#Income Tax Updates

[taxblgs]

Don’t Miss Out! TDS Payment Deadlines for FY 2024–25 Explained

Filing TDS (Tax Deducted at Source) returns can be straightforward if you know which forms to use. Here’s a concise breakdown of the essential forms required for different types of transactions.

1. Form 24Q

Purpose: This form is crucial for employers as it reports TDS on salaries.

Key Point: Employers must submit this quarterly to reflect tax deductions from employee salaries.

2. Form 27Q

Purpose: Use this form to report TDS on payments made to non-residents.

Examples: This includes payments such as interest, dividends, and other sums payable to foreign entities or individuals (excluding companies).

3. Form 26Q

Purpose: This form covers TDS reporting in various scenarios, such as professional fees and interest payments.

Application: It's essential for a range of payments outside of salaries.

4. Challan-cum-Statement Forms

Form 26QB: For TDS under Section 194-IA (related to property sales).

Form 26QC: For TDS under Section 194-IB (applicable to lease payments).

Form 26QD: For TDS under Section 194M (payments made to contractors).

Timely Submission

Remember, these forms must be submitted within 30 days from the end of the month in which TDS was deducted. Ensuring timely filing can save you from penalties and maintain your compliance with tax regulations.

Conclusion

Understanding the specific forms for TDS filing is vital for smooth compliance. Choose the correct form based on your transactions to ensure hassle-free returns. Stay tuned for more updates on TDS regulations and best practices!

Read also: How to check your TDS Refund? , Books of account under section 44aa, Notice issue ? get expert help

[goatsandgangsters]

fun activities while sick with covid 😌😌 : paying taxes.

[styelforever]

Maximize Your Savings: A Free Guide to Child Tax Credit 2024

Discover how the Child Tax Credit for 2024 can significantly reduce your tax bill and boost your savings! This free course is designed for parents, guardians, and tax professionals to help you navigate the new updates, eligibility requirements, and filing tips to claim the full benefits for your family. Learn step-by-step how to unlock additional credits, avoid common mistakes, and make the most of this crucial financial resource. Enroll now for free and start maximizing your tax savings today!

Free download

[alwajeeztech]

ZATCA VAT & Tax Return System in ALZERP Cloud ERP Software

The ALZERP Cloud ERP Software offers a comprehensive tax return system designed to facilitate the calculation, moderation, and finalization of VAT and tax returns. This system ensures businesses comply with the Saudi Arabian tax regulations set by the Zakat, Tax, and Customs Authority (ZATCA). By automating and streamlining the tax return process, ALZERP helps businesses achieve accuracy and…

[fintoo]

[loansmee]

Learn how the 2024 Union Budget impacts your income tax filing and credit card usage. Discover new tax regulations, updated interest rates, and changes in credit card policies. Stay informed about how these adjustments can affect your financial planning and benefit from the new consumer protection measures.

[aakashmalhotra]

Tax Budget Highlights 2024

Income tax budget 2024 highlights: The nation’s finance ministry Nirmala Sitharaman asserts that there won't be any major amends to India's direct tax system for FY 2024–2025, or starting on April1,2024, despite the fact that the Finance Act 2024 modifies several income-tax regulations, such as how agricultural revenue is treated.

Nirmala Sitharaman, the finance minister of India has made it clear that, as of April 1, 2024 (FY 25), there would be no more modifications made to the income tax system, either old or new. Therefore, due to this reason, both the previous and the new regimes are still subject to the income tax slabs specified in the Union Budget for 2023–2024.

Some key points of budget

It is significant to remember that adjustments made to the previous year's budget will take effect for the current fiscal year. However, some new budget highlights are as follows:

Nirmala Sitharaman, the finance minister, highlighted five "Disha Nirdashak" baatein: Implementing social justice as a viable government model involves prioritizing the underprivileged, women, youth, and farmers; focusing on infrastructure; employing the latest technology to enhance production; and establishing a high-power committee to address issues with demographic shifts.

