Press Release

The GST Council has recommended many changes in GST Rates, Exemption etc vide its 47 Meeting, applicable from 18th July, 2022

Key Changes -

* Food Items with Prepaked come under GST

* Increase Rate for varioud Goods and Services

* GTA can change 5% without RCM (No ITC), 12% (With ITC)

*Rate for Work Contacts to Govt increase from 12% to 18%

* If a GST Registered Person taking Residencial Premises on Rent then have to pay under RCM

* For more changes Check above link official file downloaded from Council wesbite.

https://gstcouncil.gov.in/press-release-cbicpib

Any one of the below condition is satisfied then ITR is compulsory

1.If your total income exceeds the basic exemption limit of Rs. 2,50,000/-

2.If you have assets outside India

3.If you deposit > Rs. 1 crore in a bank account

4.If you incur Rs. 2 Lakh on foreign travel.

5.If your electricity consumption is Rs. 1 lakh per annum.

6.If turnover of your business is more than Rs. 60 Lakh in a year.

7.If gross receipt from Profession is more than Rs. 10 Lakh.

8.If TDS is Rs. 25,000 or more.

9.If TCS is Rs. 50,000 or more.

10.If deposit in a saving bank account Is Rs. 50 Lakh or more .

Big Announcement of Income Tax Department

Applicable for Income Tax Return filed on OR after 1st August, 2022.

Reduction in E-Verification period from 120 Days to 30 Days


What is E - Verification of Income Tax Return -Once you submitted your Tax Return, you have to verify ITR with any of below ways -Aadhar Otp OR Digital Signature Or Netbanking Or Bank EVC OR Demat Account OR Physically send the acknowledgement to Bangalore.

What is the solution of E-verification of ITR if Aadhar and PAN is not linked or Mobile No is not available?
Make a Digital Signature and do the E-Verification in few seconds

What will happened if E-verification of done in time of 30 days ?
- Your ROI (Return of Income will be assumed as not filed and belated ITR have to file with Rs. 5000 late fees as case may be
And, OR
- Your ITR will get Invalid after 31.12.20xx (2022, 2023...etc.)

Here are many ways to Instant E-verify ITR and get ASAP Refund if Aadhar and PAN not linked OR Mobile No with Aadhar not registered -

1. Link Email and Phone no. with Bank Account and generate EVC code and do verification
2. Verify through Net Banking
3. Make a Digital Signature and do verification
4. Use Demat for verification

What is the meaning of my income Tax return shows Invalid Return?

Invalid ITR means IT Return of an Assessee for that assessment year will be treated as like you have not filed your Return for that year.

Invalid Income Tax Return will not be of any use.

The Bank will not accept Invalid IT Return for Loan purpose.

The Income Tax Department will send notices if you had Income more than Rs. 2.5 Lacs for that year.

 

The Reasons why and when your ITR shows Invalid IT Return?

Once your Return is submitted, you have to E Verify ITR (OTP Verification) within the time limit of 120 days.

If you have not verified your ITR within time limit then Income Tax Website mark it as Invalid ITR.

How to rectify Invalid return?

Once your ITR become Invalid ITR, there are following option to rectify itr –

1. File a belated Income Tax Return

 

If the due date of belated Return filling not expired yet then File a new IT Return with late fees as applicable.

 

2. File Condonation of delay in e verification

 

If the due date of belated Return filling has been expired then

 

Step -1

File a Condonation request for delay in e verify itr by selecting valid reason for delay

 

Step -2

E verify ITR with Aadhar otp

 

Once you request has been accepted, your ITR will become Valid and Original ITR

#Income Tax Refund status check

Option -1 Income Tax Refund status can be checked on NSDL website (#Check refund status NSDL)

#Process to check Income Tax Refund Status Search on Google – #NSDL Refund Status then Fill PAN No. and Assessment Year

Option -2 Income Tax Refund status can be checked on E flings Website.

View Filed Return – View Details. 

