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A Comprehensive Guide to file GSTR-9

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1. What is GSTR-9?

GSTR-9 is the annual return under the Goods and Services Tax (GST) system, which every registered taxpayer (except those under the composition scheme, casual taxpayers, or Input Service Distributors) must file. It consolidates details of outward and inward supplies, tax paid, and input tax credit (ITC) for the financial year.

2. Who Should File GSTR-9?

The following categories of taxpayers must file GSTR-9:

  • Regular taxpayers filing GSTR-1 and GSTR-3B.
  • SEZ units and developers.
  • Taxpayers who have transitioned from the VAT system to GST.

Exemptions:

  • Composition scheme taxpayers (file GSTR-9A).
  • Casual taxable persons.
  • Input Service Distributors (ISD).
  • Non-resident taxable persons.
  • Persons or entities obligated to deduct TDS under Section 51 of the CGST Act.
  • Entities responsible for collecting TCS under Section 52 of the CGST Act.

Note: Filing GSTR-9 (Annual Return) is optional for businesses with a turnover of up to ₹2 crore from FY 2017-18 to FY 2023-24.

3. Due Date for Filing GSTR-9

The due date for filing GSTR-9 is 31st December of the subsequent financial year unless extended by the government. For example, the FY 2023-24 deadline would be 31st December 2024.

 4. Late Fees and Penalties

  1. Turnover Up to ₹5 Crore
    • Late Fee per Day: ₹50 (₹25 each under CGST and SGST Acts).
    • Maximum Late Fee: 0.02% of turnover in the state/UT for CGST and 0.02% of the turnover for SGST.
  2. Turnover Between ₹5 Crore and ₹20 Crore
    • Late Fee per Day: ₹100 (₹50 each under CGST and SGST Acts).
    • Maximum Late Fee: 0.02% of turnover in the state/UT for CGST and 0.02% of the turnover for SGST.
  3. Turnover Above ₹20 Crore
    • Late Fee per Day: ₹200 (₹100 each under CGST and SGST Acts).
    • Maximum Late Fee:  0.25% of turnover in the state/UT for CGST and 0.25% of the turnover for SGST.
  • Moreover, ₹200 per day (₹100 each under CGST and SGST) is subject to a maximum of 0.25% of the turnover.
  • No late fees for IGST.
  • Interest is applicable on tax liabilities at 18% per annum.

5. Information Required to File GSTR-9

Before filing GSTR-9, gather the following details:

  • Turnover Details: Outward and inward supplies (taxable, exempt, and nil-rated).
  • Tax Paid: Summary of GST liability paid during the year.
  • Input Tax Credit (ITC): Claimed, availed, or reversed ITC details.
  • Adjustments: Corrections or omissions made during GSTR-1 or GSTR-3B filing.
  • HSN Summary: Details of goods and services categorized under the HSN code.

6. Steps to File GSTR-9

Step 1: Log into the GST Portal

  1. Visit www.gst.gov.in.
  2. Use your credentials to log in.

Step 2: Navigate to GSTR-9

  1. Go to the ‘Returns Dashboard’.
  2. Choose the ‘Financial Year’ for which you wish to file the return.
  3. Click on GSTR-9.

Step 3: Download Auto-Populated Details

  • The form will automatically populate data from the monthly or quarterly returns (GSTR-1 and GSTR-3B).
  • Verify all the sections carefully.

Step 4: Enter or Edit the Details in Sections

GSTR-9 comprises the following sections:

Part I Table 1-3:  Basic Information
 

Part II

 Table 4: All Details of outward supplies.

Table 5: Details of exempted, nil-rated, and non-GST outward supplies.
 

 

Part III

 Table 6: ITC availed during the year (from GSTR-3B).

Table 7: ITC reversed during the financial year.

Table 8: Other ITC details (as per GSTR-2A and actual ITC claimed).
Part IV Table 9: GST tax paid (CGST, SGST, IGST, and cess).
Part V Table 10-14: Supplies and tax adjustments for previous financial years.
Part VI Table 15-19: Refund claims, demands, and Other Info. And HSN summary.

 

Step 5: Review and Validate the Information

  • Double-check all figures, including tax payable, tax paid, and ITC.
  • Resolve discrepancies, if any.

Step 6: Preview and Submit

  1. Click on ‘Compute Liabilities’ to ensure the data is processed.
  2. Review the return using the Preview Draft GSTR-9 option.
  3. Once validated, click on ‘Proceed to File’.

Step 7: File the Return

  1. Select the declaration checkbox and Authorized Signatory.
  2. File the return using either DSC (Digital Signature Certificate) or EVC (Electronic Verification Code).

Step 8: Confirmation

  • After successful filing, a confirmation message and an ARN (Acknowledgement Reference Number) will be generated.

7. Key Points to Note While Filing GSTR-9

    • Filing is mandatory even if no business transactions occurred during the year.
    • Verify the details against GSTR-1, GSTR-3B, and the books of accounts.
    • Errors in GSTR-9 cannot be rectified after submission, so verify carefully.
    • Reconciliation between GSTR-2A (auto-populated ITC) and claimed ITC is crucial.

     Frequently Asked Questions (FAQs)

    1. Can I revise GSTR-9 after filing?
      No, GSTR-9 cannot be revised once filed.
    2. Do I need to attach documents while filing GSTR-9?
      No additional documents are required to be attached.
    3. Is it mandatory to reconcile GSTR-3B and GSTR-1?
      Yes, reconciliation ensures accuracy in reporting and prevents discrepancies.
    4. What happens if I miss filing GSTR-9?
      You will incur late fees and penalties as per GST rules.

    Conclusion
    Filing GSTR-9 requires accurate data and reconciliation of all reports submitted throughout the financial year. By following the steps and guidelines outlined above, taxpayers can ensure compliance and avoid penalties. Ensure you verify all details before submission and seek professional assistance if needed.

    Comprehensive Budget 2024 (With Latest Amendment)

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    The Union Budget for the financial year 2024-25, presented by Finance Minister Nirmala Sitharaman on July 23, 2024, outlines the government’s priorities and spending plans. This budget, significant as the first of the newly elected government, focuses on several key areas to drive India’s growth and development.

     

    The budget emphasises nine priority areas:

    • Productivity and resilience in Agriculture
    • Employment & Skilling
    • Inclusive Human Resource Development and Social Justice
    • Manufacturing & Services
    • Urban Development
    • Energy Security
    • Infrastructure
    • Innovation, Research & Development and
    • Next Generation Reforms

     

    Direct Tax Reforms

       Simplifying and Rationalizing of Capital Gains Taxation

    • The proposed changes aim to significantly simplify capital gains taxation.
    • Short-term gains on specified financial assets will now be taxed at 20% (earlier it was 15% under 111A), while all other financial and non-financial assets will continue to follow the current tax rates.
    • Finance Minister Nirmala Sitharaman revealed changes to the Long-Term Capital Gains tax on real estate, giving taxpayers the choice to either use the previous system or benefit from reduced rates without indexation. The new rate is 12.5%, a decrease from the previous 20%. Additionally, to benefit the lower and middle-income groups, the exemption limit for capital gains on certain financial assets will be increased to ₹1.25 lakh (Earlier it was 1 Lakh per year) per year.
    • Financial assets listed for more than a year will be considered long-term. Unlisted financial assets and all non-financial assets must be held for at least two years (earlier it was 3 years) to qualify as long-term.
    • Unlisted bonds, debentures, debt mutual funds, and market-linked debentures will be taxed on capital gains at applicable rates, regardless of the holding period.

     

    Individual Income Tax

    • Enhanced the limit of Standard Deduction: – Concerning Individual Income Tax Rates for those opting for the new tax regime, the standard deduction for salaried employees will be increased from ₹50,000 to ₹75,000. Additionally, the deduction on family pension for pensioners will be raised from ₹15,000 to ₹25,000.