India has achieved three years of continuous 7% GDP growth, making it the G20's most rapidly expanding economy.

GDP stands for Performance, Government, and Development. We have improved economic management and delivered on development. Despite extremely difficult circumstances, we are reducing the fiscal deficit.

The government's capital expenditure program will not end, FM said, and it will be continued.

The India, Middle East, European Corridor (IMEC) project will go ahead in spite of the Red Sea setbacks.

According to Revenue Secretary Sanjay Malhotra, the exchequer would pay less than ₹3,500 crore for the removal of 1.1 crore pending minor direct tax requests for certain years.

FM reaffirmed that there will be no extension of the reduced tax rate to new industrial units starting beyond March 2024.

According to Tuhin Kanta Pandey, secretary of DIPAM, there is no set goal for disinvestment in FY25.

We are not only aligning with the previously given fiscal consolidation path, but we are also overextending it, according to a message from Finance Minister Nirmala Sitharaman to credit rating agencies.

According to Finance Secretary TV Somanathan, the goal of bringing the Center's debt-to-GDP ratio down to 40% was established prior to the COVID-19 period and needs to be reexamined.

Highlights from Interim budget 2024

The 2024 budget key highlights are as follows:

Direct Tax Proposal

The FM declared that for direct taxes, the same tax rates would be maintained in FY 2024–2025. Taxpayers earning up to Rs. 7 lakh will not be required to pay any taxes under the new tax system.

Existing domestic enterprises will pay corporation taxes at a rate of 22%, while some newly established manufacturing companies would pay taxes at a rate of 15%.

The FM declared that throughout the past ten years, direct tax collections have more than tripled, while the number of return filers has increased by 2.4 times.

The FM has suggested extending the deadline for several tax breaks for start-ups and investments made by pension and sovereign wealth funds. Additionally, the proposal calls for an exemption from paying taxes on a certain type of investment for units of the IFSC that will expire on March 31, 2024. This has been extended to March 31, 2025.

Goods and Services

The FM declared that in FY24, the total collection of GST on average has increased to Rs. 1.66 lakh crore each month.

The Finance Minister has announced that the tariffs on imports and customs rates will remain the same for the fiscal year 2024-2025.

Empowering the Youth

Training has been provided to 1.4 crore youth through the Skill India Mission.

Encouraging young people's dreams of becoming entrepreneurs: 43 crore loans were approved under the PM Mudra Yojana.

An amount of Rs. 1 lakh crore has been set aside to provide tech-savvy young people with a 50-year, interest-free loan with minimal or no interest charges for financing or re-financing.

Infrastructure and Investment

The government aims to implement three primary railway corridors under PM Gati Shakti: port connection, high traffic density corridor, energy, minerals, and cement. This will reduce costs and improve logistics efficiency.

Trade agreements between the two parties will be used to encourage foreign investment.

The UDAN program is dedicated to the expansion of existing airports as well as the construction of new airports to improve air connectivity. This initiative is expected to boost the tourism industry and promote economic growth in various regions of the country.

Agriculture and Food Processing

The government is intended to foster both public and private investment in post-harvest operations.

All agroclimatic zones will see an expansion in the use of Nano-DAP.

It is necessary to have a comprehensive strategy for the development of dairy products.

The Pradhan Mantri Matsya Sampada Yojana will be executed with greater zeal in an effort to double exports, expand employment opportunities, and enhance aquaculture productivity.

Budget 2024 summary

The budget 2024 summary presents a comprehensive analysis of the nation's economic well-being and the government's strategic priorities. Though it may not contain any groundbreaking proposals, it offers valuable information and a glimpse into the country's financial stance and future direction.

Budgeting is a vital tool for individuals and corporations alike, as it helps identify and allocate resources in a planned and efficient manner. Creating a budget can establish clear financial goals and objectives and develop a comprehensive plan.

It also helps minimize unnecessary expenses and maximize the use of available resources. Understanding the purpose and benefits of budgeting can go a long way in ensuring financial stability and success.