There are many #issues Income Tax Refund

#Income Tax Refund not Received Yet

Below are the possible reasons for #Income Tax Refund delayed –

1. You have filed your ITR late

2. The Amount of Tax Refund is in lakhs or crores

3. Check worklist on e-filing website, whether Income Tax Department is asking your confirmation for Tax Refund Amount.

#Income Tax Refund awaited

1. Wait for some time

2. Check worklist on e-filing website, whether Income Tax Department is asking your confirmation for Tax Refund Amount.

#Income Tax Refund failure because of #Bank Account validation failure

Reasons for validation failure are -

· Name as per PAN Card and Bank Records not matched

· PAN card not link in Bank Account

Solution –

· Go to the bank and do your PAN Card updated with Bank Account

· Contact your Chartered Accountant or Tax Consultant for #filing Refund Reissue Request on Income Tax E filing website

#Income Tax Refund Hold

Reason for Refund Hold

· You have any previous Income Tax Demand

· Income Tax Refund adjusted against outstanding demand

Solution –

>Contact your Chartered Accountant or Tax Consultant for checking and clear income tax demand

>Once your outstanding demand is removed, your Income Tax Refund will be issued

· #Tax Credit Mismatch

Solution –

>Contact your Chartered Accountant or Tax Consultant #filing rectification request

>Once your rectification request is approved, your Income Tax Refund will be issued

 

Yes, it is true you can file your tax return for three years without late fees.
If you declare your total income up to Rs. 2,50,000, then no late fees is charged.
[Note: Sometimes the utility calculate Late fees based on Gross Total Income ( before 80C....deductions)]


#duedateextension #itrwithoutlatefees #can I still file my tax return #callus

Meaning of #IncomeTaxReturnProcessing?
Once you complete your #TaxFiling, the system of IT Department cross check the details submitted by Taxpayers v/s details available with Income Tax Department System -
Following types of details checked and compared not all details:1. 26AS Data2. Tax Credit Details3. Tax Challan Details4. Tax, Interest & Late Fees calculations etc.
Once the system processed your #ITR, sec. 143(1) Intimation is sent with following informationsA. #Your income tax processed with Refund dueB. #Your Income Tax Return processed with Demand Due
C.Your Income Tax Return processed with no refund/no demand due
Question: #My ITR has not been processed yet?
Reasons-
You Filed your return very late
Amount of Refund or Demand is in lakhs
#How to process your tax return faster:
Please file your return before due date or early
#Call the income tax helpline and request for faster processing

Does #GSTPortal block your GST #ITC?

Sometimes Yes! GST Portal may block working capital of your business in following cases-

When we file #GSTR3B – GST Make Payment – Auto Set off Credit – #FileGST Return. You have #IGSTCredit and do not have #Inter State Sales (#IGST Liability)

The GST Portal may utilize the full IGST Credit in #CGST Liability First that means #SGST Liability will be paid through #SGST Credit and #CGST Credits remain unutilized.

In this case, In future when you have only #CGST Credits in ledger then for every sales bill you have to pay #SGST Payment in Cash.

Note – It can be happened with SGST also. See, in this case you have to make payment of SGST even you have ITC of CGST #How to plan GST or #How to save GST?When you file GSTR 3B, while set off GST Credit, always notice whether GST Portal set –off IGST Credit in CGST & SGST equally or not, if not then do from your hand else see above example, If you #set off CGST & SGST equally from #IGST then you would not have to make payment of SGST.

Disclaimer –this is not a official opinion, this is just experience we gone through for our clients

How to get GST number fast?

#how long it takes to get GST number?

If Aadhar Authentication completed then it takes 3-7 working days to get GST Registration or GST Department communication or notice for additional information and documents.

If Aadhar Authentication not completed then it takes 1-1.5 month to get GST Registration or GST Department communication or notice for additional information and documents.

 

#how many days it take to get GST number?

3-7 working days or 1-1.5 month depends on case

#how much time it takes to get GST number after arn?

