throughout the year, then it is important that you understand these important dates in advance. Actually, the entire tax process is like a calendar, which gets some important work done every month.
Some important tax work has to be completed at the beginning of the year i.e. in April itself. During this period, the deadline for issuing TDS certificate related to a particular transaction remains till the middle of the month. Apart from this, it is necessary to deposit TDS and TCS for the month of March and fill the related forms by the end of the month. If you do this work on time, then the further process becomes much easier.
May-June: Focus on TDS and advance tax
After April, the tax collection continues in May also. In this month, TDS and TCS of the previous month have to be deposited and the responsibility of issuing certificates also has to be fulfilled. At the same time, June becomes a little more important, because in this, not only the tax of May has to be deposited, but the first installment of advance tax also has to be paid. Apart from this, some important statements and reports also have to be filed during this time.
July is the most important month for ITR filing.
The month of July is most important for employed and small taxpayers. During this time, the last date for filing Income Tax Return (ITR) comes. If your income does not come under the purview of audit, then you have to file your return by the end of this month. Also, if there is any tax outstanding, it is important to pay it by this time also.
advance tax system
Advance tax installments have to be paid in the second half of the year. In the first phase, a part of the total tax has to be deposited by September. After this, it is necessary to clear a major part of the tax by December and then the entire tax by March. This system is especially important for business people and high earning people.
Deadline for audit and special cases
If your account comes under audit, then the date for filing ITR gets extended for you. Apart from this, separate deadlines are fixed for cases where international transactions or transfer pricing are involved. Therefore, it is equally important to understand your category.
Last chance for late filing and tax saving
If for some reason you are not able to file ITR on time, you still get a chance to file late or revised return till the end of the year. At the same time, the last date for investing to save tax also remains till the last day of the financial year. That means, if you plan properly, you can get relief even at the last moment.
If you understand this entire tax system month by month, then not only you can avoid penalties, but your financial planning also becomes stronger. A little attention and action at the right time can keep you tension free throughout the year.