     

    Revised Tax Restructure under the New Tax Regime

    Income Tax Slabs Tax Rate
    0-3 lakh rupees Nil
    3-7 lakh rupees 5 per cent
    7-10 lakh rupees 10 per cent
    10-12 lakh rupees 15 per cent
    12-15 lakh rupees 20 per cent
    Above 15 lakh rupees 30 per cent

     

     

    Changes in TDS Rates

    It is proposed to reduce TDS rates from 5 per cent to 2 per cent in certain sections and eliminate section 194F, which currently has a TDS rate of 20 per cent, as detailed below.

    Section Present TDS Rates Proposed TDS Rates With Effect From
     

    Section 194D – Payment of insurance Commission (in case of a person other

    than company)

     

    		  

     

    5%

    		  

     

    2%

    		  

     

    01.04.2025

     
     

    Section 194DA – Payment in respect of life insurance policy

     

    		  

     

    5%

    		  

     

    2%

    		  

     

    01.10.2024
     

    Section 194G – Commission and other fees on the sale of lottery tickets

     

    		  

     

    5%

     

    		  

     

    2%

    		  

     

    01.10.2024
     

    Section 194H – commission or brokerage payment

     

    		  

    5%

    		  

    2%

    		  

    01.10.2024
     

    Section 194-IB – Rent payment by and individual or HUF

     

    		  

     

    5%

    		  

     

    2%

    		  

     

    01.10.2024
    Section 194M -Payment to Resident Contractors and Resident Professionals  

    5%

    		  

    2%

    		  

    01.10.2024
     

    Section 194-O – Payment made to E-commerce participant

     

    		  

     

    1%

    		  

     

    0.1%

    		  

     

    01.10.2024
     

    Section 194F pertains to the repurchase of units by a Mutual Fund or Unit Trust of India

     

    		  

    Proposed to be omitted

    		  

    Proposed to be omitted

    		  

     

    01.10.2024

     

    TDS on Payment to Partners

    It is proposed that payments made by a firm to its partner, including salary, remuneration, commission, bonus, and interest, will be subject to TDS at a rate of 10% for aggregate amounts exceeding ₹20,000 in a financial year.

     

    Corporate Taxes on Foreign Companies

    In the 2024 Budget, Finance Minister Nirmala Sitharaman has proposed reducing the corporate tax rate on foreign companies from 40% to 35%.

     

    Enhanced Deduction for Employer Contributions to Pension Schemes

    Section 80CCD offers a deduction for the employer’s contribution to the pension scheme up to 10%. The Budget 2024 has raised this deduction limit to 14% of the employee’s salary (Basic+DA) from the previous year.

     

     

     

                                  Indirect Tax Reforms

    Reductions and Exemptions in Customs Duties for Essential Goods

    Description Earlier Current
    Mobile phones, PCBA and Mobile Chargers 20% BCD reduced to 15%
    Methylene Diphenyl Diisocyanate (MDI) for the manufacture of spandex yarn 7.5% 5%
    Gold & Silver 15% 6%
    Platinum 15.4% 6.4%
    Ferrous scrap and nickel cathode 2.5% Nil
    Ammonium nitrate 7.5% 10%
    PVC flex banners 10% 25%
    PCBA of specified telecom equipment 10% 15%
    Broodstock, polychaete worms, shrimp and fish feed 10%, 30%, and 15% respectively Basic customs duty reduced to 5%
    Alkali or alkaline earth metals, 25 rare earth minerals (like lithium) 5% Exempted from Custom Duty
    Capital goods for manufacturing of solar panels 7.5% Exempted from Custom Duty
    Cancer drugs (Trastuzumab, Deruxtecan, Osimertinib and Durvalumab) 10% Exempted from Custom Duty
    Ferro nickel and blister copper removed 2.5% Nil BCD

     

     

    Other GST Reforms and Amendments

    • Un-denatured Neutral Alcohol used in manufacturing alcoholic liquor for human consumption will be excluded from the scope of GST. (Amendments to Sec 9 of the CGST Act, Sec 5 of the IGST Act, and Sec 7 of the UTGST Act).

     

    • Section 74A addresses tax not paid, underpaid, erroneously refunded, or input tax credit wrongly availed or utilized starting from the Financial Year 2024-25. Under this new section, if any tax is unpaid, underpaid, erroneously refunded, or if the input tax credit is wrongly availed or utilised, the proper officer will serve a notice to the responsible person, requiring them to explain why they should not pay the due amount with interest and penalty. However, no notice will be issued if the amount in question for a financial year is below Rs. 1,000. The notice must be issued within 42 months from the due date of the annual return or the date of the erroneous refund.

     

    • The same limitation period applies for issuing demand notices and orders for demands from the financial year 2024-25 onwards. The time limit for taxpayers to benefit from reduced penalties under this section, by paying the tax demanded along with interest, is extended from 30 days to 60 days.

     

    • Section 11A is inserted to empower the government to regularize non-levy or short levy of central tax due to prevalent trade practices.

     

    • Section 13(3) is amended to set the time of supply as the date of invoice when the invoice is issued by the recipient of the supply.

     

     

    • Sub-section (5) is added to Section 16, effective retroactively from July 1, 2017, to allow ITC claims on invoices or debit notes for FY 2017-18, 2018-19, 2019-20, and 2020-21 in the GSTR-3B filed up to November 30, 2021. Additionally, sub-section (6) is inserted in Section 16, also effective retroactively from July 1, 2017, to permit ITC claims on invoices and debit notes in GSTR-3B filed for the period from the GST registration cancellation date or the effective date, as applicable, until the date of the revocation order for GST registration cancellation, provided it is filed within thirty days of the revocation order date. However, the time limit for ITC claims for such documents must not have expired under Section 16(4) as of the date of the cancellation order. If the tax is paid or the ITC is reversed, no refund will be accepted.

     

    • A new provision is added under the blocked credits in Section 17(5), disallowing ITC on taxes paid under Section 74 for demands up to FY 2023-24, and removing references to Sections 129 and 130 of the CGST Act.

     

     

    • A new proviso in sub-section (2) of section 30 of the CGST Act is inserted, adding conditions and restrictions for the revocation of GST registration cancellation, which will be prescribed in the CGST Rules later.

     

    • Section 31(3)(f) is amended to provide a time limit for issuing invoices by the recipient for RCM supplies, including suppliers registered solely for TDS under GST.

     

    • GSTR-7 for TDS under GST must be filed whether or not TDS is deducted during a month under Section 39(3).

     

    • Section 54(15) specifies that GST refunds of unutilized ITC or IGST will not be allowed for zero-rated supplies of goods subject to export duty.

     

    • A summoned person can authorize another person to appear on their behalf in compliance with GST summons issued by the GST officer under the new Section 70(1A).

     

     

    • New Sections 73(12) and 74(12) restrict the applicability of demand and recovery provisions for determining tax demands for FY up to 2023-24.

     

    • Under the new Section 74A, the penalty will be reassessed in a notice if it is established that the case no longer involves fraud, willful misstatement, or suppression of facts.

     

    • Under Section 107 of the CGST Act, the maximum pre-deposit required for filing appeals before the appellate authority is reduced from Rs. 25 crores to Rs. 20 crores. Likewise, Section 20 of the IGST Act is amended to lower the pre-deposit amount from Rs. 50 crores to Rs. 40 crores.

     

    • The government may specify the types of cases to be heard by the Principal Bench of the Appellate Tribunal through an amendment to Section 109.

     

    • Effective August 1, 2024, taxpayers will have until the later of either the date of the order’s communication or a date specified by the government based on Council recommendations to file an appeal with the Appellate Tribunal. This change also applies to commissioners and GST officers filing applications before the Appellate Tribunal. Applications may be submitted within three months after the standard appeal period expires. The pre-deposit requirement for appeals is reduced from 20% to 10% of the disputed amount, and the maximum pre-deposit amount is lowered from Rs. 50 crore to Rs. 20 crore.

