Professional Updates

Important changes w.r.t Liberalised Remittance Scheme (LRS) and Tax Collected at Source (TCS) In the Budget this year, certain changes were announced to the system of Tax Collection at Source (TCS) on payments under the Liberalised Remittance Scheme (LRS) and on overseas tour program packages. These were to take effect from 1st July 2023. shall now come into effect from   1st October, 2023. Revised TCS rates on foreign remittance applicable from October 1st, 2023 : The increase in TCS rates; which were to come into effect from 1st July, 2023 shall now come into effect from 1st October, 2023. Till 30th September, 2023, earlier rates (prior to amendment by the Finance Act 2023) shall continue to apply. Comparison of earlier and new TCS rates on foreign remittance Nature of Payment Earlier Rate up to 30th Sept 2023 New Rate from 1st Oct 2023 Upto Rs 7 lakh Above Rs 7 lakh Upto Rs 7 lakh Above Rs 7 lakh LRS for education financed by

Avoid filing ITR for Free: Don't fall for the Trap! Ever come across claims like " File your ITR for free " or " File ITR for just Rs 99 "? If such offers sound too good to be true, you're not alone. This blog aims to shed light on why these claims can be misleading and the underlying reasons behind them Filing your Income Tax Return (ITR) is a crucial task that every taxpayer must undertake. Even though your income is not below taxable limit, filing ITR has its own benefits. While the idea of filing ITR for free may sound appealing , it's important to be cautious and avoid falling into the trap of free ITR filing services that may not deliver the expected results. In this blog, we will delve into the pitfalls of free ITR filing and provide you with valuable insights to ensure you make informed decisions when it comes to filing your taxes. The Risks of Free ITR Filing Services: Explained the potential drawbacks of relying on free ITR filing services: 1 .

The Risks and Consequences of Filing Fake Deductions and Exemptions on Your Income Tax Return Filing an income tax return is an essential responsibility for every taxpayer, and it's crucial to approach this process with integrity and honesty. While the prospect of claiming fake deductions or exemptions may seem tempting to reduce your tax liability, it's important to understand the severe risks and consequences associated with such actions. In this blog post, we'll explore why taxpayers should never claim fake deductions or exemptions on their income tax returns. What is a fake tax refund? A fake tax refund is a refund that is claimed by a taxpayer who has not actually overpaid their taxes. This can be done by providing false information, deductions, exemptions on their tax return that they are not entitled to. Why should taxpayers not claim fake refunds? There are a few reasons why taxpayers should not claim fake refunds. First, it is illegal . The ITD has strict rules aga

MCA Extends Form DPT-3 Filing Deadline, Saving Companies from Additional Fees The Ministry of Corporate Affairs (MCA) has recently announced a significant development regarding the filing of Form DPT-3 (Return of deposits). In light of the transition from Version-2 to Version-3 of the MCA-21 Portal, companies now have an extended deadline to submit their Form DPT-3 without incurring additional fees. This move aims to provide businesses with ample time to adapt to the new portal and fulfill their compliance obligations seamlessly. Let's delve into the details. By extending the deadline, the MCA aims to facilitate a smooth transition for businesses, allowing them to familiarize themselves with the updated system and avoid any undue rush or confusion. Existing deadline for filing DPT-3 was 30th June 2023,  new Deadline is 31st July 2023 In a welcome relief to businesses, the MCA vide General Circular no.06/2023 dated 21st June 2023 has granted an extension for filing Form DPT-3 for

Clarification on MahaRERA Project Registration Introduction: In a bid to address the challenges faced by home buyers, promoters, and developers during the registration of Agreement for Sale/Sale Deed for real estate projects, MahaRERA (Maharashtra Real Estate Regulatory Authority) has issued a crucial clarification through Circular No. 25/2019. This circular aims to provide guidance on real estate projects that are exempted from MahaRERA Project Registration, as per the provisions of the Real Estate (Regulation and Development) Act, 2016. However, despite the issuance of this circular, some promoters have encountered difficulties while registering the Agreement for Sale/Sale Deed and obtaining bank finance for certain projects. To address these concerns, MahaRERA has issued a further clarification on June 09,2023 , which we will explore in this blog post. Background: Circular No. 25/2019, dated 11.10.2019, was issued by MahaRERA in response to complaints and inquiries from both home b

Revised instructions for Joint request under paragraph 26(6) of the EPF Scheme 1952   The Joint Declaration allows an employee to contribute to the EPF scheme even if their salary exceeds the maximum wage limit i.e. Rs. 15000/-. In simple words employees having salary above 15000/- can also become epf member and contribute to EPF scheme with upon filing joint request with EPFO. EPF contribution is mandatory for every employee with salary below Rs.15000/- if he works in a organization registered under EPFO. A Joint request is a document that is signed by an employee and their employer to voluntarily contribute to the Employees' Provident Fund (EPF) scheme. The Joint Declaration is made under Para 26(6) of the EPF Scheme, 1952. Benefits of Joint Declaration under para 26(6) of the EPF Scheme 1952 There are several benefits to making a Joint Declaration under Para 26(6) of the EPF Scheme, 1952. These benefits include: The ability to contribute to the EPF scheme even if your salary exc

Revised monetary limit for   the condonation of delay in filing refund claim and claim of carry forward of losses   The CBDT has issued Circular No. 07/2023 dated May 31, 2023 regarding the condonation of delay in filing refund claim and claim of carry forward of losses under Section 119(2)(b) of the Income-tax Act, 1961 (“the IT Act”).   Circular No. 09 of 2015 (the Circular) dated June 09, 2015 in F. No. 312/22/2015-OT by Central Board of Direct Taxes (the Board)  prescribed comprehensive guidelines on the conditions and procedure to be followed for deciding applications for condonation of delay in filing Returns of Income (RsOI) claiming refund and RsOI claiming carry forward of loss and set- off thereof under section 119(2)(b) of the Income-tax Act, 1961 Now, vide Circular No 07/2023, The CBDT has updated the monetary limits for condonation of delay in filing refund claims and carry forward of losses  as under: The competent authority will accept or reject refund claim or carry f