[jellogram]

I think I have decided to cut my housing in Europe a little bit short. I was going to stay longer especially to take advantage of the cheaper housing it isn't really worth it if I have to take a ₤90 train just to get to the airport. I think I've maxed out the amount I can save with the bookings I already have and I'm getting burnt out from the planning.

It looks like I might end up in northern Nevada this year. I'm really excited for the traveling I have planned for the spring/summer but tbh looking at lakes and forests and hiking and empty roads is so incredibly appealing. I was gonna switch to a road trip lifestyle at the beginning of next year but I think I'm gonna start this fall instead. I'm hoping that booking in remote areas will cancel out how much more expensive the US is.

[speednews88]

Stay updated on India's new tax regime for FY2024-25 with Finance Ministry's latest information. Learn all you need to know about the changes and implications.

[thetaxguyin]

Fortis Healthcare Faces Income Tax Assessment Order: What Investors Need to Know

Fortis Healthcare Ltd, a prominent player in the healthcare sector, recently disclosed that its subsidiary, Fortis Hospitals Ltd, has received an income tax assessment order amounting to ₹89.53 crore, inclusive of interest charges amounting to ₹9.54 crore. In a regulatory filing with the stock exchange, Fortis Healthcare stated, “This is to inform you that Fortis Hospitals Limited, a material…

[strategiadvizo]

Unlocking Career Opportunities with "Mastering Indian Tax Planning and Return Filing"

In the evolving landscape of the Indian economy, taxation stands as a pivotal element driving the financial framework of both businesses and individuals. With the government’s dynamic regulatory changes, especially with the introduction of GST, the demand for knowledgeable tax professionals has surged. This presents a significant career opportunity for students and aspiring professionals eager to…

[taxblgs]

Income Tax Audit under Section 44AB: Criteria, Audit Report, and Penalty

Before diving into what a tax audit entails, let’s first clarify the term “audit.” An audit is defined as an official inspection of an organization’s accounts, typically performed by an independent entity. It involves a systematic review or assessment of various aspects of a business.

Latest Update: Extended deadline for tax audit

The Income Tax Department has recently extended the deadline for filing the audit report for the financial year 2023–24 by 7 days, moving it from September 30 to October 7, 2024. This extension is aimed at addressing the challenges taxpayers have faced with the electronic income tax portal.

What is a Tax Audit?

A tax audit is a specific examination of the accounts of a business or profession from an income tax perspective. It simplifies the process of income computation for filing tax returns. The income tax law mandates tax audits for certain taxpayers based on their financial activities.

OBJECTIVES OF A TAX AUDIT

The main objectives of conducting a tax audit include:

1. Accuracy Verification:Ensuring proper maintenance and correctness of books of accounts, certified by a Chartered Accountant (tax auditor). 2. Discrepancy Reporting: Noting any discrepancies observed during the audit of the books of accounts. 3. Regulatory Compliance: Reporting essential information such as tax depreciation and adherence to income tax laws.

These objectives help tax authorities verify the accuracy of income tax returns filed by taxpayers, making the assessment of total income and claims for deductions more straightforward.

Turnover Limit for Tax Audits

Taxpayers are required to undergo a tax audit if:

- Business Turnover: Sales, turnover, or gross receipts exceed Rs 1 crore in a financial year. - Professional Receipts: Gross receipts exceed Rs 50 lakhs

However, amendments made in the Finance Act 2021 raised the threshold for tax audits to Rs 10 crores if cash transactions do not exceed 5% of total transactions.

Categories of Taxpayers Mandated for Audit

Category Turnover Limit Business (non-presumptive

Exceeds Rs 1 crore

Business (presumptive) Claims lower profits than prescribed Profession Gross receipts exceed Rs 50 lakhs Business Loss Exceeds Rs 1 crore

Audit Report Requirements

A tax auditor must furnish the audit report in specific formats:

Form 3CA: For businesses or professions already mandated to be audited under another law. - Form 3CB: For those not required to be audited under other laws. - Form 3CD: Contains particulars related to the audit report.

