Last date to apply for PAN for non-individuals
Budget 2018 amended Section 139A of the Income Tax Act making PAN mandatory for non-individuals such as Hindu Undivided Families (HUFs), Body of Individuals (BoI) and so on conducting transactions of Rs 2.5 lakh or above in a financial year. However, the amendment did not notify the last date to apply for a PAN in order to avoid penalty.
In order to rectify it, the tax department issued a notification to notify the last date such non-individuals must apply for PAN. The last date to apply for PAN in such cases is May 31 of the next financial year. Therefore, for transactions conducted in FY 2018-19, the last date to apply for PAN will be May 31, 2019.
Changes in PAN card application form
The application form to apply for PAN card has undergone changes twice this year. The first change was to include the option of transgender in the forms. PAN card application forms, i.e., Forms 49A and 49AA have been amended to include an option for transgender along with 'male' and 'female'. In addition to that, no supporting documents would be required for proof of gender.
Another major change in the forms is doing away with the mandatory requirement of mentioning father's name. An applicant is not mandatorily required to quote his/her father's name if the mother of the applicant is a single parent. This rule came into effect from December 5, 2018.
Father's name not mandatory for PAN application
If you are going to apply for PAN on or after December 5, 2018, then you will not be required to mandatorily quote your father's name in the application form. This rule will be applicable if the mother of the applicant is a single parent. The application form will now give the applicant an option as to whether the mother is a single parent and the applicant wishes to furnish the name of only his mother.
The Central Board of Direct Taxes (CBDT) has amended the income tax rules relating to it through a notification dated November 18.
PAN becomes mandatory for sending money abroad
The Reserve Bank of India (RBI) has tightened the rules by making PAN mandatory for sending money abroad under the Liberalised Remittance Scheme (LRS). The change was announced this year in the bi-monthly monetary policy statement held in June 2018.
Earlier, PAN was not mandatorily required for current account transactions of up to $25,000. The scheme is used by resident Indians to send money abroad for their children's studies and also to invest in foreign stocks and property.
Standard deduction replaces medical reimbursement and transport allowance
Another major tax change that was announced in the Budget this year is the introduction of standard deduction in lieu of medical reimbursement and transport allowance. The latter two components can be easily seen in our salary slips in the previous FYs.
However, starting from FY 2018-19, they will no longer be mentioned in the salary slips because of change in tax laws. The standard deduction of Rs 40,000 introduced in lieu of these two items can be claimed by taxpayers from their salary income at the time of filing ITR.
No TDS on interest up to Rs 50,000 for senior citizens
In a major relief to senior citizens, the government has inserted a new section 80TTB in the Income Tax Act. This deduction is available at the time of filing ITR. However, along with this, the government has amended the TDS deduction rules as per which no TDS is to be deducted by a bank if the interest paid to a senior citizen starting with the current financial year does not exceed Rs 50,000.
Hike in cess liability
The cess levied on tax payments made by you has been hiked by 1 per cent, from 3 percent to 4 percent. This hike has come into effect from April1, 2018. In addition to that, it has been renamed as 'Education and Health Cess.'
Reduction in time limit to revise your ITR
With effect from April 1, 2018, if a person files ITR, he/she will have time till the end of financial year (i.e., March 31) to correct his/her mistake and file the ITR. Thus, if a return is filed in AY 2018-19, then a taxpayer will have time till March 31, 2019 to correct his/her mistake.
Earlier income tax laws allowed a taxpayer to revise his/her return up till two years from the end of the financial year for which the return is filed which has been reduced now.
Aadhaar mandatory for applying for PAN card
The Supreme Court in its judgement on Aadhaar has upheld Section 139AA of the Income Tax Act. According to this section, it is mandatory for individuals to provide their Aadhaar details while applying for PAN. In addition to that, every individual having a PAN on July 1, 2017 is mandatorily required to link his/her PAN with Aadhaar. The last date to link PAN with Aadhaar is March 31, 2019.
Remember, it is also mandatory to quote Aadhaar number while filing your ITR, as per Section 139AA of the Act.
PUBLIC NOTICE:- For misusing of income tax department name and logo.
Advanced Taxway Services Limited is the Authorized e-Return Intermediary with Income Tax Department. As a result of this, Taxway is authorized to lodge tax return electronically to the Income Tax Department using web service provided by them and provide taxation related consultancy to the citizens of the country. The Income Tax Department Logo used is just to refer to the Taxation Industry. Any misuse of the Income Tax Department Logo on other websites, stationery, visiting cards, ID cards etc is forbidden and is highly advanced against by Taxway Group and Income Tax Department. If any branch or person is misusing this logo, we advise them to stop it immediately.
The proposed model of GST and the rate
A dual GST system is planned to be implemented in India as proposed by the Empowered Committee under which the GST will be divided into two parts:
- State Goods and Services Tax (SGST)
- Central Goods and Services Tax (CGST)
Both SGST and CGST will be levied on the taxable value of a transaction. All goods and services, leaving aside a few, will be brought into the GST and there will be no difference between goods and services. The GST system will combine Central excise duty, additional excise duty, services tax, State VAT entertainment tax etc. under one banner.
New Design of PAN Card with Aadhaar No
New Design of PAN Card with Aadhaar No, Effective from 01-01-2017, New design of PAN card with effect from January 1, 2017, New Design PAN Card with QR Code from 1st January 2017, Paperless Aadhaar based PAN.
ITR 5 for AY 2017-18 is also available for e-Filing
ITR 5 for AY 2017-18 is also available for e-Filing. Other ITRs will be available shortly.
ITR 7 for AY 2017-18 is also available...
ITR 7 for AY 2017-18 is also available for e-Filing, ITR 6 will be available shortly.
A unique PINCODE 560500 has been allotted to Centralized Processing Centre (CPC),
A unique PINCODE 560500 has been allotted to Centralized Processing Centre (CPC), Income Tax Department located in Bengaluru by the Department of Post. Taxpayers can henceforth address their mails to “Centralized Processing Center, Income Tax Department, Bengaluru 560500” for the purpose of submission of ITR-V forms and other documents which require physical mode of transmission.