3-7 working days

 

Tips to #get your GST Number Faster

#Get Aadhar Card, PAN Card and Mobile No linked

#Get Rent Agreement Registered

#Full Address should be mention in Application with Flat No. Floor, Building Name, Landmark etc

# In case of NOC, mention Relation with Owner and Attach Pan Card of Owner

# In case of NOC Mention Rent Free in NOC

#In Case of NOC, get it Notarized if possible

#for many more call us

Why #GST Application rejected multiple times? Reasons with Solutions –

1. Cases where Aadhar Authentication not done and GST Officers visit your address Solution -

A. #Link your PAN with Aadhar

B. #Link Mobile No with Aadhar Card

2. You had a GST Registration cancelled suo moto Solution -

A. #File Pending Returns

B. #File GSTR- 10 Final Return with Late Fees

3. Your office is Co-working Space Solution -

A. Ask your Landlord, how many #GST Registration taken on your Address?

B. Get your #Rent Agreement Registered

C. Visit #GST Department and convince them with proper documents

4. Existing GST Number on your office Address Solution -

A. Ask your Landlord about previous tenant and contact him and get it changed through the help of Landlord

B. Get your Rent Agreement Registered

C. Visit GST Department and convince them with proper documents

5. Short Address on #Electricity bill Solution -

A. If possible, correct your #Light bill

B. Attach additional documents light ownership Documents

C. Mention full address in application each and every column should be filled.

D. Visit #GST Department and convince them with proper documents

6. Mismatch between Rent Agreement, Ownership Documents & Light Bill in term of Name, Address, etc. Solution -

A. If possible, correct your Light bill

B. Mention full address in application each and every column should be filled.

C. Visit GST Department and convince them with proper documents

7. Professional Tax Registration not taken PTEC Solution -

A. If possible, apply for PTEC

B. Visit GST Department and convince them with proper documents

8. GST Department is not satisfied Solution -

Visit GST Department and convince them with proper documents

9. Many More reason – Contact US

#GST Application Rejected #GST Application rejected without reasons

#GST Application rejected multiple times #GST Department not issuing GST Certificates

Disclaimer –this is not a official opinion, this is just experience we gone through for our clients

Series: how we got GST Registration for complex cases Case No. 1

XYZ was from Bihar and running a Construction business in Mumbai :-

To save CGST & SGST Credit from Maharashtra, we suggested for taking a GST Number for Maharashtra as Place of Business was Maharashtra as per GST Rule.

It was just a new business so taking a Rental office was very costly and not practical.

So he approached his friend to take a GST Number on friend’s owned property (Rent Free with friend’s consent).

The Friend signed the NOC for GST Registration and given PAN Card for signature verification during filing application for GST Registration.

 

But following Queries raised on application of New Registration:-

Get a Affidavit for ownership and Rent Free Consent Attested by the Executive Magistrate.

 

Common Mistakes while resubmitting the application: –

Wrong drafting of Affidavit

Affidavit signed by Applicant not owner of property

Uploaded Notarized Affidavit

 

What we have done:

We provided exactly what the Department asked for

We had drafted a proper affidavit and guided the client where to sign, where to go, what to carry (Photo, Print on Stamp Paper and Legal Paper), which party will go there (Owner and Applicant) not his or her spouse…etc.

Within single day we got the Signed affidavit and resubmitted and same day got the registration.

 

Tips -

Department will not look at additional irrelevant documents if required document not submitted.

Always provide the exact documents and details the department asked for.

Contact Us for any query or any GST Registration.

Series: how we got GST Registration for complex cases Case No. 2

Name Mismatch & Previous GST Registration cancelled Suo-moto:-

1. XYZ was running a retail business in Mumbai

2. From 2017 to 2020, he was having a GST Registration as migrated from Sales Tax (VAT) to GST

3. GST Registration was cancelled suo moto by the department due to non filings of Returns (Mr. XYZ also agreed as he discontinued his business due to COVID Impact)

4. Now in 2022, he started a new business and wanted a GST Registration

 

Complexion in case:-

· He was having 2 premises on his name but there was mismatch in the name as per PAN Card and as per Electricity bill for both the property

· His 2-3 previous applications by other consultants were already rejected by the department

 

What we suggested:-

· We attached a clarification letter and pan card & Aadhar card along with electricity bill for name mismatch.