     

     

    • The penalty under Section 122(1B) is amended to apply only to cases involving e-commerce operators subject to TCS under GST, effective retrospectively from 1st October 2023.

     

     

    • Conditional waiver of interest and penalty is provided through Section 128A for demand notices under Section 73 for all FY from 2017-18 to 2019-20, except for erroneous refunds and where interest/penalty is already paid for the said years.

     

    • The appellate authority replaces the anti-profiteering authority from a date to be notified for accepting applications for cases of anti-profiteering under Section 171.

    New items through Paras 8 and 9 are inserted under Schedule III to declare the following as neither supply of goods nor supply of services:

    • The activity of apportioning co-insurance premiums by the lead insurer to the co-insurer for the insurance services jointly supplied by the lead insurer and the co-insurer to the insured in coinsurance agreements, provided the lead insurer pays the tax liability on the entire premium paid by the insured.
    • Services provided by the insurer to the reinsurer, where the ceding commission or reinsurance commission is deducted from the reinsurance premium paid by the insurer to the reinsurer.
    • Section 146 specifies that no refund shall be issued for tax paid or input tax credit reversed if these amounts would not have been paid or reversed had clause 114 been in effect at all relevant times.

     

    Important note: All amendments to direct and indirect taxes will take effect once they are notified by the CBDT or CBIC, respectively.

    Speech by Mrs. Nirmala Sitharaman of Budget 2024-25 (Download PDF): https://www.indiabudget.gov.in/doc/budget_speech.pdf

     

    Annual Compliances for Private Limited Companies

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    Private limited companies must adhere to various legal and regulatory obligations following their incorporation, including annual compliances mandated by the Companies Act, 2013. These requirements are compulsory and must be fulfilled within the specified deadlines.

    For a private limited company in India, adhering to annual compliance requirements is crucial to ensure smooth operations and avoid penalties. Here’s a comprehensive list of the yearly compliance obligations:

    Registrar of Companies Related Compliances

    Appointment of Auditor

    Appointing an auditor for a private limited company involves several compliance steps under the Companies Act, 2013. Here’s a detailed overview of the compliances to be followed:

    Initial Appointment

    First Auditor:

    • Timeframe: The Board of Directors must appoint the first auditor within 30 days of incorporation.
    • Duration: The first auditor holds office until the conclusion of the first Annual General Meeting (AGM).

    Subsequent Appointments

    Tenure:

    • Appointment at AGM: The company must appoint an auditor at the first AGM.
    • Duration: The appointed auditor will hold office from the conclusion of that AGM until the conclusion of the sixth AGM (5-year term).

    Form ADT-1:

    • Filing Deadline: File Form ADT-1 with the Registrar of Companies (RoC) within 15 days of the AGM in which the auditor is appointed.
    • Contents: Details of the auditor, such as name, address, and membership number, along with the company’s resolution appointing the auditor.

     

    Preparation of Financial Statements

    The preparation of financial statements for a private limited company in India involves several compliance steps under the Companies Act, 2013. Here’s a comprehensive guide to the compliance requirements:

    Accounting Standards

    • Compliance: Financial statements must be prepared in accordance with the Indian Accounting Standards (Ind AS) or Accounting Standards (AS), as applicable.
    • Disclosure: Ensure all necessary disclosures as per the standards are made in the financial statements.

    Financial Statements Components: The financial statements should include:

    • Balance Sheet
    • Statement of Profit and Loss
    • Cash Flow Statement (optional for certain private companies)
    • Equity change Statement (if applicable)
    • Notes to Accounts

    Board Approval

    • Preparation: The financial statements must be prepared by the finance team and reviewed by the management.
    • Approval: The financial statements should be approved by the Board of Directors. A resolution approving the financial statements must be passed in a Board Meeting.

    Auditor’s Report

    • Audit: The financial statements must be audited by the company’s appointed statutory auditor.
    • Report: The auditor will issue an audit report which must be attached to the financial statements.

    Director’s Report

    • Contents: The Director’s Report should include:
    • Financial summary/highlights
    • Dividend recommendation
    • Reserves transfer
    • Material changes and commitments affecting the financial position
    • Details of significant changes in share capital, if any
    • Statement of director’s responsibility
    • Approval: The Director’s Report must be approved by the Board of Directors and signed by the chairman or an authorized director.

    Annual General Meeting (AGM)

    • Presentation: The approved financial statements and the auditor’s report must be presented to the shareholders in the AGM.
    • Timeframe: The AGM should be held within six months from the end of the financial year (by 30th September).

    Filing with Registrar of Companies (ROC)

    1. Form AOC-4: File the financial statements along with the necessary attachments (including the Director’s Report and Auditor’s Report) with the Registrar of Companies (RoC) using Form AOC-4.
    • Deadline: Within 30 days of the AGM.
    • Attachments: Financial statements, Director’s Report, Auditor’s Report, and any other relevant documents.
    • Form MGT-7: File the annual return (which includes details about the AGM and financial statements) with the Registrar of Companies (RoC) using Form MGT-7.

    – Deadline: Within 60 days of the AGM.

    Additional Compliance

    • CARO (if applicable): Certain private companies may need to comply with the Companies (Auditor’s Report) Order, 2020 (CARO).
    • CSR (if applicable): If the company falls under the criteria for Corporate Social Responsibility (CSR), ensure compliance with CSR provisions and reporting.

     

    Appointment of Directors

    The appointment of directors for a private limited company in India involves several compliance steps under the Companies Act, 2013. Here’s a detailed guide on the compliance requirements:

    Minimum and Maximum Number of Directors

    • Minimum: A private limited company must have at least two directors.
    • Maximum: A company can have a maximum of fifteen directors, which can be increased by passing a special resolution.

     

    Director Identification Number (DIN)

    • Requirement: Every individual proposed to be appointed as a director must obtain a Director Identification Number (DIN).
    • Application: Apply for DIN using Form DIR-3, providing necessary documents such as proof of identity and address.

    Director KYC: – Forms and Filing

    • Form DIR-3 KYC: This form is used for KYC submission by the directors.
    • Web-Based DIR-3 KYC: Directors who have already submitted KYC in previous years can use the web-based KYC for subsequent years.

    Digital Signature Certificate (DSC)

    • Requirement: Directors must have a Digital Signature Certificate (DSC) to sign electronic documents.
    • Application: Obtain DSC from a certified authority.

    Consent and Declaration

    • Consent Form DIR-2: Obtain written consent from the individual to act as a director in Form DIR-2.
    • Declaration of Non-Disqualification Form DIR-8: The individual must provide a declaration in Form DIR-8 confirming that they are not disqualified to be appointed as a director under the Companies Act, 2013.

    Board Meeting and Resolution

    • Convening Board Meeting: Call a Board Meeting to discuss the appointment of the new director.
    • Passing Resolution: Pass a Board Resolution approving the appointment of the director.

    Filing with the Registrar of Companies (RoC)

    Form DIR-12: File Form DIR-12 with the Registrar of Companies (RoC) within 30 days of the appointment.

    • Attachments: Include the Board Resolution, consent letter (DIR-2), and declaration (DIR-8).

    Disclosure by Director

    • Form MBP-1: The newly appointed director must disclose their interest in other entities in Form MBP-1 at the first Board Meeting in which they participate as a director.
    • Subsequent Disclosure: This disclosure should be made annually or whenever there is a change in interests.

    Intimation to Stock Exchange (if applicable)

    • Listed Companies: If the company is listed, notify the stock exchange about the appointment of the director within 24 hours of the decision.

    Compliance with Additional Provisions

    • Independent Directors: If applicable, ensure compliance with the provisions related to the appointment of independent directors.
    • Woman Director: Ensure compliance with the requirement to appoint at least one woman director if the company falls under the criteria specified in the Companies Act, 2013.

