March 2023 Task: The deadline for PAN-Aadhaar linking ends on March 31, 2023, which means if you fail to link your PAN card with your 12-digit Unique Identification Number, your PAN will be invalidated next month. will be disabled. Apart from this, the end of March will also mean the end of the current financial year.
Hence, there are several other financial tasks such as filing of updated Income Tax Return (ITR) for AY 2020-21, advance tax payment and tax saving investments, which need to be completed by the end of this month. Explain that the last date for advance tax payment is March 15, 2023 and it needs to be done on an urgent basis. Five important things to be done in March
PAN-Aadhaar Link
After extending the deadline for Aadhaar-PAN linking, the Income Tax Department has set March 31, 2023 as the new deadline for linking the two important KYC documents. According to the Income Tax Department, the PAN card will become inactive from April 1, 2023, if it is not linked to Aadhaar. PAN-Aadhaar linking is free till March 31, 2023 while a fee of ₹1,000 will be charged for PAN Aadhaar linking from April 1, 2023.
Submission of Update ITR
The last date for submission of updated ITR for FY 2019-20 or Assessment Year 2020-21 is March 31, 2023. It should be noted by the taxpayers that if they fail to meet this deadline of 31st March 2023 then they will not be able to update the ITR.
Advance tax filing
As per the Income Tax Law of India, there is a provision for advance tax on the basis of presumptive income. If the tax liability on the basis of presumptive income exceeds Rs 10,000, then such taxpayer is required to pay advance tax.
- 1st installment June 15 15%
- 2nd installment September 15 45%
- 3rd installment December 15 75%
- Fourth installment March 15 100%
investment to save tax
To save tax, one has to invest in tax saving schemes like Public Provident Fund, National Pension Scheme, Sukanya Samriddhi Yojana to avail tax saving benefits under section 80C. One needs to invest in such schemes to save tax. This will help them to save some amount through this.
Tax saving insurance
Tax and investment experts always suggest an earning individual to take life insurance other than investment options as this is done for your dependents when you are not present to take care of your family members. Therefore, life insurance should be considered as a separate investment option. However, insurance helps an earning individual to claim income tax exemption.
However, as per the new income tax rules that will come into effect from 1 April 2023, income from life insurance policies above the annual premium of ₹5 lakh will be taxable. But, if you buy an insurance policy before March 31, 2023 or with an annual premium of more than Rs 5 lakh, it will not come under the new income tax rule.
