CA. Praveen Sharma GST Mitra

The income tax return (ITR) filing last date is March 31, 2022 and non-filers may not get any income tax refund, if due. Apart from this, taxpayers who won't file ITR, may be required to pay higher Tax Deducted at Source (TDS). " Not filing ITR can result in higher TDS next year . The last date to file ITR for AY 2021-22 is 31st March, 2022. Let’s not wait for the last day! File Now," the Income Tax department tweeted. If you fail to file ITR for AY 2021-22, TDS rate, applicable on you, may increase, the department said. Those who won't file ITR by March 31, 2022, would be required to pay a late fee of Rs 1,000 or Rs 5,000 as per section 234F of the Income-tax Act, 1961. "Dear taxpayers, please remember that non-filers may not get any refund, if due," Income Tax India tweeted. Last week, the Lok Sabha approved the Finance Bill 2022 giving effect to the taxation proposals and completing the Budgetary exercise for 2022-23 fiscal by the lower house. Finance Mi...

  The Central Board of Direct Taxes (CBDT) will be introducing a slew of major changes to the income tax from April 1 under the Income-tax (25th Amendment) Rule 2021. While the crypto taxation to be introduced from April 1 has been the prime point of concern among many, the government has also incorporated some changes in filing of updated returns, new tax rules on EPF interest, and tax relief on Covid-19 treatment. EPF ACCOUNT One of the major changes in the non-crypto sector includes the introduction of a cap of tax-free contributions up to Rs 2.5 lakh on the Employee Provident Fund (EPF) account. CHANGES IN ITR Another major change has been introduced to the income tax return . Now onwards, the taxpayers will have the flexibility to file an updated return for errors or mistakes made in income tax returns within two years from the end of the relevant assessment year. Previously, one could get a window of just 5 months from the due date of filing returns, to revise the tax return...

  During the Question Hour, when Mr. Gogoi said that not a penny had been spent out of the amount that Ms. Sitharaman had announced in last year’s Budget, Ms. Patel said, “This is not at all ‘jumla’. There has been in-depth thinking and planning on the part of the government... We want to take all the benefits to the intended beneficiaries with due diligence and in a systematic manner”. Though the Tea Board had drafted the Prime Minister Chai Shramik Protsahan scheme, there was an opinion that all welfare schemes related to education, health or other facilities were already being made available through various schemes of the ministries, she stated. “One more opinion came that we can set up capital infrastructure like anganwadi centres, hospitals, ayush and wellness centres and schools,” she said. One Rank One Pension (OROP), extension of the GST compensation and alleged misuse of Central agencies against political rivals were the other prominent issues that figured in during the Ze...

  The introduction of Goods and Services Tax (GST) has not rationalised the average embedded tax on hospitals and diagnostic laboratories, but instead increased it further, an analysis carried out by global consultancy EY suggests. While the embedded taxes rate of hospitals increased from 4.3% in 2016-17 to 5.7% in the GST period, it went up from 3.8% to 5.8% for diagnostic centres and testing labs for the period between 2018-19 and 2020-21. The analysis done by EY in association with industry body Nathealth (Healthcare Federation of India) indicates that essential medicines and life-saving drugs account for a major proportion of embedded taxes for hospitals. “While the average rate of embedded taxes is quite similar for hospitals and testing labs, the inputs leading to blocked input taxes are different for both these segments. For instance, hospitals incur higher expenditure on medicines (both general and lifesaving) as well as contractual labour for cleaning, maintenance and repa...

  The Income Tax (I-T) Department said two-wheeler manufacturer Hero MotoCorp made over Rs Rs 1,000 crore in bogus expenses and found multiple violations amounting to Rs 100 crore in transactions conducted for a farmhouse in Delhi. The development comes after the department on March 23 conducted search and seizure raids at locations in Delhi-NCR on the premises related to Hero MotoCorp and its managing director Pawan Munjal and other top officials of the company. According to news agency ANI, the I-T Department seized incriminating evidence in the form of hard copy documents and digital data during the raids conducted earlier. The evidence collected revealed the two-wheeler manufacturer booked bogus purchases, made huge unaccounted cash expenditures and obtained accommodation entries amounting to Rs 1,000 crore. The ANI report further added that I-T Department also found evidence of cash transactions of more than Rs 100 crore in the purchase of a farmhouse on the outskirts of Delhi...

  The new financial year 2022-23 (FY23) is just around the corner and there are some key changes that may affect your budget in the next fiscal. There are some changes ranging from income tax to crypto which are set to take place from Friday, April 1, 2022. Tax on crypto assets Crypto assets will be taxed from the next financial year starting Friday. Union Finance Minister  Nirmala Sitharaman  in her Budget 2022 speech announced a  30 per cent tax  on income from virtual digital assets such as cryptocurrencies including bitcoin and Ethereum and non-fungible tokens (NFTs). In her speech, the minister said there has been a phenomenal rise in such transactions and the magnitude and frequency of these transactions have made it imperative to provide for a specific tax regime. Apart from this, there will be a 1 per cent TDS and gift tax under certain conditions to be paid by the receiver of such digital asset as a gift. Tax on PF account The Central Board of Direct Ta...

