If you missed filing updated ITR by March 31, can you go to jail?

ITR-U: The deadline to file updated income tax return (ITR-U) for FY 2020-21 (AY 2021-22) was March 31, 2024. However there is no need to worry since an individual cannot be jailed just for not filing ITR-U. But the income tax department can seek imprisonment for those individuals who have escaped paying income tax i.e. tax evaders.

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Tax-saving tips: HRA tax-free after rent to parent; how to reduce tax outgo by Rs 83,264

Gupta can reduce his tax by more than Rs.83,000 if he claims HRA exemption by paying rent to his father, if his company offers him the NPS benefit, and he invests more in the scheme on his own. Sudhir Kaushik of TaxSpanner.com tells readers how they can optimise their tax by rejigging their incomes and investments.

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Last-minute tax-saving investment: Will investing in PPF and SSY on March 30 and March 31 qualify for tax benefits in FY 2023-24?

Tax savings options available on March 30 and 31st: Individuals who want to make any tax savings investments in various government schemes like public provident fund (PPF), Sukanya Samriddhi Yojana (SSY) and others can do so online and offline as banks are open on March 30 and 31st. Read here to know more.

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New ITR-V, ITR acknowledgement forms notified: Read updated instructions carefully or else penal consequences can apply

New ITR-V, acknowledgement form for income tax return: The income tax department has notified a new ITR-V and acknowledgement forms for FY 2023-24 (AY 2024-25). The notified new forms will be effective from April 1, 2024. Here is all taxpayers should know about the new ITR-V and acknowledgement forms.

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8 reasons why old tax regime is still attractive for many taxpayers in this income tax bracket

Though, under the new tax regime you may end up paying no tax on income up to Rs 7.5 lakh and and pay tax at a lower rate on when your income goes higher however old tax regime offers higher tax saving opportunities with various deductions and exemptions. However these deduction can not be claimed by all taxpayers and apply on only select individuals. Hence, it makes sense for you to check which tax regime will help you save higher tax.

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LTA exemption: Submit tax-saving proofs to employer by March 31 deadline as claiming LTA in ITR is a hassle

LTA, usually a component of your salary, covers the expenses of your travel during vacation. The cost incurred for family members who travel with an employees is also allowed as exemption. To claim LTA, the employee typically needs to submit documentary evidence of the incurred travel expenditure to the employers within specific deadlines.

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The unintentional tax-saving investment that most salaried employees do

EPF as tax-saving investments: If you are salaried employee and is/planning to opt for old tax regime for current FY 2023-24, then Employees' Provident Fund (EPF) contribution is one tax-saving investments that happens automatically. Many individuals forget to account the tax-benefit available under Section 80C on EPF investments while evaluating the total tax saving investments.

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How HRA, NPS can help you save tax of Rs 1.9 lakh

Sudhir Kaushik of TaxSpanner.com tells readers how they can optimise their tax by rejigging their incomes and investments.

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Save tax on donations made: Tax benefits under Section 80G of Income Tax Act

Section 80G allows taxpayers to claim deduction for donations to eligible fund, institution or trust, to encourage philanthropy.

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Tax-saving investment: 7.1% interest in PPF or 8.25% returns in VPF; which is a better option to save tax this year?

Tax-saving investment ideas FY23-24: PPF has been a go-to option for traditional investors to save tax while planning for retirement. Is there any other option that offers higher returns, lowers your income tax outgo, and saves money for long-term goals? Yes, Voluntary Provident Fund (VPF). How does it VPF fare when compared to PPF Public Provident Fund (PPF) or Voluntary Provident Fund (VPF) — which is a better option for you to save tax in the financial year 2023-24.

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Finish your tax saving investments well before March 31 this year: Here's why

Last date to finish tax-saving investments: If you are planning to wait till last minute to finish your tax-saving investments and expenditures then you might the chance to do so. This is because March 31 this year is on Sunday and banks and stock market is closed on Friday (March 29) on account of Good Friday.

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Income Tax dept asks many individuals to explain high value transactions of FY20-21 as Updated ITR deadline nears

The deadline to file updated income tax return (ITR-U) is March 31, 2024 for FY 2020-21 . In light of this deadline, the tax department is sending intimation to taxpayers urging them to check the AIS/Compliance portal regarding identified specified/high value transactions. If an individual is not being able to explain these transactions or give a satisfactory response, income tax notice will be sent.