· Rectified the mistakes done by the previous consultants

But still following Queries raised on application of New Registration:-

· Please explain why your previous registration was cancelled

· Please file your pending returns

· Please file your Final GST Return GST Return 10

 

Common Mistakes while resubmitting the application: –

No Explanation given

No Final Return was filed

Given unnecessary and irrelevant documents

What we have done:

We provided exactly what the Department asked for

We gave proper explanation for cancellation of GST Registration. We filed his previous returns and Final Return after paying late fees of Rs. 10,000. Within single day we resubmitted and same day got the registration.

 

Tips -

In case GST Registration is cancelled file GST Final Return for saving Rs, 10,000 penalty.

Department will not look at additional irrelevant documents if required document not submitted.

Understand the requirement and Always provide the exact documents and details the department asked for.

Contact Us for any query or any GST Registration.

How to withdraw GST cancellation application on GST Portal?

Yes it is possible to withdraw application for cancellation of GST Registration submitted by mistake.

Go to GST Portal - Services – User Services – View my submissions – withdraw

Note – once application is accepted or action taken by the department, cancellation is not allowed. In that case, apply a new GST Registration or do not respond that action.

How to withdraw an application made on GST Portal by mistake?

Yes it is possible to withdraw an made on GST Portal by mistake.

Example of Applications –

Application for Amendments to Non –core fields in GST - like Trade Name, Mob No., Email id etc.

Application for Amendments to Core fields in GST – like Legal Name, Place of Business POB, Owners Details (Note – PAN, State & Constitution cannot be amend)

Refund Application etc.

Process to withdraw –

Go to GST Portal - Services – User Services – View my submissions – withdraw

Note – once application is accepted or action taken by the department, cancellation is not allowed. In that case, apply a new application or do not respond that action.

Disclaimer – This is not an official opinion, this is just our experience. For an official opinion contact us.

How to reset GST user id without email id?

To forget GST user id without Email id

1. Tips & Tricks [Find Exact Email Id, try to get access to this email id and forget User Id]

Steps to check email id in GST Portal –> click on Forgot User Name – Feed GST No. – Sent OTP – Click on Dashboard
– Services – Registration – click on Amendment to Non-Core Fields – See here you will Full Email -Id which is Registered in your GST!

Steps to get access to email id–>

· * Try to Forget Email id & Password , OR

· * Contact your CA or Tax Consultant.

2. Tips & Tricks [Visit GST Department & file application for GST User Name & Password OR for change New Mobile No. and Email id]

Steps to Visit GST Department –> Find your GST Jurisdiction (Location, Building and Officer Desk Details) from GST Portal Under Search Taxpayer option.

Documents Preparation –>

· * Prepare and sign a Proper Application or Request Letter, Self-Attested PAN Card & Aadhar Card.

· * Authorized Signatory should carry Original Copy of Pan Card & Aadhar Card

Disclaimer – This is not an official opinion; this is just our experience. For an official opinion contact us.

Series: how we got GST Registration for complex cases?

Case No. 6 – GST Registration for Rural Area/ Village:- Short Address on Light bill like only Village & Tehsil & District name mentioned on Electricity Bill -

GST Registration issues: -

· GST Registration was to be taken for Village or Rural Area

· The Light Bill does not have full address just Village Name & District Name

What we suggested: -

· We tried to give full address as per documents

· Attach Aadhar Card & Ownership Details of owner along with Electricity Bill

But still Query raised on application for new Registration

· Please mention full address like house no., Building Name, Landmark, Latitude & Longitude etc.

Solutions we provided: -

· As it was a rural area so it was difficult to get above details

· We approached to Panchayat and get the house No

· Got the latitude & Longitude for GST Registration from Google Map

· Resubmitted the application with house no and Latitude & Longitude

Finally, we convinced the department and apply the GST Number and got the GST Certificate in 1 hour only.

Tips & Tricks –

Keep updated your Light bill, telephone bills or utility bill in terms of Name, Address, Pin code, and contacts time to time.

When you apply for a GST Registration for village area mention House no or Plot No & Latitude – Longitude compulsory, it makes your application legible.

Understand the requirement and always provide the exact documents and details the department asked for.

Contact us for any query or any critical cases of GST Registration.

Disclaimer – The above is not an official opinion, we just shared what we gone through for our client’s GST Registrations.

 

 

 

Series: how we got GST Registration for complex cases?