    Non-Registrar-Related Compliances

    Tax Compliances

    Income Tax

    • Annual Filing: File the Income Tax Return (ITR) by 31st July (non-audit cases) or 31st October (audit cases).
    • Tax Audit: Conduct a tax audit if the turnover exceeds ₹1 crore (business) or ₹50 lakh (profession). File the audit report by 30th September.

    Goods and Services Tax (GST)

    • GST Registration: Register for GST if the annual turnover exceeds the threshold limit (₹20 lakh for services and ₹40 lakh for goods, with variations based on the state).
    • Monthly/Quarterly Returns: File GSTR-1 (sales return), GSTR-3B (summary return), and GSTR-9 (annual return).
    • GST Audit: Conduct a GST audit if the turnover exceeds ₹2 crore and file GSTR-9C.

    Tax Deducted at Source (TDS)

    • TDS Registration: Obtain a TAN (Tax Deduction and Collection Account Number).
    • Quarterly Returns: File TDS returns in Form 24Q (salaries), 26Q (non-salaries), and 27Q (payments to non-residents).
    • TDS Payment: Deposit TDS by the 7th of the following month.

     

    Labor Law Compliances

    Employees’ Provident Fund (EPF)

    • EPF Registration: Register with the EPFO if the company employs 20 or more employees.
    • Monthly Returns: File EPF returns and make monthly contributions by the 15th of the following month.

    Employees’ State Insurance (ESI)

    • ESI Registration: Register with the ESIC if the company employs 10 or more employees (threshold varies by state).
    • Monthly Returns: File ESI returns and make monthly contributions by the 15th of the following month.

    Professional Tax

    • Registration: Register for Professional Tax with the respective state authorities.
    • Monthly/Annual Returns: File returns and pay Professional Tax as per the state’s regulations.

    Other Compliances

    Secretarial Standards

    • Board Meetings: Hold Board Meetings as per Secretarial Standards issued by the Institute of Company Secretaries of India (ICSI).
    • Minutes and Records: Maintain proper records and minutes of Board and General Meetings.

    Corporate Social Responsibility (CSR)

    • CSR Policy: Formulate a CSR policy if the company meets the criteria specified under Section 135 of the Companies Act, 2013.
    • CSR Committee: Constitute a CSR Committee and ensure the spending of at least 2% of the average net profits on CSR activities.
    • Annual Reporting: Report CSR activities in the Board’s Report and file related forms.

    Foreign Exchange Management Act (FEMA) Compliances

    • FDI Compliance: Adhere to regulations for Foreign Direct Investment (FDI) if applicable.
    • Filing with RBI: File annual returns on Foreign Liabilities and Assets (FLA) with the Reserve Bank of India (RBI) by 15th July.

    Annual Maintenance

    • Annual General Meeting (AGM): Hold the AGM within six months from the end of the financial year.
    • Financial Statements: Prepare and get the financial statements audited, and present them in the AGM.
    • Director’s Report: Prepare and present the Director’s Report, ensuring compliance with all applicable laws.

    Industry-Specific Compliances

    • Sectoral Regulations: Comply with industry-specific regulations and standards, such as environmental regulations, food safety standards, and telecom regulations.

    Compliance is vital for a private limited company to ensure legal standing, operational efficiency, and long-term success. It helps in building a reputable, trustworthy, and sustainable business that can attract investment, talent, and customers while minimizing risks and avoiding legal issues. Regular compliance is not just a regulatory requirement but a strategic approach to business management and growth.

    Salary Slip Meaning, Importance and Calculation

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    A salary slip, or payslip, is a financial and legal document that employers issue monthly to their employees. It provides a detailed breakdown of the employee’s salary, including base pay, allowances, deductions, and taxes paid for a specific period. This document can be given as a printed hard copy, sent via email, or downloaded in PDF format. Employers are legally obligated to issue salary slips regularly as proof of salary payments and deductions. For employees, a salary slip is crucial as proof of income and for making tax-saving investments like equity funds, PPF, NPS, and life insurance.

    Importance of Salary Slip

    • Proof of Income: A salary slip acts as a formal proof of income, which is necessary for various financial transactions like applying for loans, credit cards, or mortgages.
    • Tax Filing: Salary slip provides the details needed for filing income tax returns, including taxable income and taxes paid.
    • Legal Documentation: Salary slip serves as a legal document in disputes related to salary and employment terms.
    • Financial Planning: Salary slip Helps employees plan their finances by giving a clear picture of their earnings and deductions.

    Salary Slip Components

    A salary slip typically includes the following components:

    1. Employee Information
    • Name
    • Employee ID
    • Designation
    • Department
    1. Employer Information
    • Company Name
    • Company Address
    • Employer Identification Number (if applicable)
    1. Payroll Period
    • Start and end date of the pay period
    • Pay Date
    1. Earnings
    • Basic Salary
    • Overtime Pay
    • Bonuses
    • Commissions
    • Allowances (e.g. Housing, Travel, Allowance)
    1. Deductions
    • Tax Deductions (e.g., Income Tax)
    • Retirement Contribution (e.g., Provident Fund, NPS)
    • Insurance Premium
    • Loan Repayments
    • Other Deductions (e.g., union dues, garnishments)
    1. Net Pay

    – Total Earnings

    – Total Deductions

    – Net Salary (Take Home)

    1. Leave Balances (if applicable)
    • Paid Leave
    • Sick Leave
    • Vacation Leave
    1. Tax Information
    • Taxable Income
    • Tax Paid
    1. Employer’s Contributions (if applicable)
    • Employer’s contribution to provident fund
    • Employer’s contribution to Health Insurance
    • Other contributions
    1. Additional Information (if applicable)
    • Bank Account details for salary credit
    • Notes or announcements from the employer

    These components ensure that the salary slip provides a comprehensive summary of the employee’s earnings, deductions, net pay, and relevant personal and organisational details.

    Salary Slip Calculations

    A salary slip provides a detailed breakdown of how the employee’s salary is calculated, including earnings and deductions. Here’s a step-by-step guide to the calculations typically found on a salary slip:

    Earnings

    1. Basic Salary:
    • The fixed part of the salary, usually 40-50% of the total salary.
    • Formula: Basic Salary=Total Salary × Basic Salary Percentage
    1. House Rent Allowance (HRA):
    • Typically, a percentage of the basic salary.
    • Formula: HRA=Basic Salary × HRA Percentage
    1. Conveyance Allowance:
    • Fixed allowance for transportation.
    • Standard amount (e.g., INR 1,600 per month).
    1. Medical Allowance:
    • Fixed allowance for medical expenses.
    • Standard amount (e.g., INR 1,250 per month).
    1. Special Allowance:
    • The remaining part of the salary after allocating the above components.
    • Formula: Special Allowance: -Total Salary− (Basic Salary + HRA + Conveyance Allowance + Medical Allowance).
    1. Bonus/Overtime:
    • Additional earnings based on performance or extra hours worked.
    • Formula: Bonus/Overtime = Bonus Percentage of Basic Salary or Overtime Hours × Overtime Rate

    Deductions

    • Provident Fund (PF):
    • A percentage of the basic salary contributed towards the employee’s retirement fund.
    • Formula: PF=Basic Salary × PF Percentage (e.g., 12%).
    • Professional Tax (PT):
    • A state-imposed tax, varies by state and salary bracket.
    • Fixed amount based on state regulations.
    • Tax Deducted at Source (TDS):
    • Income tax deducted by the employer based on applicable tax slabs.
    • Formula: TDS=Taxable Income × Tax Rate
    • Employee State Insurance (ESI):
    • A small percentage of the gross salary contributed towards medical insurance for employees earning below a certain threshold.
    • Formula: ESI=Gross Salary × ESI Percentage (e.g., 0.75%)
    • Loan Repayments:
    • Deductions for any company loans taken by the employee.
    • Fixed monthly instalment amount.

