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2016
  • Time for filing return has come. If you have received your Form 16, you might be preparing to file your return. When you file your return for Financial Year 2015-16 or Assessment Year 2016-17, you must keep in mind some important changes made in the ITR forms. Just like last year, Income Tax Department (ITD) has once again introduced some changes in the ITR forms for Assessment Year (AY) 2016-17. Here are 3 important changes in ITR Form-1, ITR Form-2 and ITR Form-2A which you should know before you file your tax return:

1. New Schedule for those earning above Rs. 50 lakh:

  • ITD has introduced new section for the super-rich in the ITR forms. There are approximately 1.5 lakh taxpayers who have income above Rs. 50 lakh. They are required to disclose assets like cash in hand, jewellery, bullion, yacht, vehicles, aircraft and immovable property like land and building in their ITR.
  • This move has been taken to ensure that abolition of Wealth Tax does not lead to escape of any income from the tax net.

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2016
  • Around the 15th day of September, December and March we see advertisements from the government requesting all taxpayers to pay Advance tax. And this often makes many of us wonder, “What is Advance Tax”, “Is it applicable to me?” and questions like that. So to get a better understanding let us discuss the meaning, applicability and the most recent changes in the rules for paying advance tax for individuals.
  • As the name suggests, advance tax refers to paying a part of your taxes before the end of the financial year. Also called ‘pay-as-you-earn’ scheme, Advance Tax is the Income Tax Payable if your tax liability is more than Rs. 10,000 in a financial year.
  • Till 31st May, 2016 the due dates and the percentage of instalments of Advance Tax for assessees other than Companies were:
    Due Date of Installments Amount Payable
    1st instalment on or before 15th September Amount not less than 30% of such advance tax
    2nd instalment on or before 15th December Amount not less than 60% of such advance tax after deducting amount paid in earlier installment
    3rd instalment on or before 15th March Entire balance amount of such advance tax

2016
  • Electronic Verification Code (EVC) has been enabled for online filing of appeal before Commissioner (Appeal) in Form 35 for taxpayers not required to file using DSC.
  • Here is the procedure for e-filing /Online Filing of of CIT Appeal in form No. 35 by Individuals and other than Individuals using Digital Signature or by Electronic Verification Code (EVC).

e-Verify Form 35 (Individuals)

  • Login to e-Filing Portal.
  • Click “e-File” – Select “Prepare and Submit Online Form (Other than ITR)”.
  • Select the Form Name as 35 from the drop down and click “Continue”.

2016
  • *if payment consideration (or any part of it)* is received in cash of sale of ANY goods/ provision of any service (exceeding Rs. 2. lac), TCS @ 1% should be deducted:
  • MR A purchases goods from distributor for Rs. 8.00 lac on 10.06.2016, payment of Rs. 795000/- has been made by cheque/RTGS on 11.06.2016, balance 5000/- has been paid in Cash on 12.06.2016. Please note that Seller has to collect TCS @ 1% on Rs. 800000/- (i.e. Rs. 8000/-).
  • This TCS is applicable regardless of the fact whether A is dealer in goods or A purchased for his personal consumption.
  • This new provision is seriously going to affect business cash transactions.

2016
  • Being depressed can make you feel helpless. You're not. Along with therapy and sometimes medication, there's a lot you can do on your own to fight back. Changing your behavior -- your physical activity, lifestyle, and even your way of thinking -- are all natural depression treatments.
  • These tips can help you feel better -- starting right now.
    1. Get in a Routine.
      • If you’re depressed, you need a routine, says Ian Cook, MD. He's a psychiatrist and director of the Depression Research and Clinic Program at UCLA.
      • Depression can strip away the structure from your life. One day melts into the next. Setting a gentle daily schedule can help you get back on track.

2016
  • Are you usually punctual or late? Do you finish things within the time you stipulate? Do you hand in your reports/work on time? Are you able to accomplish what you want to do before deadlines? Are you a good time manager?
  • If your answer is “no” to any of the questions above, that means you’re not managing your time as well as you want. Here are 20 tips on how to be a better time manager:
    1. Create a daily plan. Plan your day before it unfolds. Do it in the morning or even better, the night before you sleep. The plan gives you a good overview of how the day will pan out. That way, you don’t get caught off guard. Your job for the day is to stick to the plan as best as possible.
    2. Peg a time limit to each task. Be clear that you need to finish X task by 10am, Y task by 3pm, and Z item by 5:30pm. This prevents your work from dragging on and eating into time reserved for other activities.

Financial Management