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LTCG tax saving from sale of property: Builder’s error in allotting flat will not impact tax benefit claim, says ITAT

The tax tribunal ruled that this assertion cannot be refuted due to an error made by the builder in assigning the apartment. The builder mistakenly allocated the apartment purchased by the claimant to another buyer.

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March 31 is the last date to file ITR-U for AY 2021-22; If you miss, be ready to pay up to 200% of the income tax evaded

Income tax updated return: March 31, 2024 is the last date to file an updated income tax return (ITR-U) for AY 2021-22 (FY 2020-21). Do note that ITR-U may be used to fix errors like under-reporting or misreporting of income, or any other errors in the previously filed ITR. Once the deadline to file ITR-U is over and you are caught evading taxes penalty up to 200% of the tax evaded can be levied.

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New income tax rules: Tax dept expands scope for filing of appeals by officials; how this can impact taxpayers

Tax experts advocate for a cautious "wait-and-watch" approach, emphasizing that the extensive list of exceptions introduced could potentially result in heightened litigation for individuals, Indian corporations, and overseas entities.

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Now a VIP or PMO can help you to expedite pending tax appeals; Know how to file request for expedition

CBDT has revised the situations when a individual or income tax assessing officer (AO) can file a request for expedition of tax appeal cases. "Cases where a VIP/PMO reference is received for expeditious disposal," said the Central Board of Direct Taxes (CBDT) in a order dated March 7, 2024. This order is not in public domain.

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Long weekend cancelled for income tax department; it will work on March 29 to 31st to facilitate taxpayers

Income tax department: March 29, 2024 is Good Friday, a holiday and March 30 is a Saturday. Further March 31 is a sunday. In light of the financial year 2023-24 ending on March 31, 2024, the income tax department has cancelled the holiday and said that its office will be open on all three days.

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Offline ITR-1,4 forms: Income tax department releases JSON utilities for FY 2023-24 (AY 2024-25)

Offline ITR forms for AY 2024-25: The JSON utility ITR forms have been released by the income tax department. The offline forms are released for ITR-1 and ITR-4. The last date to file ITR for FY 2023-24 (AY 2024-25) is July 31, 2024. This deadline is applicable on taxpayers whose accounts are not required to be audited (usually those who file income tax return using ITR 1, 2 and 4).

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Income tax planning for FY 2023-24: Last date is March 31, don’t make these mistakes

The tax-saving investments of an individual should be part of his overall financial plan. Poor financial habits and biased advice push taxpayers to make sub-optimal investment decisions. Here are some mistakes they must avoid in the rush to beat the 31 March deadline.

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​Deadline for opting GST Composition Scheme for FY 2024-25 is March 31, 2024; file CMP-02 form if eligible

Goods and Services Tax (GST): If you are GST registered and wish to apply for GST Composition scheme for FY 2024-25, then the last date to apply is March 31, 2024. All you need to do is login to the GST portal and go to 'Application to opt for Composition Levy' under Registration tab.

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Today March 15 is advance tax deadline: Has CBDT fixed inflated income data in AIS Compliance portal?

Advance tax due date: March 15, 2024 is the due date for payment of advance tax for FY 2023-24. However recently the tax department made in error by reporting highly inflated transaction data in taxpayer's annual information statement (AIS). As of March 15, 2024 4pm. Read here to know more about which data(s) were fixed by the Central Board of Direct Taxes (CBDT).

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How to save tax: 6 easy income tax saving tips

One of the easiest ways to save tax is to avail tax deductions under section 80C. Each fiscal year presents an opportunity to reduce your taxable income by up to Rs. 1.5 lakh through Section 80C deductions. These deductions are accessible to both individuals and HUFs.

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​What is the TDS rate for salary, dividend, interest, house rent, cash withdrawal and other transactions for FY 2024-25

Tax Deducted At Source (TDS): TDS is levied on many types of incomes like salary, house rent, virtual digital assets (VDA), etc. What is important to note here is that a correct amount of TDS should be deducted and TDS return (if applicable) is filed in time. Read here to know some TDS rates for FY 2024-25.

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Tax planning made simple: Here’s how health insurance can save your money

Maximize tax savings with health insurance under Section 80D. Choose a plan with comprehensive coverage, include senior citizen parents, pay premiums on time, and maintain records.

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Income Tax dept is calculating your advance tax liability by tracking these financial transactions: Here's how to check on compliance portal

The Income Tax Department said, "The Income Tax Department receives information of specified financial transactions of taxpayers from various sources. This information is reflected in the Annual Information Statement (AIS) module and is available to the persons/entities for viewing. The value of ‘Significant Transactions’ in the AIS has been used for carrying out this analysis." Read here to know what are these 'specified financial transactions'.