    Net Pay Calculation

    • Gross Salary:
    • Total earnings before deductions.
    • Formula: Gross Salary=Basic Salary + HRA + Conveyance Allowance + Medical Allowance + Special Allowance + Bonus/Overtime.
    • Total Deductions:
    • Sum of all deductions.
    • Formula: Total Deductions=PF + PT + TDS + ESI + Loan Repayments.
    • Net Salary:
    • Take-home pay after all deductions.
    • Formula: Net Salary = Gross Salary − Total Deductions

    In conclusion, a salary slip is more than just a monthly document—it is a comprehensive record of an employee’s financial relationship with their employer. From proving income for loans and credit applications to aiding in tax filing and financial planning, the importance of understanding each component of your salary slip cannot be overstated. It not only ensures transparency but also empowers employees to manage their finances effectively. Always keep your salary slips handy, as they are vital for various financial and legal purposes.

    Governance, Risk and Compliance Management Tool

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    Compliance management, including risk assessment and due diligence, has become a critical aspect of business operations across industries in today’s complex and ever-evolving regulatory landscape. Companies must navigate a web of rules, laws, and guidelines to ensure they operate ethically and legally. To streamline this process and empower businesses to meet their compliance goals efficiently, our GRC Tool offers a comprehensive set of features. In this article, we’ll explore the key features of our tool, highlighting its comprehensive capabilities, pre-made checklists, seamless integration with Salesforce, worldwide application, personalised design, fusion of technology and human interaction, along with its scalability, security, and cost efficiency

    End-to-End Compliance Management and Risk Assessment: Our GRC Tool is designed to cover the entire compliance lifecycle including comprehensive risk assessment. From identifying relevant regulations to implementing and monitoring compliance initiatives, it provides a seamless end-to-end solution. This ensures that every facet of compliance receives attention, thereby minimising the likelihood of non-compliance and the consequent penalties.

    Ready-to-Use Compliance Checklists: To simplify compliance efforts and ensure due diligence, our tool offers a library of ready-to-use compliance checklists. These checklists are carefully selected to encompass various industries and geographic locations, facilitating quick startup for businesses. Additionally, users have the flexibility to tailor these checklists to suit their particular requirements

    Salesforce Platform Integration: We understand that businesses often rely on Salesforce for their customer relationship management (CRM) needs. Our GRC Tool seamlessly integrates with Salesforce, allowing for a unified approach to compliance, risk assessment, and due diligence in customer management. This integration enhances data consistency and accessibility, streamlining compliance efforts.

    Global Implementation: Businesses today operate on a global scale, facing a myriad of international regulations. Our tool is equipped to handle global compliance requirements, including risk assessment, offering support for various regulatory frameworks across different regions. This ensures that multinational companies can maintain compliance across borders effortlessly.

    Custom Designed: We recognize that each organization has unique compliance needs. Our GRC Tool is not a one-size-fits-all solution. Alternatively, it can be tailored to match the precise compliance needs of your industry and company. This personalized approach boosts its efficiency in achieving your compliance goals.

    Technology & Human Touch Mix: Our tool combines cutting-edge technology with a human touch. While automation simplifies regular compliance tasks and reporting, it also establishes a space for collaboration and communication among compliance teams and stakeholders. This combination ensures that essential decisions and judgments benefit from the necessary human expertise.

    Scalable, Secure, & Cost-Effective: Scalability is crucial as businesses grow and compliance needs evolve. Our tool is designed to grow with your organization, accommodating changing requirements seamlessly. It also prioritizes security to safeguard sensitive compliance data through risk assessment. Furthermore, it offers cost-effective solutions, making top-tier compliance management accessible to businesses of all sizes without exceeding their budgets.

    In conclusion, our GRC Tool is a comprehensive solution that empowers businesses to excel in compliance management, covering risk assessment and due diligence. With its end-to-end capabilities, ready-to-use checklists, Salesforce integration, global readiness, customizability, technology-human mix, and cost-effectiveness, it stands as a valuable asset for organizations seeking to navigate the complex world of compliance with confidence. Reach out to us today to discover how our tool can revolutionize your compliance initiatives and contribute to your business’s success through ethical and compliant practices.

    Compliance Calendar FY 2024-25

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    📅 Important Due Dates for FY 2024–25

    A labour laws compliance calendar is vital for businesses to navigate the dynamic landscape of regulatory requirements.

    ✅ By ensuring adherence to evolving labour laws, it:

    • Safeguards employee rights

    • Mitigates legal risks

    • Maintains operational efficiency

    Proactively tracking deadlines and tasks aids in resource allocation and fulfilling ethical responsibilities. Ultimately, it provides a structured framework to uphold legal obligations, protect employees, and sustain ethical standards in the workplace.

    📌 Let’s have a look at the important due dates for FY 2024–25:

    🏛️ Industrial Disputes Act, 1947 and Rules, 1957

    Compliance Description Requirement Form
    Notice for change in condition of services and restrictions Notice at least 21 days before making such a change Form E
    Notice of Lay-off (Commencement & Termination) Within 7 days of such commencement and termination Form O1 and O2
    Notice and procedure upon closure of the establishment Apply at least 90 days before intended closure for prior permission Form Q and QA
    Annual Return 20th day of the month after end of half year Form G1

    💵 Payment of Wages Act, 1936

    Compliance Description Requirement Form
    Payment of Wages Wages to be paid before the 7th day (if < 1000 employees), and before the 10th day (if > 1000) NA

    🎁 Payment of Bonus Act, 1965

    Compliance Description Requirement Form
    Annual Return On or before February 1st each year Form D

    🧾 Minimum Wages Act, 1948

    Compliance Description Requirement Form
    Annual Return Upload unified annual return before February 1st Form III

    🎓 Payment of Gratuity Act, 1972

    Compliance Description Requirement Form
    Payment of Gratuity Within 30 days when it becomes due NA

    🏢 Notification of Establishment (Opening, Change or Closure)

    Compliance Description Requirement Form
    Opening of Establishment Within 30 days of opening or rules becoming applicable Form A
    Change in Name, Address, Employer, Nature of Business Within 30 days of change Form B
    Closure of Business At least 60 days before intended closure Form C

    💼 Employee Provident Funds (EPF) Act, 1952

    Compliance Description Requirement Form
    Return Filing Within 15 days of the close of the month Form 5

    🏥 Employees’ State Insurance (ESI) Act, 1948

    Compliance Description Requirement Form
    Registration of Establishment Within 15 days of allotment of code number Form 01
    Intimation of Change in Particulars Within 2 weeks of such change Form 01A
    Return of Information Filing Nov 12 (for Apr–Sep) & May 12 (for Oct–Mar) Form 5
    Monthly Contribution Payment 15th of the next month NA

    🏭 Factories Act, 1948

    Compliance Description Requirement Form
    Notice by Occupier At least 15 days before using premises as a factory Form 2
    Renewal of License At least 3 months before expiry Form 2
    Return Filing Annual: Jan 31st; Half-Yearly: July 15th Form 29 / Form 30

    👷 Contract Labour (Regulation & Abolition) Act, 1970

    Compliance Description Requirement Form
    Registration Application Apply for registration Form I
    Licence Application Apply for license Form IV
    Renewal of License Apply for renewal Form VII
    Temporary Registration Apply for temporary registration Form VIII & Form X
    Annual Return File before February 1st Form XXV

    Vendor/Third Party/Supplier Compliance Strategies

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    Supplier Compliance Strategies

    Vendor/Third Party/Supplier Compliance Strategies

    In today’s globalized business landscape, organizations often rely on a network of vendors/third party and suppliers to meet their operational needs. While outsourcing tasks to vendors/third parties/suppliers can streamline processes and reduce costs, it also brings about a significant responsibility – ensuring vendor/third party and supplier’s compliance with various laws and regulations to effectively manage risk assessment. In this blog, we will delve into the crucial aspects of vendor compliance, focusing on vendor/Third Party/ Supplier’s selection procedures, vendor/Supplier’s data records maintenance, vendor registration with labour offices, and vendor compliance audits with respect to laws like the Contract Labor Regulation and Abolition Act (CLRA).