Important Dates

- The last date for completing the income tax audit is October 7, 2024 for FY 2023–24. - For taxpayers involved in transfer pricing audits, the deadline extends to October 31, 2024.

Filing the Tax Audit Report

Tax audit reports must be submitted online by the auditor using their login credentials. After submission, the taxpayer can either accept or reject the report in their portal. If rejected, the process must be repeated until acceptance.

Consequences of Non-Compliance

Failing to conduct a mandatory tax audit can result in penalties, including:

- 0.5% of total sales, turnover, or gross receipts. - A flat fee of Rs 1.5 lakh

Penalties may be waived if the taxpayer can demonstrate a reasonable cause for non-compliance, such as natural disasters or significant employee turnover.

Conclusion

Understanding the intricacies of tax audits is essential for taxpayers. By ensuring compliance, you not only avoid penalties but also simplify your tax filing process. If you have questions or need assistance with your tax audit, consider consulting with a tax professional..

Related articles: Income tax audit u/s 44ab , http://Books of account 44aa , How to file Belated return if you missed ITR deadline?

Frequently Asked Questions About Income Tax Filing and Audits

Q. What is an income tax audit under Section 44AB?

Ans.A tax audit under Section 44AB is conducted by a Chartered Accountant to verify an entity’s books of accounts when gross receipts exceed specified limits

Q. What documents are typically audited?

Ans.Commonly audited documents include cash books, ledgers, bank statements, and sales/purchase invoices.

Q. What if I miss the tax audit deadline?

Ans.Failure to comply may attract penalties as described above, making it crucial to adhere to deadlines.

[puppygirlclick]

Help Two Disabled Trans Women Get Back On Their Feet

My federal income tax withheld wasn't properly updated by my employer on account of their bookkeeping which means I owe $1000 to the IRS by the end of July. I also had to go through intensive surgery at the end of February to fix a hernia which had caught my left testicle up in it, with a good portion of the left side of my abdomen being covered with a hernia mesh. Despite having been supposed to be healed up after 8 weeks, I have surpassed my employers 180 day limit for a leave of absence of which I wasn't informed of. Being terminated from my job leaves me with no health insurance and no way to continue paying for my doctor's appointments and treatments, all this as I am still paying $270 a month for my car and am possibly at risk of losing because I don't have a reliable way to pay for anything. On top of this, my girlfriend (@stcecilia) has recently moved in after being kicked out by a transphobic landlord and is dealing with worsening undiagnosed pain and sickness which has left her unable to work. Unfortunately she was relying on me getting better which isn't happening right now, and she's having to take care of me instead because of the condition I was left in with severe nerve pain the past few months leaving me stuck in a chair. We are both living with my parents and I can't even begin to put into words how much this is affecting both my girlfriend and I's mental health and physical well being along with everything else, with the way the house is always dirty, my step-mother constantly starting arguments with anyone who comes near her and constantly vitriolic and everyone else arguing and fighting with each other because of this.

It's hard to set a precise goal without it being subject to change for what we need as of right now but at least $1800 would help to pay my federal taxes and keep my car for the next two months and keep us on our feet for the time being.

Any amount helps towards paying off what we owe and moving closer to getting out of this house and into a better living situation and making sure we're properly cared for.

$0/1800

C*sh*pp $StSeeSee (@stcecilia's account) P*yp*l @debtanddeerteeth (Friend's account i can't get into mine without phone# and cici has no bank account rn) Ask for V*nmo (Not listing here because of my deadname) DO NOT TAG

[fiercynn]

on ao3's current fundraiser

apparently it’s time for ao3’s biannual donation drive, which means it’s time for me to remind you all, that regardless of how much you love ao3, you shouldn’t donate to them because they HAVE TOO MUCH MONEY AND NO IDEA WHAT TO DO WITH IT.

