Complete these 10 important tasks by March 31, including Aadhaar-Pan link and tax saving investment
1. Linking the base page
The last date for linking PAN card with Aadhaar is March 31. If you do not link your page to Aadhaar by March 31, it will become inactive. If a person does not have an active page number, the bank will deduct TDS at the rate of 20% on your income.
2. File a Late or Revised Return
The last date for filing billed or revised Incometax Return (ITR) for 2019-20 is also 31st March. Billed returns are filed after the original deadline for filing returns for a financial year has passed. For this the taxpayer has to pay a penalty of Rs. 10,000.
Revised returns are filed when an error occurs while filing the original return. Billed ITR is filed under Section 139 (4) of the Income Tax Act, 1961 and Revised ITR is filed under Section 139 (5). The billed return has to be filed before 31st March 2021 with a late filing fee of Rs.
3. Book profit from stocks and equity funds
Long-term capital gains over Rs 1 lakh on stocks and equity oriented funds are now taxable. If you have made long term capital gain then Rs. Tax exemption can be availed on long term capital gains up to Rs 1 lakh. Book a profit before March 31 to take advantage of the tax deduction.
For that, you should sell as many stocks and equity funds as you can before March 31 to get a profit of up to Rs 1 lakh. Then reinvest the same money in the next financial year. However in the process of buying and selling you have to pay 1% to the brokerage house. Mutual fund investors do not have to pay this amount, as entry loads are not levied and the entry load does not apply when the funds are sold after one year.
4. Investment to get income tax exemption
If you are planning to invest to avail income tax exemption, you have to invest till March 31. Investments made under several sections of the Income-tax Act, such as 80C and 80D, are tax-exempt. Under Section 80C of the Income-tax Act, tax exemption is available on investments up to Rs 1.5 lakh.
5. KYC of bank and demat account
Demat and bank account holders will have to update KYC by March 31, 2022. Under KYC, the bank asks customers to update their PAN card, address, such as Aadhaar, passport etc. Also requested is a recent photograph and other information. As a rule, your bank account may be closed if you do not update your KYC.
If your demat account does not have KYC, it will be deactivated. This will prevent you from trading in the stock market. Even if a person buys shares of a company, these shares cannot be transferred to the account. This will happen after the KYC process is completed and verified.
6. Deposit minimum amount in PPF, NPS and Sukanya accounts
If you have a Public Provident Fund (PPF), National Pension Scheme (NPS) and Sukanya Samrudhi Yojana (SSY) account, but have not invested in it this financial year, you need to deposit some amount in it to keep the account active. These accounts will become inactive if money is not deposited in PPF and NPS. If you do not deposit the required minimum amount, you will have to pay a penalty to reactivate it.
7. Linking bank account with small savings plans
If you run small savings schemes like Time Deposit, Senior Citizen Savings Scheme or Monthly Scheme at Post Office, you must link these accounts with the bank's Savings Account or Post Office Savings Account by March. From April 1, the money for these schemes will be available in the savings account only. You cannot go to the post office and take interest money in cash. Interest linked money will be transferred electronically upon linking to a savings account.
8. e-kyc for PM Kisan Yojana
Farmers who are availing the benefit of PM Kisan Yojana are required to undergo KYC by March 31. You can also do e-kyc if you wish. Farmers who have not done KYC in PM Kisan account after March 31 will not get Rs 2,000 from Government of India.
9. Submit Form 12B
If you have changed jobs after April 1, 2021, report the TDS deducted from the previous job to the new company through Form 12B. If you do not submit Form 12B by March 31, the company may deduct more TDS, which will be to your detriment.
10. Apply in Pradhan Mantri Awas Yojana
Pradhan Mantri Awas Yojana (PMAY) is a new scheme launched by the Government of India to provide affordable housing to the people. The benefit of this scheme can be availed till March 31. Under the scheme, credit linked subsidy is given to first time home buyers. Up to a maximum of Rs 2.67 lakh. Different subsidies are given to different income classes.
