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Deadly Deadlines

CA Yash V. Rajpurohit has compiled a list of all important due dates in March 2018, and the statutory obligations which require to be complied with within the said deadline. The checklist will help taxpayers and professionals ensure that they do not miss out on any obligation which may attract penal consequences


“Kaal Kare So Aaj Kar,
Aaj Kare So Ub,
Pal Mein Pralaya Hoyegi,
Bahuri Karoge Kub”

Sant Kabir

Sant Kabir in the 15th Century has clearly portrayed the importance of time management; while inscribing the above doha. The above verse clearly explains the human tendency of laziness and procrastination even at that point of time. Sant has also explained that if we keep on postponing our work, it may cause stress related problems to us. Sant has advised that we should complete our work well within the given timeframe. Completing our work before the target date will not only help us to reduce the stress but it will also help in improving the quality of work.

Even the phrase ‘Time is money’ which was first quoted by Benjamin Franklin highlights the value of time. The time management is important for everyone, whether it is to meetsales targets, delivery of products, completion of contract, filing return of income, compliance with other regulatory requirements, etc. Regardless of your age, gender, working status, or otherwise, time is one of the most important resources you have.

Thus, in order to manage the upcoming month, I had compiled the important due dates for the month of March 2018, and the list of events or work which needs to be completed within the said deadline as below:




Particulars Action Consequences of missing Deadline
A Income-tax related compliances
FY 2015-16 (AY 2016-17) File revised or belated  income-tax return on or before 31st March, 2018 Assessing officer may direct to pay penalty of Rs. 5,000 along with income-tax and interest
FY 2016-17 (AY 2017-18)
FY 2017-18 (AY 2018-19) Plan and investin tax saving instruments on or before 31st March 2018 A person may end up paying more tax due to poor tax planning
B Aadhaar related Compliances*
Aadhaar number needs to be linked to various services on or before 31st March 2018, to continue to enjoy the benefits of said services. Some of the important services are listed below:
– Bank Account Visit Bank or update by net-banking to link Aadhaar Bank accounts may be blocked.
– Mobile number Visit or call mobile service provider to update Aadhaar Mobile service provider may stop providing services
– Permanent Account Number (PAN) Visit Income-tax website to update Aadhaar It may create problem in filing income-tax returns, etc.
– Social / welfare schemes (such as LPG subsidy, educational scholarship, fertilizer subsidy, etc.) Visit social security service centre and link Aadhaar to continue enjoying benefits An individual may not be entitle to receive subsidy, until he linked Aadhaar no.
– Financial products (such as Mutual Funds, Demat, Post office schemes, Insurance Policy, etc.) Visit respect agency centre to link Aadhaar with financial products An Individual may face disruption in services
*Note: the due date for Aadhaar linking compliance is subject to writ petition filed in the Hon’ble Supreme Court
C Country-by-Country Report and Master File
  Master File
  Every constituent entity
covered under section
92D
Furnish Part A of Form no. 3CEAA Penalty for failure to keep and maintain Master File
(INR 500,000)
  Constituent entity
covered under section
92D and threshold under
Rule 10DA(1) is satisfied
Furnish Part A and Part B of Form no. 3CEAA
  Country-by-Country
Report
Every parent entity or an alternate reporting entity, resident in India
(applicable to an international group having total consolidated group revenue of more than INR 5,500crores)
Furnish Form No.3CEAD Penalty for failure to furnish CbC report u/s 286(2):

  • INR 5,000 per day upto one month; or
  • INR 15,000 per day beyond one month

(If failure continues after penalty order, than  INR 50,000 per day)

D Other important due dates
  Due date for deposit of TDS / TCS for February, 2018 Payment of TDS / TCS amount to GOI on or before 7 March 2018 Penal interest on delayed payment of TDS / TCS amount
  Fourth installment of advance tax for the assessment year 2018-19 (including taxpayers covered u/s. 44AD and 44ADA) Pay Advance tax on or before 15 March 2018 Penal interest on delayed payment of Advance tax amount
  January 2018 monthly GST Return for persons with aggregate turnover over INR 1.5crores Furnish GSTR-1 on or before 10 March 2018 Payment of any Interest and Penalty.
  Summary GST Return for February 2018 Furnish GSTR-3B on or before 20 March 2018 Payment of any Interest and Penalty.
  GSTR 6 (for Input Service Distributor) for July 2017 – February 2018 Furnish GSTR-6 on or before 31 March 2018 Payment of any Interest and Penalty.