Case No. 7 – GST Registration for Branch Office and is notarized rent agreement valid for gst registration

GST Registration issues: -
· GST Registration was to be taken for Branch in Rajasthan of Private Limited Head Office Mumbai Maharashtra
· Rent Agreement was notarized on stamp paper

 

What we suggested: -
· Attach Latest Electricity Bill, Owners KYCs along with Unregistered Agreement

But still Query raised on application for new Registration
· Submit a notarized affidavit on Rs. 100 stamp paper declaring that the owner that he has not given the same premises to another person also. And no active GST registration taken on above premises.

Solutions we provided: -
· As it was very to take such declaration as It was a rented property so he must have given it rent for previous tenants.
* We approached to his chartered accountant and make him understand the situation and got the Legible Declaration and Resubmitted the application

 

Finally, we convinced the department and apply the GST Number and got the GST Certificate in same day only.

Tips & Tricks –

When you take any commercial property on Rent, request owner to get it registered.

In case owner does not agree then take such affidavit along with agreement and apply GST Registration along with it. It strengthens your application

Understand the requirement and always provide the exact documents and details the department asked for.

Contact us for any query or any critical cases of GST Registration.

Disclaimer – The above is not an official opinion, we just shared what we gone through for our client’s GST Registrations.

 

 

 

Confusions on the applicability of Income Tax Audit

We deal with Special Cases of Income Tax Audit - Series

Ø Income Tax Audit due date for ay 2022-23 is 30^th September, 2022

Ø Income Tax Audit Penalty is up to 1,50,000/-

Tax audit in case of F&O Loss - Individual & HUF

Special and Complex Case No. 1 –

· Last Year FnO Business shown in 44AD shown 6% Profit of F&O Turnover as per Income Tax Act

· Also having salary Income

· This Year there is huge loss in FnO want to carry forward loss

· Intraday Loss was carried forward last year

· This year also Intraday Loss

· Income Tax Audit will be Applicable?

 

Our View for clients –

The Answer is yes

· if Salary Income is more than 2.5 Lacs net of deductions then Audit is applicable.

What if;

· he would be having Business Income in place of salary Income as Loss from Normal Business can Loss be set off against Normal Business Income

· F&O Business is non speculative business like other normal business

· Total Income after set off losses and net of deductions is up to 2.5 Lacs

Then Answer would be no

 

What if;

· This is first time of FnO Transaction OR Last Year FnO loss was carried Forward.

Then Answer would be no

Disclaimer – This is not our official opinion, just sharing Information. Contact us for more official opinion. 

 

 

Series: how we got GST Registration for complex cases? 

Case No. 8 – GST Registration for Rural Area and Is PTRC/PTEC compulsory for GST Registration

GST Registration issues: -

· GST Registration was to be taken for Rural Area Business in Maharashtra, where full address of Property was not available

· Property owner was the father of the proprietor

What we suggested: -

· Tried to mention maximum address, also mention Latitude and Longitude in GST Application and NOC i.e. Consent Letter.

Attach Latest Electricity Bill, Owners and his father KYCs that increase legibility of the docs

But still Query raised on application for new Registration 

· Mention nearby Landmark, Plot No. or Village of the place of Business

· Submit Professional Tax Registration (PTEC/PTRC)

Solutions we provided: -

· As it was very difficult to get nearby Landmark for a rural area, but anyhow talked to Local People and got a proper landmark which was also available on google.

· Further, for PT, we approached to gst department and convinced them to accept PTEC only as PTRC was applicable for new business.

· Applied the PTEC and resubmitted the GST Application.

 

 

Finally, we convinced the department and reapplied the GST Number and got the GST Certificate in one day only. 

Tips & Tricks –

As per Maharashtra PT Act, PTEC is compulsory for a New Business & Profession in Maharashtra, so, if possible, attach PTEC along with GST Application.

Always mention nearby Landmark which is available on Google. It strengthens your application

Understand the requirement and always provide the exact documents and details the department asked for.

Contact us for any query or any critical cases of GST Registration.

Disclaimer – The above is not an official opinion, we just shared what we gone through for our client’s GST Registrations. 