     

    1. Vendor/Third Party/ Supplier Selection Procedures

     Choosing the right vendors/suppliers is the cornerstone of effective vendor compliance management. The vendor selection process should be thorough and systematic. Here are some key steps to consider:

    • Needs Assessment: Start by identifying your organization’s specific needs and requirements. What services or products are you outsourcing? What are the critical quality, cost, and timeline considerations?
    • Vendor/Supplier/Third party Evaluation Criteria: Develop a set of criteria for evaluating potential vendors/suppliers. This might include factors such as financial stability, past performance, industry reputation, compliance history, and capacity to meet your needs.
    • Request for Proposals (RFP): Create an RFP that outlines your requirements and expectations. Share this document with potential vendors to solicit their proposals.
    • Due Diligence: Conduct thorough due diligence on vendors, including background checks, reference checks, and financial analysis. Look into their compliance with labour laws, tax regulations, and other relevant legislation.
    • Vendor Agreements: Draft clear and comprehensive vendor agreements that outline all terms, including compliance requirements, service-level agreements, and dispute-resolution mechanisms.
    • Risk Mitigation Strategies: Risk assessment helps organizations develop and implement risk mitigation strategies as part of the vendor/third-party/supplier selection process. This may involve conducting additional due diligence, negotiating contract terms to address specific risks, or implementing monitoring mechanisms to ensure ongoing compliance.

     

     

    1. Vendor/Third Party/Supplier Data Records Maintenance

    Maintaining accurate and up-to-date vendor/supplier/third-party data records is essential for vendor compliance. These records should include:

    • Vendor Information: Maintain a database of vendor contact details, tax identification numbers, and legal entity information.
    • Contracts and Agreements: Keep copies of all vendor agreements, including any updates or amendments.
    • Insurance and Certifications: Verify that vendors have the necessary insurance coverage and certifications to operate legally in their industry.
    • Compliance Documentation: Maintain records of vendor compliance with labour laws, safety regulations, and any other relevant legal requirements to assist in risk assessment.
    • Payment Records: Keep records of all payments made to vendors/third parties or suppliers, including invoices and receipts.

    Regularly reviewing and updating these records ensures a clear understanding of your vendors/suppliers’ compliance status for risk assessment at all times.

     

    1. Vendor Registration with Labor Office

    In many regions, including India, the registration of vendors with labour offices is a mandatory requirement under labour laws like the Contract Labor Regulation and Abolition Act (CLRA). This registration process typically involves the following steps:

    • Application Submission: Vendors/third parties or suppliers must apply for registration to the local labour office, providing details about their business, workforce, and operations.
    • Inspection and Verification: Labor officials may conduct inspections to verify the information provided in the application and perform due diligence risk assessment. This includes checking for compliance with labour laws, health and safety standards, and wage regulations.
    • Issuance of Registration Certificate: Upon successful verification, the labour office issues a registration certificate to the vendor/supplier/third party. This certificate serves as proof of compliance with labour laws and regulations.
    • Renewals and Updates: Vendors must renew their registration periodically and inform the labour office of any changes in their operations or workforce.

     

    1. Vendor/Third party/Supplier Compliance Audit with Respect to Laws like CLRA

    Regular vendor compliance audits are essential to ensure that vendors adhere to labour laws like the CLRA. These audits involve a systematic review of vendor operations, due diligence and risk assessment compliance records. Here’s how to conduct an effective vendor/supplier compliance audit:

    • Planning and Scope Definition: Define the scope of the audit, including the specific laws and regulations to be assessed. Develop an audit plan that outlines the audit’s objectives, methodology, and timeline.
    • Document Review: Examine vendor/third party or supplier’s records, contracts, agreements, payroll records, and compliance documentation to assess compliance with labour laws and conduct a risk assessment.
    • On-Site Inspections: Conduct on-site inspections of vendor/third-party/ supplier’s facilities to verify compliance with safety, health, and working condition standards.
    • Interviews and Discussions: Interview vendor/supplier’s representatives and workers to gain insights into their understanding of labour laws and their working conditions.
    • Report and Remediation: Prepare a detailed audit report highlighting compliance strengths and weaknesses through due diligence. Work with vendors to address any non-compliance issues and establish corrective action plans, as part of risk assessment strategy.
    • Follow-up and Monitoring: Regularly monitor vendor compliance, conduct follow-up audits as needed, and ensure that corrective actions are implemented.

    Vendor/supplier compliance is a multifaceted process that requires careful vendor/ third party or supplier selection, diligent record-keeping, and proactive adherence to labour laws and regulations, incorporating due diligence and risk assessment. By following robust vendor/supplier selection procedures, maintaining accurate vendor/supplier data records, ensuring vendor/supplier/third party registration with labour offices, and conducting regular compliance audits, organizations can mitigate risks, enhance vendor/supplier relationships, and uphold their legal and ethical responsibilities. In today’s competitive business environment, proactive vendor/supplier compliance management is not just a choice; it’s a necessity for sustainable and responsible business operations.

     

    Section 115BAA: New Tax Rates for Domestic Companies

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    Section 115BAA: New Tax Rates for Domestic Companies

     

    The Government of India introduced Section 115BAA through the Taxation (Amendment) Ordinance 2019 on September 20, 2019. This ordinance amended the Income Tax Act, 1961, bringing significant changes such as a reduction in the corporate tax rate for domestic and manufacturing companies. Additionally, the MAT rate was lowered from 18.5% to 15%.

     

    Section 115BAA: – Concessional Tax Rates for Domestic Companies

    Domestic companies were given the option to pay tax at a lower rate of 22% (plus applicable surcharge and cess) starting from the financial year 2019-20, provided they do not claim certain deductions or incentives. This effectively brings the tax rate to around 25.17%, including surcharge and cess.

              Section     Applicable on                          Tax Rate
     

    115BAA

    		  

    Domestic Company

     

    		 Tax Rate  22%
    Surcharge (Compulsory)  10%
    Cess  4%
    25.168%

     

    The new Section 115BAA has been added to the Income Tax Act, 1961, to provide domestic companies with the benefit of a reduced corporate tax rate. This section allows domestic companies to opt for a concessional tax rate resulting in an effective tax rate of 25.17% starting from the FY 2019-20 (AY 2020-21) onwards, provided they meet certain specified conditions. Companies that choose this option are not required to pay tax under the Minimum Alternate Tax (MAT) provisions.

    Eligibility Criteria for Claiming the Concessional Tax Rate

    The following Benefits/Deductions will not be available under section 115BAA

     

    Section Benefits/Deductions not Allowed
    10AA Deductions for the units established in Special Economic Zone.
    32/32AD Additional Depreciation and Investment Allowance on New Plant and Machinery.
    33AB Deduction for Tea/Coffee/Rubber Business
    33ABA Deduction for Petroleum and Natural Gas Business
    35 Deductions for Scientific Research Expenditure
    35AD Deductions for Expenditure on Specified Business
    35CCC Deduction of Expenses Incurred on Agriculture Extension Project.
    35CCD Deduction of Expenses incurred by a Company on Skill Development Projects.
    Chapter VI-A Deductions which are allowed in respect of certain incomes (Except Section 80JJA: Employment of New Employee and 80M: Inter Corporate Dividend)
    Other A set off of any loss carried forward or depreciation from earlier years.

     

    Time Limit to opt for Taxation under Section 115BAA

    Companies must opt for taxation under Section 115BAA by the due date of filing income tax returns, typically the 30th of September of the assessment year.

