Tax Saving Plans: There is not much time left for measures to save income tax on the income earned during the current financial year. The deadline for some such important measures is ending this month.
How To Save Income Tax: Generally people already take measures to save tax, but not all are equally aware in this matter. Many people keep postponing this as well and time is wasted in this, for which they pay by paying taxes. Paying taxes honestly is an important duty for every citizen, but it is also important to implement legitimate tax-saving measures for your financial health. If you have also postponed it till now, then be careful now, because the deadline for various measures to save tax is very close.
Aadhaar-PAN Link
Almost half of the month of March has passed and with this few days are left for the end of the current financial year. As soon as the financial year ends, the rules of many things will change. The most important change among these is regarding linking of PAN and Aadhaar. The deadline to link PAN and Aadhaar is March 31. If you do not link them before the deadline, then your PAN will stop working. After the deadline, you will also have to pay a fine of Rs 10,000 for this.
Advance income tax
The last date to pay the last installment of advance tax is also near. You have to pay the last and fourth installment of advance tax by March 15, 2023. If taxpayers falling in the category of advance tax payers do not pay it before the deadline, they may have to pay a penalty. Every taxpayer, whose tax liability in a financial year becomes Rs 10,000 or more, has to pay advance tax.
Advance tax has to be deposited in four instalments. The first installment has to be deposited by June 15, the second by September 15, the third by December 15 and the last by March 15. You have to deposit 15% of the total tax as advance tax by June 15. After this, 45% tax has to be paid by 15th September, 75% by 15th December and 100% by 15th March. If you have not yet deposited any installment of advance tax, then you can do it till March 31.
Tax saving investment
People do many types of investments to save tax. Taxpayers also have to submit proof of this. However, you can still claim refund in income tax return by investing. For this, you have to invest in valid instruments before March 31. Deduction of up to Rs 1.5 lakh can be availed under Section 80C of the Income Tax Act.
Updated income tax return
The Finance Act, 2022 has given the facility of new Income Tax Return (ITR) filing, which is named as Updated Return (ITR-U). For this, a new sub-section 8(A) has been added to section 139 of the Income Tax Act. If there is any mistake or mistake in your old ITR or there is any income which you forgot to show, then you can choose the path of updated return.
Apart from this, even if you have not filed the return earlier, you can also use the updated return. Updated returns can be filed up to two years from the end of the relevant assessment year. That is, you have time till March 31 to file updated returns for the last two years.
