As the New Financial Year (2023-24) will begin on April 1. For the last financial year( FY 2022-23), there are several duties that taxpayers should complete. Most taxpayers would have already finished all the tax-related tasks by now, those who have not done so must have to act now. Due to the upcoming end of several deadlines, it is important to complete all your financial tasks before March 31 to avoid paying Tax penalties and inconvenience.
Aadhaar Card and Pan Card are two important documents with which one can avail benefits of government schemes and also perform financial transactions. “As per Income-tax Act, 1961, it is mandatory for all PAN holders, who do not come under the exempt category, to link their PAN with Aadhaar before 31.03.2023.” Linking their Permanent Account Numbers (PAN) with the Aadhar UID needs to be linked to avoiding the late fee levy.
Filing updated Income-Tax Return (ITR)
The deadline for filing the revised income tax return for FY 2019-2020, or AY 2020-21 is March 31. An updated return can be filed by any person irrespective of the fact whether such person has already filed the original, belated or revised return for the relevant assessment year or not. An updated return can be filed at any time within 24 months from the end of the relevant assessment year.
Advance tax payment
Advance tax is paid by taxpayers who have sources of income other than their salary. As per section 208 of the Income Tax Act, 1961 every person whose estimated tax liability for the year is Rs. 10,000 or more, shall pay his tax in advance, in the form of “advance tax”. This Advance payment is applicable to rent, capital gains from shares, fixed deposits and lottery winnings. The last date to submit the final instalment of the advance tax payment for the fiscal year 2022–2023 is March 15, 2023.
Update KYC details
The RBI has extended the deadline for updating Know Your Customer (KYC) details in bank accounts. The last date to update is March 31. To update the KYC, you need to visit the nearest bank branch. E – KYC or online KYC is an effective way to submit your identity and address proofs online. It is a standardized way to check the authenticity of customers on a portal by the Indian government. To verify their identity and address, customers of the financial service are required to submit KYC documentation before investing in a variety of financial instruments like fixed deposits, mutual funds, and more.
It is a good opportunity for the taxpayers who opted for the old tax regime to choose their tax-saving investments before March 31, 2023, for the fiscal year 2022–23. In the old tax regime, taxpayers can claim multiple deductions under the Income Tax Act, of 1961. The rebate limit which is higher now is applicable only to the new income tax regime.
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