we’ve known for years that ao3 – or, more specifically, the organization for transformative works (@transformativeworks on tumblr), or otw, who runs ao3 and other fandom projects – has a lot of money in their “reserves” that they had no plans for. but in 2023, @manogirl and i did some research on this, and now, after looking at their more recent financial statements, i’ve determined that at the beginning of 2024, they had almost $2.8 MILLION US DOLLARS IN SURPLUS.

our full post last year goes over the principles of how we determined this, even though the numbers are for 2023, but the key points still stand (with the updated numbers):

when we say “surplus”, we are not including money that they estimate they need to spend in 2024 for their regular expenses. just the extra that they have no plan for

yes, nonprofits do need to keep some money in reserves for emergencies; typically, nonprofits registered in the u.s. tend to keep enough to cover between six months and two years of their regular operating expenses (meaning, the rough amount they need each month to keep their services going). $2.8 million USD is enough to keep otw running for almost FIVE YEARS WITHOUT NEW DONATIONS

they always overshoot their fundraisers: as i’m posting this, they’ve already raised $104,751.62 USD from their current donation drive, which is over double what they’ve asked for! on day two of the fundraiser!!

no, we are not trying to claim they are embezzling this money or that it is a scam. we believe they are just super incompetent with their money. case in point: that surplus that they have? only earned them $146 USD in interest in 2022, because only about $10,000 USD of their money invested in an interest-bearing account. that’s the interest they earn off of MILLIONS. at the very least they should be using this extra money to generate new revenue – which would also help with their long-term financial security – but they can’t even do that

no, they do not need this money to use if they are sued. you can read more about this in the full post, but essentially, they get most of their legal services donated, and they have not, themselves, said this money is for that purpose

i'm not going to go through my process for determining the updated 2024 numbers because i want to get this post out quickly, and otw actually had not updated the sources i needed to get these numbers until the last couple days (seriously, i've been checking), but you can easily recreate the process that @manogirl and i outlined last year with these documents:

otw’s 2022 audited financial statement, to determine how much money they had at the end of 2022

otw’s 2024 budget spreadsheet, to determine their net income in 2023 and how much they transferred to and from reserves at the beginning of 2024

otw’s 2022 form 990 (also available on propublica), which is a tax document, and shows how much interest they earned in 2022 (search “interest” and you’ll find it in several places)  

also, otw has not been accountable to answering questions about their surplus. typically, they hold a public meeting with their finance committee every year in september or october so people can ask questions directly to their treasurer and other committee members; as you can imagine, after doing this deep dive last summer, i was looking forward to getting some answers at that meeting!

but they cancelled that meeting in 2023, and instead asked people to write to the finance committee through their contact us form online. fun fact: i wrote a one-line message to the finance committee on may 11, 2023 through that form, when @manogirl and i were doing this research, asking them for clarification on how much they have in their reserves. i have still not received a response.

so yeah. please spend your money on people who actually need it, like on mutual aid requests! anyone who wants to share their mutual aid requests, please do so in the replies and i’ll share them out – i didn’t want to link directly to individual requests without permission in case this leads to anyone getting harassed, but i would love to share your requests. to start with, here's operation olive branch and their ongoing spreadsheet sharing palestinian folks who need money to escape genocide.

oh, and if you want to write to otw and tell them why you are not donating, i'm not sure it’ll get any results, but it can’t hurt lol. here's their contact us form – just don’t expect a response! ¯\_(ツ)_/¯

[heritageposts]

A state-owned bank in Germany has frozen the account of a Jewish anti-Zionist organisation and demanded the group disclose a list of all its members. Judische Stimme für gerechten Frieden in Nahost, or Jewish Voice for Just Peace in the Middle East, announced on Tuesday that its account with Berliner Sparkasse was frozen on 26 March with immediate effect. "In 2024, Jewish money is once again being confiscated by a German bank: Berliner Sparkasse freezes Jewish Voice account," Jewish Voice said in a statement on its social media platforms. The group received a letter from the bank informing it that a full list of all members, including adresses, tax documentation, income statements and other internal documents, needed to be submitted to Berliner Sparkasse by 5 April to "update customer data".

. . . continues on MEE (28 Mar 2024)