As discussed above, the last date for income-tax return FY 2015-16 and FY 2016-17 is 31st March 2018. Thus, for easy of reference, the various income-tax slab and tax rate are compiled in a comparative form for FY 2015-16, FY 2016-17 and FY 2017-18 as below:

  Total Taxable Income FY 2015-16
(AY 2016-17)
FY 2016-17
(AY 2017-18)
FY 2017-18
(AY 2018-19)
 
A Applicable to all Individuals / HUF / AOP / BOI / AJP(other than B and C below)
  Up to Rs. 2,50,000 Nil Nil Nil
  Rs. 2,50,000 – Rs. 5,00,000 10% 10% 5%
  Rs. 5,00,000 – Rs. 10,00,000 20% 20% 20%
  Above Rs. 10,00,000 30% 30% 30%
B Resident Individual’s age 60 years or more but less than 80 years(Senior Citizen)
  Up to Rs. 3,00,000 Nil Nil Nil
  Rs. 3,00,000 – Rs. 5,00,000 10% 10% 5%
  Rs. 5,00,000 – Rs. 10,00,000 20% 20% 20%
  Above Rs. 10,00,000 30% 30% 30%
C Resident Individual’s age 80 years or more(Super Senior Citizen)
  Up to Rs. 5,00,000 Nil Nil Nil
  Rs. 5,00,000 – Rs. 10,00,000 20% 20% 20%
  Above Rs. 10,00,000 30% 30% 30%
  Note: Surcharge and Tax rebateapplicable toabove point A, B and C
  Add: Surcharge on tax, if;
  Taxable income > 50lakhs Nil Nil 10%
  Taxable income > 1crore 12% 15% 15%
  Less: Tax rebate* amount lower of: 100% of income-tax payable or specified tax amount
Specified tax amount Rs. 2,000 Rs. 5,000 Rs. 2,500
  *Rebate u/s. 87A is available to resident individual, only if taxable income is less than or equal to: 500,000 500,000 350,000
 
D Tax Rate for Partnership Firm / LLP / Local Authority 30% 30% 30%
  Add: Surcharge on tax, if taxable income > 1crore 12%
(In case of local authority, it is 10%)
12% 12%
 
E Tax Rate for Domestic Company
  Turnover / Gross Receipt <= 5crores 30% 29% 25%
  Turnover / Gross Receipt between 5crores and 50crores 30% 30% 25%
  Turnover / Gross Receipt > 50crores 30% 30% 30%
  Add: Surcharge on tax, if
  Taxable income > 1crore 7% 7% 7%
  Taxable income > 10crores 12% 12% 12%
 
F Tax Rate for Foreign Company 40% 40% 40%
  Add: Surcharge on tax, if
  Taxable income > 1crore 2% 2% 2%
  Taxable income > 10crores 5% 5% 5%
 
G Tax Rate for Co-operative Society
  Up to Rs. 10,000 10% 10% 10%
  Rs. 10,000 – Rs. 20,000 20% 20% 20%
  Above Rs. 20,000 30% 30% 30%
  Add: Surcharge on tax, if taxable income > 1crore 12% 12% 12%
 
Add: Education cess on tax and surcharge(applicable for all above points from A to G) 3% 3% 3%

Conclusion:

The conclusion would not be possible without giving reference to a quote: ‘A stitch in time saves nine’ which means that timely action in any matter saves a person from a lot of troubles, loss, and waste of time. Thus, a person may suffer if he is lazy and leaves his work for tomorrow, as it can be seen from above the consequences of missing deadlines; the same are very stringent consequences.

A person’s reputation is generally based on two things: the quality of work, and how well that person complete work within the given deadlines. So, plan your schedule well in advance and block the adequate time to meet the deadline work within the timeline. Planning the work and keeping the timeline updated, will also help in tracking the progress of the work and it will ensure that you never miss the deadline.

Always keep buffer time for sudden events or contingency, as certain events and external circumstances are not in our control and sometime it may consume of a lot of time, and may have dire consequences, which can affect our work. Thus, plan your schedule well in advance, avoid last minute rush and any penal consequences of missing deadline.

We have all heard the proverb ‘Time and tide waits for none’, as tide does not wait for anyone, in the same manner time also does not wait for anyone Even Sant Kabir in the verse ‘Aaj Kare So Ub’ has also explained the importance to time. Thus, it is critical for everyone to act wisely and act now.

“Yesterday is gone
Tomorrow has not yet come
We have only today
Let us begin”

Mother Teresa

The author Yash V. Rajpurohit can be reached at 8898668707 or yash@vispitpatel.com
Disclaimer: Take advice from expert before taking action.

Disclaimer: The contents of this document are solely for informational purpose. It does not constitute professional advice or a formal recommendation. While due care has been taken in preparing this document, the existence of mistakes and omissions herein is not ruled out. Neither the author nor itatonline.org and its affiliates accepts any liabilities for any loss or damage of any kind arising out of any inaccurate or incomplete information in this document nor for any actions taken in reliance thereon. No part of this document should be distributed or copied (except for personal, non-commercial use) without express written permission of itatonline.org

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