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2018

Frequent Asked Questions on Income Tax Audit

Q.1 What is tax audit?

  • Section 44AB gives the provisions relating to the class of taxpayers who are required to get their accounts audited from a chartered accountant. The audit under section 44AB aims to ascertain the compliance of various provisions of the Income-tax Law and the fulfillment of other requirements of the Income-tax Law. The audit conducted by the chartered accountant of the accounts of the taxpayer in pursuance of the requirement of section 44AB is called tax audit.

  • The chartered accountant conducting the tax audit is required to give his findings, observation, etc., in the form of an audit report. The report of the tax audit is to be given by the chartered accountant in Form Nos. 3CA/3CB and 3CD.

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2018

Audit under GST

Audit under GST is compulsory for all registered dealers whose annual turnover is more than 2 crores. GST Audit is the examination of records maintained by a registered dealer. The audit will mainly focus on three key areas namely i) correctness of data declared by the taxpayer, ii) taxes paid and iii) compliance with GST law. GST Audit must be conducted by a practicing CA or a CMA.

2018

Points to remember while claiming deduction under section 80C

When it comes to availing tax benefits, Section 80C is one of the most popular tools to reduce tax liability. It is particularly popular among salaried individuals who cannot claim the deduction for any expense from the salary income.  Under section 80C one can claim tax relief up to the maximum of Rs. 1,50,000. There are many options available for claiming this deduction like investment in PPF, Mutual Fund, NSC etc. The deduction can also be claimed for certain expenses like tuition fees, repayment of Home Loan etc. However, there are certain conditions which every taxpayer must know while claiming any tax relief under this section.

2018

Frequently Asked Question on Composition Levy Under GST

Q 1. What is composition levy under GST?

Ans. The composition levy is an alternative method of levy of tax designed for small taxpayers whose turnover is up to Rs. 1 crore (Rs. 75 lakhs in case of few States). The objective of composition scheme is to bring simplicity and to reduce the compliance cost for the small taxpayers. Moreover, it is optional and the eligible person opting to pay tax under this scheme can pay tax at a prescribed percentage of his turnover every quarter, instead of paying tax at a normal rate.

2018

Types of Annual Return Forms under GST

In one of our previous blogs, we discussed about the structure of GST Annual Return i.e. GSTR 9. However, apart from GSTR 9 there are other Annual Return forms as well. They are GSTR 9A, GSTR 9B and GSTR 9C. Many of us still wonder what are these different returns? and when to use which form? In this blog, we shall discuss the difference between various GST annual returns.

2018

Checklist for Tax Invoice Preparation under GST

GST Law prescribes specific guidelines regarding issue and format of Tax Invoice by registered dealers. Here is a detailed check list of things to keep in mind while issuing tax invoice. Refer to the following list for further details:

Financial Management