Advance tax, PAN-Aadhaar linking: Important dates to lookout for in March

There are numerous monetary deadlines that one must know earlier than it ends on March 31, which ranges from PAN-Aadhaar linking, to cost of advance tax. The lacking of those deadlines can result in cost of penalties and different penalties.

Here’s a listing of issues that one must look out for:

PAN-Aadhaar linking

The Income Tax Department has made it necessary for PAN holders to hyperlink it with Aadhaar by the tip of March this yr or will probably be rendered ‘inoperative.’

Individuals can be restricted from submitting the income-tax return or accessing PAN-related companies failing to hyperlink Aadhaar and PAN card by 31 March, 2023.

“After 31st March 2023, the PAN of taxpayers who fail to intimate their Aadhaar, as required, shall become inoperative and all the consequences under the Act for not furnishing, intimating or quoting the PAN shall apply to such taxpayers,” the Central Board of Direct Taxes (CBDT) mentioned in a notification on March 30, 2022.

A late price of ₹1,000 can be relevant to hyperlink PAN and Aadhaar.

Advance tax cost

The final date to pay last installment of advance tax cost for Financial yr 2022 – 2023 is fifteenth March, 2023, based on the Income Tax division. On this date 100 per cent of advance tax legal responsibility must be paid by taxpayers.

As per part 208 of the Income Tax Act, each particular person whose estimated tax legal responsibility for the yr is Rs. 10,000 or extra, shall pay his tax prematurely, within the type of “advance tax”. 

However, a resident senior citizen (i.e., a person of the age of 60 years or above in the course of the related monetary yr) not having any revenue from enterprise or occupation shouldn’t be liable to pay advance tax.

Advance tax is tax payable by people who’ve sources of revenue apart from their wage. This is relevant to lease, capital positive factors from shares, mounted deposits, lottery winnings, and so on.

File up to date ITR for FY19-20

The deadline to file up to date revenue tax return (ITR) for FY 2019-20 is March 31, 2023. 

Taxpayers who missed submitting it for FY19-20 or have missed reporting any revenue can file an up to date ITR or ITR-U. The Finance Act of 2022 launched the idea of up to date returns to permit an extended length for an assessee to file the return of revenue.

Updated return could be filed inside 24 months from the tip of the related evaluation yr, topic to sure situations.

Investing in Pradhan Mantri Vaya Vandana Yojana

Pradhan Mantri Vaya Vandana Yojana (PMVVY), launched in 2019, offers an everyday revenue to senior residents. The final date to spend money on it’s 31 march, 2023.

Anyone above the age of 60 years can take part within the scheme, and there’s no most entry age, with a tenure of 10 years from the date of difficulty.

Presently, the scheme gives an rate of interest of seven.4 per cent every year. The rate of interest stays the identical for the whole tenure of 10 years. Senior citizen can make investments a most quantity of ₹15 lakh in PMVVY.

Tax saving funding

The deadline for tax-saving investments for FY2022-23 will finish on March 31, 2023. This is vital for ones who go for the previous tax regime for the monetary yr 2022-23. Taxpayers can declare numerous deductions for his or her investments below the previous tax regime.

If you fall into taxable revenue class and haven’t but achieved any tax saving for the quickly to be FY 2022-23. One of fashionable deductions is part 80 which permits a taxpayer to say a deduction of as much as ₹1.5 lakh from numerous investments together with premiums paid for all times insurance coverage insurance policies, PPF, and ELSS amongst others. The different one is 80D, which is premiums paid for medical health insurance insurance policies. An extra deduction of ₹50,000 for investing within the National Pension System (NPS).

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