    Frequently Asked Questions

    • How does a domestic company exercise the option under section 115BAA?
      The exercise of Section 115BAA shall be completed by electronically submitting details in Form No. 10-IC to the principal officer, either through a digital signature or electronic verification code.
    • Can a Company Opt out of this section?
      Domestic companies       that are not immediately inclined to avail themselves of this reduced rate can choose to do so after the expiration of their tax holiday period or any mentioned exemptions/incentives.
    • If a taxpayer chooses to exercise the option under Section 115BAA, can they still utilize MAT credits?
      Domestic companies choosing Section 115BAA won’t be eligible to claim MAT credits for taxes paid under MAT during their tax holiday period.
    • What is the Tax Holiday Period?
      A tax holiday refers to a duration wherein an individual or a company is permitted to pay either no tax or a reduced amount of tax compared to the standard rate.
    • Does Section 115BAA supersede all other specific sections of Chapter XII, except for Sections 115BA and 115BAB?
      No, section 115BAA does not override the other sections. For Example, the incomes of specific nature covered under Chapter XII, such as STCG (Section 111A) at 15%, LTCG (Section 112) at 10% or 20%, Section 112A at 10%, dividends from foreign companies (Section 115BBDA) at 15%, etc., be subject to tax at rates mentioned in those sections.
    • Can a foreign company choose to avail itself of the provisions of Section 115BAA?
      Foreign companies cannot opt for the tax rates under Section 115BAA

    Income Tax Calendar FY 2024-25

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    (Important Due Dates for FY 2024-25)

    Monitoring due dates within a financial year is essential for budgeting, financial reporting, tax planning, and meeting contractual obligations. It enables organisations to allocate resources effectively, comply with regulatory requirements, and evaluate performance. Timely tracking also fosters investor confidence by demonstrating financial discipline and transparency. Failure to meet deadlines can lead to penalties and legal repercussions, highlighting the critical importance of diligence in managing financial obligations within the designated timeframe.

    April 2024

    Due Date Period Description
    April 14, 2024 February 2024 TDS certificate for tax deducted under Section 194-IA, Section 194-IB, Section 194M and Section 194S.
    April 30, 2024 March 2024 TDS certificate for tax deducted under Section 194-IA, Section 194-IB, Section 194M and 194S.
    April 30, 2024 March 2024 Due Date of Depositing Tax Deducted.
    April 30, 2024 January 2024 – March 2024 Depositing tax deducted under sections 192, 194A, 194D and 194H.
    April 30, 2024 January 2024 – March 2024 Uploading Form 15G/Form 15H.

     

    May 2024

    Due Date Period Description
    May 07, 2024 April 2024 Depositing TDS and TCS.
    May 15, 2024 March 2024 Issuing TDS certificate for tax deducted under sections 194-IA, 194-IB, 194M and 194S.
    May 15, 2024 March 2024 Filing quarterly statement of TCS deposited.
    May 30, 2024 April 2024 Filing challan statement for TDS under sections 194-IA, 194M, 194-IB and 194S.
    May 31, 2024 January 24 – March 24 Last date for filing quarterly statement of TDS deposited
    May 31, 2024 January 24 – March 24 Issuing TCS certificates.

     

    June 2024

    Due Date Period Description
    June 7, 2024 May 2024 Depositing TDS and TCS.
    June 14, 2024 April 2024 Issuing TDS certificate for tax deducted under Section 194-IA, 194-IB, 194M and 194S.
    June 15, 2024 FY 2024-25 Depositing the first instalment of advance tax.
    June 15, 2024 FY 2023-24 Issuing TDS certificates (Form 16) to the employees for tax deducted at source on salary.
    June 15, 2024 January 2024- March 2024 Issuing TDS certificates (Form 16A) other than salary.
    June 30, 2024 May 2024 Filing challan statement under sections 194-IA, 194-IB, 194M and 194S.

     

    July 2024

    Due Date Period Description
    July 07, 2024 June 2024 Deposit TDS and TCS for tax deducted.
    July 07, 2024 April 2024 – June -2024 Deposit TDS deducted under sections 192, 194A, 194D and 194H.
    July 15, 2024 May 2024 Issuing TDS certificates for tax deducted under sections 194-IA (Form 16B), 194-IB (Form 16C), 194M (Form 16D) and 194S (Form 16A).
    July 15, 2024 April 2024 – June 2024 File quarterly statement of TCS (Form 27EQ) deposited.
    July 30, 2024 April 2024 – June 2024 Quarter Date to collect TCS certificate (Form 27D) for tax collected on purchase of motor vehicles, overseas travel.
    July 30, 2024 June 2024 File challan statement under sections 194-IA, 194-IB, 194M and 194S.
     July 31, 2024 April 2024 – June 2024 Date for filing quarterly TDS statement.
    July 31, 2024 FY 2023-2024 The deadline for filing income tax returns for individuals, including the majority of salaried and a significant portion of non-salaried individuals, whose accounts do not necessitate auditing.

     

    August 2024

    Due Date Period Description
    August 07, 2024 July 2024 Last date for depositing TDS and TCS.
    August 14, 2024 June 2024 Issuing TDS certificates for tax deducted under sections 194-IA (Form 16B), 194-IB (Form 16C), 194M (Form 16D) and 194S (Form 16A).
    August 15, 2024 April 2024 – June 2024 Issuing quarterly TDS certificates (Form 16A) for the tax deducted from payments other than salary.
    August 30, 2024 July 2024 Filing challan statements for tax deducted under sections 194-IA (Form 26QB), 194-IB (Form 26QC), 194M and 194S.

     

    September 2024

    Due Date Period Description
    September 07, 2024 August 2024 Deposit of TDS and TCS for the Tax Deposited.
    September 14, 2024 July 2024 Issue TDS certificates for tax deducted under sections 194-IA (Form 16B), 194-IB(Form 16C) , 194M (Form 16D) and 194S (Form 16A).
    September 15, 2024 FY 2024-2025 Deposit the second instalment of Advance Tax.
    September 30, 2024 FY 2023-2024 Submitting audit report for FY 2023-24 for those taxpayers who have not undertaken international or specified domestic transactions.
    September 30, 2024 August 2024 Filing challan statement under sections 194-IA (Form 26QB),    194-IB (Form 26QC), 194M (Form 26QD) and 194S (26QE).

     

    October 2024

    Due Date Period Description
     October 07, 2024 September 2024 Deposit of TDS and TCS for the Tax Deposited.
     

     October 07, 2024

    		 July 2024 – September 2024 Quarter. Deposit TDS for tax deducted under sections 192, 194A, 194D and 194H.
     October 15, 2024 August – 2024 Issue TDS certificates for tax deducted under sections 194-IA, 194-IB, 194S and 194M.
     

     October 15, 2024

    		 July 2024 – September 2024 Filing quarterly statement of TCS (Form 27EQ) deposited.
     

     

     October 30, 2024

    		 September 2024 File challan statement for tax deducted under sections

    194-IA, 194-IB, 194M and 194S.
     October 30, 2024 July 2024 – September 2024 Issue of quarterly TCS certificate (Form 27D).
    October 31, 2024 FY 2023-24 Filing income tax return for those whose accounts are required to be audited.
    October 31, 2024 FY 2023-24 Submission of audit report for taxpayers having international or specified domestic transactions.
    October 31, 2024 July 24 – September 24 Filing quarterly statement of TDS deposited.

     

    November 2024

    Due Date Period Descriptions
     November 07, 2024  October 2024 Deposit TDS and TCS deducted.
     November 14, 2024  September 2024 Issue TDS certificates for TDS deducted under sections 194-IA, 194-IB,194M and 194S
     

     November 15, 2024

    		  July 24 – September 24 Issue quarterly TDS certificate for the tax deducted on payments other than salaries.
     November 30, 2024  October 2024 File challan statement for tax deducted under sections 194-IA, 194-IB, 194M and 194S.
    November 30, 2024  FY 2023-24 File ITR for FY 2023-24 for those taxpayers whose accounts are required to be audited and have international or specified domestic transactions.