  The Centre has recovered around Rs 95.86 crore from at least 11 crypto exchanges for evading goods and services tax (GST), according to data released by Parliament on Monday. The amount includes interest and penalty. The GST investigation department has detected a total tax evasion of Rs 81.54 crore by crypto exchanges that include WazirX, Coin DCX, CoinSwitch Kuber, Buy Ucoin, UnoCoin and Flitpay, among other exchanges. In a written reply to Lok Sabha, minister of state (MoS) for finance Pankaj Chaudhary said 11 cases of GST evasion by cryptocurrency exchanges have been detected by central GST formations. Of the 11 exchanges, Zanmai Labs, which operates as WazirX, evaded Rs 40.5 crore, the highest amount evaded. Others were Zeb IT Services, Secure Bitcoin Traders, Giottus Technologies, Awlencan Innovations India (Zebpay) and Discidium Internet Labs, according to the MoS. Notably, WazirX is managed by Zanmai Labs and cryptocurrency WRX is owned by Binance Investment Co, S...

  An important rule will come into effect from 1st April 2022 for those who have businesses with turnover of over Rs 20 crore. According to the rule, businesses with turnover of over Rs 20 crore will have to generate electronic invoice for B2B transactions from April 1, 2022. As per the Central Board of Indirect Taxes and Customs, under Goods and Services Tax (GST) law, e-invoicing for business-to-business (B2B) transactions was made mandatory for companies with turnover of over Rs 500 crore from October 1, 2020, which was then extended to those with turnover of over Rs 100 crore from January 1, 2021. From April 1 last year, companies with turnover of more than Rs 50 crore were generating B2B e-invoices. This is now being extended to companies with turnover of over Rs 20 crore. With this, more suppliers would be required to raise e-invoices with effect from April 1, 2022. If the invoice is not valid, input tax credit on the same cannot be availed by the recipient beside applicable ...

  The Department of Sports has urged the Ministry of Finance to impose a uniform GST of 5 percent on all sports goods to encourage manufacturing of sports goods in India, the Lok Sabha was informed on Tuesday. Union Minister of State for Sports Nisith Pramanik said the GST rates are fixed based on the recommendations of the GST Council and most of the sports equipment are taxed at a GST rate of 12 percent. He said only a few sports equipment such as for general physical exercise and padding pools attract Goods and Services Tax (GST) at 18 percent. "Further, this ministry has been receiving representations from sports goods manufacturers seeking exemption in rate of duty for sports goods under GST regime. The Department of Sports has requested the Ministry of Finance to make a uniform GST slab, i.e. 5 percent, on all sports goods to encourage manufacturing of sports goods in India," he said during Question Hour. Pramanik was replying to a question on whether GST on sports equi...

  The ongoing financial year is on its way to end this week and this should remind salaried taxpayers to finish a slew of tax-related tasks before March 31, which is a crucial deadline for them. From filing belated income tax return to planning your taxes, March 31 is the last date to do it all to avoid penalties and any other fines. To make sure you do not miss out on any of these works, read on the different income tax-related tasks you have to complete within the last day of March, as well as FY2021-22. 1. Filing Belated Income Tax Return: March 31 is the last chance for salaried taxpayers who missed out on the earlier deadline to file income tax return for the Financial Year (FY) 2020-21 or Assessment Year (AY) 2021-21 ended on December 31, 2021. However, you must also note that youu may face a penalty of Rs 1,000 or Rs 5000 depending on your income and also pay additional interest on taxes. The fine is to be paid under Section 234F of the Income Tax (I-T) Act, the government...

  The government on Monday said Rs 95.86 crore has been recovered from 11 cryptocurrency exchanges for evasion of Goods and Services Tax (GST). The total amount includes penalty and interest. Zanmai Labs (WAZIRX), Coin DCX, CoinSwitch Kuber, Buy Ucoin, UnoCoin and Flitpay were among the exchanges that were involved in GST evasion cases. Others were Zeb IT Services, Secure Bitcoin Traders, Giottus Technologies, Awlencan Innovations India (Zebpay) and Discidium Internet Labs, according to the finance ministry. In a written reply to Lok Sabha, Minister of State for Finance Pankaj Chaudhary said 11 cases of evasion of GST by cryptocurrency exchanges have been detected by Central GST formations. Evasion of Rs 81.54 crore was detected and Rs 95.86 crore was recovered (including interest and penalty), he said. As per the reply, Rs 49.18 crore was recovered from Zanmai Labs (WAZIRX), Rs 17.1 crore from Coin DCX, and Rs 16.07 crore from CoinSwitch Kuber. PTI NKD CS RAM Source: https://www...

