New Delhi: It is that time of the year when taxpayers get the last chance to review their tax planning as the current financial year 2021-22 ends on March 31.
It becomes important for salaried employees to complete certain financial tasks before the deadline so as to avoid any penalty or lapse of tax benefits.
Check out the financial actions below before the March 31 deadline
1) Linking aadhaar card and PAN: It is important to note that the last date for linking PAN and Aadhaar is March 31. In the absence of doing so, the PAN will be deactivated and a fine of up to Rs.10,000/- can be imposed on the assessee. Income Tax India tweeted, “Link your PAN and Aadhaar to enable quick and easy e-verification of ITR. The due date for linking your Aadhaar and PAN is March 31, 2022.”
2) Filing of delayed or amended return on or before 31st March 2022: The Income Tax Department has asked taxpayers to check their Annual Information Statement (AIS) or Form 26AS (Tax Credit) to know whether they are required to file Income Tax Returns (ITR).
You can file late return for this financial return on or before 31st March 2022 with a penalty of Rs 1000 or Rs 5000 depending on your income. A fine of Rs 1,000 is levied if the gross income exceeds Rs 2,50,000 and is less than Rs 5. 00,000 If the gross income exceeds Rs 5,00,000 then the penalty is Rs 10,000 but due to the pandemic tax relief has been given and the penalty is Rs 5,000.
Also, note that you cannot file ITR either physically or electronically after March 31, 2022, for the relevant financial year.
4) Payment of Advance Tax: Also, note that the last installment due date for payment of advance tax is March 15, 2022. However, the assessee can deposit advance tax for the financial year 21-22 anytime on or before 31 March 2022.
5) Investing in Tax Saving Schemes: All taxpayers need to note that the last date to invest in tax saving schemes for FY 21-22 is 31st March 2022. You can save tax by investing up to Rs 1.5 lakh under section 80C. Some of the schemes are Public Provident Fund, National Pension Scheme, Sukanya Samriddhi Yojana etc.
6) KYC UpdateThe deadline for completing KYC in bank accounts has been extended till March 31. The customer has to submit his latest information including PAN, proof of address and other information as desired by the bank. In the absence of meeting the deadline, the bank account may freeze.