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Woman gets 6-month jail for not filing ITR; who has to mandatorily file income tax return, consequences of not filing

Who has to file ITR: The decision was made following a complaint from the Income Tax Office (ITO), alleging that Rs. 2 lakh was deducted as TDS (tax deducted at source) from a receipt of Rs. 2 crore received by the accused in the fiscal year 2013-14. Despite this, the accused failed to file an income tax return for the assessment year 2014-15.

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How NPS investment of Rs 50,000 can help you save more income tax

NPS deduction of Rs 50000: Under the old tax regime, an individual can claim additional deduction of Rs 50,000 for NPS investment made. This deduction is available over and above Rs 1.5 lakh available under Section 80C of the Income Tax Act. With full utilisation of Section 80C and additional NPS investment, an individual can claim total deduction of Rs 2 lakh in a financial year.

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ITR portal shows inflated income to some taxpayers; Rs 450 showed as Rs 45000. Here's what to do if you face similar issue

The Income-tax department said on X said that they have "identified certain inconsistencies in the data of the securities market (SFT-17) provided by one of the Reporting Entities." It appears that due to this the Income-tax department's 'Compliance Portal' showed highly inflated transaction values for some taxpayers in their annual information statement (AIS). Some taxpayers say that their sale consideration of Rs 4 lakh got inflated to Rs 17 crore. There are many taxpayers who complained on X about the 'Compliance Portal' showing inflated transaction values in their AIS.

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​Have you checked your advance tax liability? Pay by this date to avoid penalties

Advance tax: If your estimated tax liability for any given financial year after subtracting tax deducted at source (TDS) exceeds Rs 10,000 then advance tax needs to be paid following a specified schedule. However eligible senior citizens and other prescribed individuals need not pay advance tax. Read here to know more about advance tax.

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Tax planning after death of a person

A legal representative will have to file the income tax return on behalf of the deceased person for that year and then submit the PAN for cancellation.

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Tax-saving tips: How to use NPS benefit from employer to save Rs 80,000 in tax

Sudhir Kaushik of TaxSpanner.com tells readers how they can optimise their tax by rejigging their incomes and investments.

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No penal interest on TDS for crypto investors who failed to file the TDS return by May 31, 2023: CBDT

Virtual digital assets tax: Purchaser of virtual digital assets (VDA) like Bitcoin (BTC), Ethereum (ETH), Solana (Sol), Algorand (Algo), Shiba Inu (SHIB) etc should deduct TDS before making payment to any resident. Such TDS deducted must be reported using Form 26QE within a specified deadline. Failure to report it will attract penalties.

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Pending income tax refunds relating to AY 2021-22 would be processed by this date; check email for confirmation

Income tax refund: The Central Board of Direct Taxes (CBDT) has said that individuals who are still waiting to get their tax refund for FY 2020-21 (AY 2021-22) may get it by April 30, 2024. If you are eligible for receiving this tax refund a email from the tax department would come intimating the amount of refund. Check your inbox now.

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Top 10 ELSS tax-saving mutual funds have earned 32% return in 3 years; benefits of investing in these MFs

Investing in tax-saving ELSS mutual funds: Taxpayers can make last-minute investments under Section 80C of the Income Tax Act to avail tax benefits. ELSS, with a three-year lock-in period, offers potential for higher returns compared to other fixed-income products.

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​Worried about income mismatch in ITR? Here's how the compliance portal can help you fix it with certain income

Income tax mismatch: To help individuals identify the cause of income tax mismatch, the tax department has launched a new scheme called 'E-Verification Scheme 2021'. Under this scheme all information relating to mismatch of income tax data has been displayed. However if an individual cannot fix these mismatches or explain the reason, they may get an income tax notice.

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How to reduce income tax by Rs 35,000 with perks, health cover

Under Section 17(2), gadgets bought in the name of the company and given to the employee for personal use are taxed at only 10% of their value. Sudhir Kaushik of TaxSpanner.com tells readers how they can optimise their tax by rejigging their income and investments.

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How much income tax deduction is available on bank FD, RD and savings account interest

Save income tax: Here's how you can claim income tax deduction on interest from bank FD, RD and savings account and save income tax. However do note that a higher limit of Rs 50,000 is available only for senior citizens whereas other individuals can claim the tax deduction up to Rs 10,000 on interest from savings bank account.

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