  The GST and the VAT will be the biggest contributors to the Delhi government's tax revenue which is estimated at Rs 47,700 crore for 2022-23, according to the budget presented in the Assembly by Deputy Chief Minister Manish Sisodia on Saturday. The budget for 2022-23 has pegged the total receipts at Rs 75,800 crore, of which 62.9 per cent or Rs 47,700 crore will be the tax revenue. Other major contributors will be Small Savings Loans and Goods and Services Tax (GST) compensation) at Rs 10,000 crore each or 13.2 per cent, showed the budget document. The tax revenue will comprise Rs 9,500 crore (20 per cent) from state excise in 2022-23. The Delhi government last year launched its new excise policy, quitting the retail liquor business, and issuing licences for 849 vends across the city to private parties through open tender. The GST and the Value Added Tax (VAT) will contribute 65 per cent or Rs 31,200 crore to the total tax revenue in 2022-23. Around Rs 5,000 crore (11 per cent)...

  Many big changes are going to happen from 1 April 2022, which might affect your online transactions and expenses. These changes will apply to bank customers, including senior citizens. Here is a look at 4 big changes you should be aware of. The Central Board of Direct Taxes (CBDT) has decided to implement Income-tax (25th Amendment) Rule 2021 from April 1. It means that a cap of tax-free contribution up to Rs 2.5 lakh is being imposed in the Employee Provident Fund (EPF) account. If the contribution is made above this, then the interest income will be taxed. Savings Account for MIS Interest The rules related to investing in Post Office's Monthly Income Scheme (MIS), Senior Citizen Savings Scheme (SCSS), or Post Office Term Deposit (TD) have also changed. The interest amount in these schemes will not be available in cash from April 1. For this, you have to open a savings account. According to the Department of Posts, many customers have not linked their post office savings account...

  Several micro units in Coimbatore recently received notice asking them to pay interest on the GST remittances that were made after the due date. J. James, president of Tamil Nadu Association of Cottage and Tiny Enterprises, told The Hindu that the units have been asked to pay interest amount from 2017 for late payment of GST. For some units this works out to ₹ 50,000 to ₹ 1 lakh too. With the steep hike in raw material prices, the larger industries here have slowed down the job works given to the vendor units. The micro units do job work for larger units and are struggling to survive as there are hardly any orders in the last few weeks. In such a situation, the notice of payment of interest for GST is almost impossible for these units. The micro units operate with less margin and get payments for the work done in 90 to 120 days. And, even if the GST is paid one day late, the units need to pay a late fee. Charging interest on it with retrospective effect has pushed the micro units...

  The Union Finance Ministry on Friday said it has released the 13th weekly instalment of ₹ 6,000 crore to 23 states and three Union Territories (UTs) to meet the GST compensation shortfall The Union Finance Ministry on Friday said it has released the 13th weekly instalment of ₹ 6,000 crore to 23 states and three Union Territories (UTs) to meet the GST compensation shortfall. Out of this, an amount of ₹ 5,516.60 crore has been released to 23 states, and an amount of ₹ 483.40 crore has been released to the 3 Union Territories (UT) with Legislative Assembly (Delhi, Jammu & Kashmir & Puducherry) who are members of the GST Council. The remaining five states Arunachal Pradesh, Manipur, Mizoram, Nagaland and Sikkim do not have a gap in revenue on account of GST implementation, the Finance Ministry said in a statement. Till now, 70 per cent of the total estimated Goods and Services Tax (GST) compensation shortfall has been released to the states and UTs with Legislative Assembly. ...

  The State Goods and Services Tax (GST) department officials on Thursday arrested a cosmetic and beauty products shop owner for allegedly evading GST duty to the tune of Rs 10.64 crore in the sales of beauty products worth Rs 63.46 crore. The officials arrested N R Beauty world shop owner Munavvar Ismail Memon, a resident of Surat, and have started probe. Acting on a tip-of, the State GST Economic Offence Wing officials had, a few days ago, carried out raids at the premises of N R Beauty world, N R Jewellers and N R Bengles shop and N R Fit in shop, at Chauta bazaar area in Surat city. The officials also carried out raids at the godown of the firm and residence of the owner and his business partners. During raids, the officials claimed to have found that N R beauty world shop owner had misdeclared the sales figures on his books, and evaded the GST duty. Apart from this, the officials also found undisclosed sales figures from the software of the computer seized from the N R Beauty ...

  Income Taxpayers are in search for tax-saving options as the financial year is all set to end on March 31. You will receive an exclusive tax deduction benefit of Rs 50,000 by investing in NPS, the pension fund regulatory body PFRDA said. Investing in NPS becomes more rewarding with the exclusive additional tax benefit of Rs 50,000, according to the Pension Fund Regulatory and Development Authority (PFRDA). The Pension Fund Regulatory and Development Authority has been established by the Government of India to regulate NPS and any other pension scheme not regulated by any other enactment. NPS INCOME TAX BENEFIT Investors in NPS can avail a number of exemptions. Investors can enjoy tax exemption at the time of maturity. Accumulated amount is also exempted from income tax. One can avail income tax exemption at the time of investment. NPS SCHEME NPS is a voluntary retirement savings scheme. The applicant should be between 1870 years of age as on the date of submission of his or her...