Tax Audit Criteria for FY 2020-2021

Audit, Income Tax
Introduction Section 44AB of the income tax act, 1961 lays down the conditions for applicability of tax audit. Tax Audit has been an important tool to increase the efficiency of tax administration and curb the menace of tax evasion. However, recently the government has taken many steps towards relaxing the compliance burden of small taxpayers and has been committed to increase the ‘ease of doing business’ .The provisions of applicability of tax audit have undergone major amendments vide Finance Act 2016 and 2020. Albeit the provisions were made to reduce the compliance burden, they have increased the confusion among the taxpayers regarding applicability of tax audit. The author tries to analyze the various provisions relating to applicability of tax audit so as to provide clarity on the subject. 1. Tax…
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Major Income Tax Proposals in Budget 2021

Budget, Income Tax
Major Income Tax Proposals in Budget 2021 1. No Income tax returns for senior citizen of 75 year or above age where the total income consist only of pension and interest income 2. Income tax returns will have prefill data of capital gains from listed securities, post office interest, Interest income, Salary etc,. 3. Increase in tax audit limit from Rs. 5 crore to Rs. 10 crore if more than 90% transactions are made digital mode and increase in tax Audit Exemption Limit for NRIs who carry out 95% of their transaction digitally, to Rs. 10 crores 4. Introduction of Faceless for Income tax appellate tribunal. A National Faceless Income Tax Appellate Tribunal Center to be constituted, wherein all communication between the Tribunal and the Appellant shall be electronic. Where…
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FY 1920 Tax Returns and Tax Audit Due Dates extended

Income Tax
FY 1920 Tax Returns and Tax Audit Due Dates extended The extended Due Dates are as below: Income Tax Returns FY1920 Non Audit Cases - 31 Dec 2020Income Tax Returns FY1920 Audit Cases - 31 Jan 2021Income Tax Returns FY1920 Patners whose Firms are required to be audited - 31 Jan 2021Tax Audit Report FY1920 - 31 Dec 2020Audit Reports w.r.t to Domestic / International Transactions - 31 Dec 2020Payment of Self Assessment for FY 1920 where Tax Liability is upto Rs. 1 Lacs - 31 Jan 2021
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