Those who fail to do so within the deadline will have to pay Rs 1,000 as fine.
It is important to complete all your pending tasks pertaining to income and finance well before March 31, as the financial year is ending.
As the financial year 2022-2023 is going to end on March 31, it is the time to be aware of the important deadlines pertaining to your income and business to avoid penalties. If you fail to do so, you will have to pay a penalty or face other consequences.
The following are some crucial tasks that must be completed by March 31, 2023.
PAN-Aadhaar Linking: The Income Tax (IT) department has now made linking Aadhaar with your permanent account number (PAN) mandatory by March 31, 2023. If the PAN is not linked by the deadline, it will become inactive on April 1, 2023.
Those who fail to do so within the deadline will have to pay Rs 1,000 as fine. You could do this by paying the amount under challan number ITNS 280 with major head 0021 (Income Tax Other Than Companies) and minor head 500 on the National Securities Depository Limited (NSDL) portal (Other Receipts). While income tax returns can be filed without linking the two, the department will not process the returns until the PAN and Aadhaar are linked.
Advance Tax Payment: According to the IT department, the final installment of the advance tax payment is due on March 15, 2023. If the last day for payment of any advance tax installment is a day when banks are closed, the taxpayer should pay the advance tax on the next working day. In the event of a failure to pay advance tax, the taxpayer will face penalties under Sections 234B and 243C of the Income-tax Act of 1961.
Tax-Saving Investments: The deadline for tax-saving investments for FY2022-23 is March 31, 2023. Tax planning allows you to reduce tax liability and save more money. As a result, you must take advantage of available tax-saving options to save a significant amount of money. So, if you have not made any investment to get the benefits under Section 80C or 80D of Income Tax Act, you should do it before March 31. The investments made in the current financial year will only be considered for tax exemptions.
Pradhan Mantri Vaya Vandana Yojana (PMVY): PMVVY is an insurance-cumulative-pension scheme that provides senior citizens with security. Life Insurance Corporation (LIC) provides this pension plan to meet the insurer’s need for post-retirement financial planning. A senior citizen can invest up to Rs 15 lakh. These proposals will be accepted till March 31, 2023. For ten years, the PMVVY scheme guarantees a 7.4 percent interest rate. The pension can be received monthly, quarterly, semi-annually, or annually by the subscriber.
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