 

 

Confusions on the applicability of Income Tax Audit

We deal with Special Cases of Income Tax Audit - Series

Ø Income Tax Audit due date for ay 2022-23 is 30^th September, 2022

Ø Income Tax Audit Penalty is up to 1,50,000/-

Applicability of tax audit in case of 44AD?

Special and Complex Case No. 2 –

· Last Year Income shown under 44AD Presumptive shown 8% and 6%, as applicable Profit of Turnover

· This Year Turnover is more than 2 Cr.

· Showing profit less than 8% or 6% profit of TURNOVER

· Cash Transactions not more than 5% of Total Receipts & Payments

· Total Income is more than 2.5 lacs

 

Income Tax Audit will be Applicable?

 

Our View for clients –

The Answer is NO

· As per Income Tax if last year 44AD taken and this year profit shown less than 6% or 8%, AND

· Total Income is more than 2.5Lacs - Income Tax Audit is applicable

 

But, this rule is applicable only if Turnover is within 2Cr. Limit 

 

· Therefore, INCOME TAX AUDIT IS NOT APPLICABLE

What if;

· Turnover is within 2Cr. – Tax Audit is applicable

OR

What if;

· Cash Transactions more than 5% – Tax Audit is applicable

OR

What if;

· Turnover is more than 10Cr. – Tax Audit is applicable

Disclaimer – This is not our official opinion, just sharing Information. Contact us for more official opinion. 

My GST Registration showing Suspended Status

Meaning of suspension of GST Registration –

In simple words,

· It does not mean Cancellation of GST Registration

· It is one step before GST Cancellation

· If GST Department has reason to believe that GST No. is liable for cancellation, issues a proper notice

[Once Notice is issued, GST Portal shows Status as Suspended effective from]

Reasons behind GST No. is liable for cancellation OR Suspension –

1) Taxpayer filing nil returns i.e. not doing business transaction Sales and Purchase both

2) Taxpayers not filed returns since last 6 month

3) The Bank Account has not been updated on GST Portal

4) Taxpayer applied for GST Cancellation

Tips & Tricks [How to activate/remove GST Suspension]

Approached to a CA Chartered Accountant for followings –

 

· For Point no. 1 - If Time limit not expired give online reply else visit GST department with proofs

 

· For Point no. 2 – File the pending returns and If Time limit not expired give online reply else visit GST department with proofs

 

· For Point no. 3 – Update Bank Accounts through File Amendment to no core fields and If Time limit not expired give online reply or visit GST department with proofs

 

· For Point no. 4 – Wait for approval of GST Cancellation Order

Disclaimer – This is not an official opinion; this is just our experience. For an official opinion contact us. 

Series: how we got GST Registration for complex cases? 

Case No. 9 – GST Registration for Restaurant Business on Rental Premises

GST Registration issues: -

· One GST Registration was already cancelled

· Office No and Floor No. was not mentioned in electricity bill of Rented Premises case of Co-owners of jointly held property 

What we suggested: -

· Tried to mention maximum address as per Rent Agreement and Light bill 

· For Cancelled Registration, already told the client that query may be raised for filing of pending gst returns and GST Final Return of Suo Moto Cancelled GST registration. 

But still Query raised on application for new Registration

Unexpected Queries asked

· Need Id Proof of Authorized Signatory

· Need Id Proof of Co-owners of the Rented Premises  

Solutions we provided: -

· Generally, Landlords do not provide KYCS i.e. Pan Card and Aadhar Card to Tenants. But we convinced them to write over PAN Card and Aadhar Card (GST and Agreement Purpose)

· For Signatory Id Proof, PAN Card and Passport submitted

· resubmitted the GST Application.

 

Finally, we convinced the department and reapplied the GST Number and got the GST Certificate same day only.

Tips & Tricks –

In Case of rented premises, where Address mismatch between Rent Agreement and Electricity Bill, try to convince Landlord to give PAN Card and Aadhar Card for GST Purpose.

Understand the requirement and always provide the exact documents and details the department asked for.

Contact us for any query or any critical cases of GST Registration.

Disclaimer – The above is not an official opinion, we just shared what we gone through for our client’s GST Registrations. 

Income Tax Return, ITR, Return Fiings, etc.