Year end & New Year Challenges
2020-21 ends today
2021-22
begins next day.
BULLET
POINTS
Income
Tax
1. PAN if not linked with Adhaar by 31
March’2021 shall remain inoperative till such period, it is linked. Inoperative
PAN means TDS will be deducted at higher rates, ITR cannot be filed and penalty of 10,000/- may be imposed.
2. 31.03.2021 is last date to
file/revise ITR of FY 2019-20.
3. 31.03.2021 is last date of
investments for deduction u/s 80C or 80D etc for FY 2020-21.
4. 31.03.2021 Is last date to file Q1
& Q2 TDS Returns of FY 2020-21 without Late Fee.
5. Next Year wef 01.07.2021 TDS @ 0.1%
will have to be paid on Purchases of more than 50 Lacs if Turnover in FY
2020-21 exceeded 10 Crore. u/s 194Q.
6. Charitable Institutions/Trusts
already registered with Income Tax Deptt
will have to re- register themselves in 2021-22.
7. Income Tax Audit will not be
required for FY 2020-21 for persons having turnover up to 10 Crores if Cash
Component does not exceed 5% of total Receipts/Payments. Payment received or
made by cheque other than Account Payee Cheques will be counted as cash component
8. ITR of FY 2020-21 cannot be filed after 31.Dec’21. ( means 3 months
lesser period made available next year )
GST
1. Existing LUT for export without
payment of IGST expires on 31.03.2021. Seek renewal for 2021-22.
2. Those who want to opt in or opt out
of QRMP scheme for Q1/2021-22 can do so by 30.04.2021.
3. 31.03.2021 is last date of GST Audit
and filling Annual Return of 2019-20.
This Year’s Finance Bill has scrapped Sec 35(5). GST Audit, therefore stands
abolished for coming years.
4. Those willing to shift to
Composition Scheme for 2021-22 can do so by filling CMP 02 by 31.03.2021.
5. E-Invoicing made mandatory wef
01.04.2021 for dealers with Annual Turnover of 50 Cr or more in any preceding
Year. Those buying from such dealers without
E-Invoice will loose Input Tax Credit on such purchases.
6. Till now HSN code was not mandatory
for dealers up to 1.5 Cr. 2/4 Digits HSN
was required from others. Wef 01.04.2021 4 digits HSN has been made mandatory
for dealers having Turnover up to 5 Cr in 2020-21 for B2B transactions. 6
Digits HSN is mandatory for others both for B2B & B2C transactions. Export Invoices will have 8 digits HSN as per
the requirement of FTP (Foreign Trade Policy). HSN details will have to be
given in GSTR1 also. Those who do not follow new HSN rules , will face penalty
of 50,000.00 u/s 125 along with other liabilities.
7. QR code for B2C transactions for
dealers having turnover more than 500 Cr
in any preceding year is mandatory wef
01.04.2021.
Companies
Act
·
Every
Company which uses software to maintain its accounts, shall use such accounting software which has
edit log of each and every transaction, every change made in books of accounts
along with the date when such changes were made and ensuring that audit trail cannot be disabled. (Applicable from 01.04.2021)
Very well written and insightful Anshul
ReplyDeleteNicely written and insightful.
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