     

    December 2024

    Due Date Period Description
     

    December 07, 2024

     

    		 November 2024 Deposit of TDS and TCS deducted.
     

    December 15, 2024

     

    		 FY 2024-25 Deposit the third instalment of advance tax.
    December 15, 2024  October 2024 Issue TDS certificates for tax deducted under sections 194-IA, 194-IB, 194M and 194S.
     December 30, 2024 November 2024 File challan statement for tax deposited under sections 194-IA, 194-IB, 194M and 194S.
     December 31, 2024  FY 2023-24 Filing of belated/revised ITR.

     

    January 2025

    Due Date Period Description
     January 07, 2025  December 2024  

    Deposit of TDS and TCS deducted.
    January 14, 2025 November 2024 Issue TDS certificates for tax deducted under sections 194-IA, 194-IB, 194M and 194S.
    January 30, 2025 December 2024 File challan statement for tax deposited under sections 194-IA (Form 26QB), 194-IB (Form 26QC), 194M and 194S.
     January 30, 2025   October 2024 – December 2024 Issue of TCS Certificate (Form 27D).
     January 31, 2025  October 24 – December 24 Quarterly Statement for TDS (Form 24Q or Form 26Q).

     

    February 2025

    Due Date Period Description
     February 07, 2025  January 2025 Deposit of TDS and TCS deducted.
     February 14, 2025  December 2024 Issue TDS certificates for tax deducted under sections 194-IA, 194-IB, 194M and 194S.
     February 15, 2025  

     October 2024 – December 2024

    		 Issue quarterly TDS certificate for the tax deducted on payments other than salaries.

     

    March 2025

    Due Date Period Description
    March 02, 2025 January 2025 File challan statement for tax deposited under sections 194-IA (Form 26QB), 194-IB (Form 26QC), 194M and 194S. 
     March 07, 2025 February 2025 Deposit of TDS and TCS deducted.
     March 15, 2025  January 2025 – March 2025 100% estimated Advance Tax payment for FY 2024-25.
    March 17, 2025 January 2025 Issue TDS certificates for tax deducted under sections 194-IA (Form 16B), 194-IB(Form 16C) , 194M (Form 16D) and 194S (Form 16A).
    March 30, 2025  February 2025 File challan statement for tax deposited under sections 194-IA (Form 26QB), 194-IB (Form 26QC), 194M and 194S.

     

    E-Way Bill Under GST

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    The Electronic Way Bill (E-way bill) is a crucial component of the Goods and Services Tax (GST) regime in India. Introduced to facilitate the seamless movement of goods across state borders and to monitor the movement of goods in real-time, the E-way bill system aims to prevent tax evasion and ensure the proper documentation of goods in transit.

    Introduction

    An E-way bill (Form GST EWB-01) is a digital record essential for the transportation of goods exceeding a designated threshold value (INR 50,000) across state borders. It encompasses information like the nature of the goods, their quantity, value, and the points of origin and destination.

    Under Rule 138 of the CGST Rules, 2017, any registered individual initiating the movement of goods, even if not necessarily due to a supply, with a consignment value exceeding Rs. 50,000, must provide the mentioned details in Part A of the e-way bill. 

    Note: – However, there is no restriction on the generation of E-Way bills even if the value of the consignment is less than Rs. 50,000.

    The E-Way Bill, also known as GST EWB-01, is segmented into two sections: Part A and Part B. Part A comprises details about the products, whereas Part B includes the identification number of the transporting vehicle.

    In the E-Way Bill system, Part A and Part B serve distinct purposes and contain different sets of information:

    Part A: Product Information

    Details Included: Part A of the E-Way Bill contains information about the goods being transported.

    Key Elements:
    GSTIN of Recipient
    Invoice or Challan Number
    Invoice or Challan Date
    Description of the goods
    HSN (Harmonized System of Nomenclature) code of the goods
    Declared value of the goods
    Reason for Transportation
    Place of origin of the goods
    Destination of the goods

    Usage: Part A is crucial for understanding the nature and specifications of the goods being transported. It is filled out by the person responsible for the movement of goods.

    Part B: Vehicle Information

    Details Included: Part B contains information related to the vehicle that is transporting the goods.

    Key Elements:
    Vehicle number (transport vehicle registration number)
    Transporter ID (if applicable)

    Usage: Part B is particularly relevant for tracking the vehicle and ensuring that the goods are being transported by the authorized transporter. This part is generally filled out by the person responsible for the transportation or the transporter.

    In summary, while Part A focuses on the details of the goods, including their description, quantity, and value, Part B is concerned with the identification of the vehicle transporting the goods. Both parts work together to provide a comprehensive overview of the goods in transit, aiding in effective monitoring and regulation.

    Common Portal for generating E-Way bill under GST

    The common portal for generating E-Way Bills under the Goods and Services Tax (GST) regime is the official GST E-Way Bill portal. This portal serves as a centralized platform for businesses and individuals to create and manage electronic way bills for the movement of goods. Here are key aspects of the common portal:

    Top of Form

    GST E-Way Bill Portal:

    • The official website for generating E-Way Bills is https://ewaybillgst.gov.in/.
    • Users need to log in to the portal using their GSTIN (Goods and Services Tax Identification Number).

    User Authentication:

    • To use the common portal, users must authenticate themselves by providing valid GSTIN credentials.

    Dashboard and Navigation:

    • The portal provides a user-friendly dashboard with options to create, update, and manage E-Way Bills.
    • Navigation menus and links guide users through various functionalities.

    Who Should Generate the E-Way Bill

    The generation of E-Way Bills is typically the responsibility of the person who is causing the movement of goods. This responsibility can fall on various parties involved in the supply chain, and the obligation to generate an E-Way Bill arises under specific circumstances. Here’s a breakdown of who should generate E-Way Bills:

    Supplier/Consignor:

    The supplier or consignor of goods is generally responsible for generating the E-Way Bill when the value of the consignment exceeds the prescribed threshold, which may vary across states.

    The E-Way Bill includes details about the goods, such as their description, quantity, value, and place of origin.

    Recipient/Consignee:

    In cases where the supplier doesn’t generate the E-Way Bill, the recipient or consignee may be required to do so. This often occurs when the movement of goods is due to reasons other than a supply transaction, such as for a sales return or transfer between branches of the same business.

    Transporter:

    If the supplier or recipient does not generate the E-Way Bill, the transporter can take on the responsibility. Transporters are required to carry a copy of the E-Way Bill or the E-Way Bill number while transporting goods and can update vehicle details in Part B of the E-Way Bill.

    Note: – Moreover, when the transportation of goods occurs within the State or Union territory and covers a distance of up to 50 kilometres from the consignor’s business location to the transporter’s business location for subsequent transportation, the supplier, recipient, or transporter, as applicable, may not be required to provide conveyance details in Part-B of FORM GST EWB-01.

    Furthermore, if handicraft goods are being transported from one state to another by an individual exempted from the obligation of obtaining registration, the person in question must generate the e-way bill, regardless of the consignment’s value.

    Validity of E-Way Bill

    The validity of the e-way bill commences upon the initial entry recorded in Part-B, which is the first instance of vehicle entry for road transportation or the first transport document number entry for rail/air/ship transportation, whichever occurs first.

    The validity of the E-Way Bill depends on the Type of Transport Distance:

    • Over Dimensional Cargo* One day for distances up to 20 kilometres, and subsequently, an extra day for every 20 kilometres or a fraction thereof.
    • Other than Over Dimensional Cargo One day for distances up to 200 kilometres, and thereafter, an additional day for every 200 kilometres or part thereof.

    *Over Dimensional Cargo refers to goods or a consignment that exceeds the standard dimensions or weight limits set for transportation as per the Centre Motor Vehicle Rules, 1989. This type of cargo is larger or heavier than the typical goods transported on the roads, and it may require special arrangements, permits, or precautions during transit.