Tax Collected at Source (TCS) is an important but often misunderstood concept under the Indian Income-tax Act, 1961. While many taxpayers are familiar with Tax Deducted at Source (TDS), TCS operates on a different principle and applies to specific transactions where the seller or service provider is required to collect tax from the buyer at …
Paying rent above ₹50,000 per month has significant income-tax implications for tenants, even if they are salaried individuals with no business income. To widen the tax base and track high-value rental transactions, the Income Tax Act introduced Section 194-IB, which mandates TDS on rent paid by certain individuals and Hindu Undivided Families (HUFs). Many taxpayers …
The Government’s decision to reduce GST on gyms and fitness centres from 18% to 5% (without ITC) is a landmark reform aimed at promoting affordable fitness and preventive healthcare across India. Effective from 22 September 2025, this move reflects a clear shift in policy thinking, recognising fitness not as a luxury service but as an …
With the rapid growth of cryptocurrency, NFTs, and other virtual digital assets (VDAs), the Indian government introduced Section 194S under the Income Tax Act to ensure tax reporting and collection on such transactions. This section mandates Tax Deducted at Source (TDS) on payments made for the transfer of virtual digital assets. Understanding who is required …
GST compliance is becoming more system-driven every year. The GST Portal now uses automated ledgers and validations to ensure that Input Tax Credit (ITC) is claimed correctly and only when eligible. Two important statements introduced by GSTN, the Electronic Credit Reversal and Re-claimed Statement and the RCM Liability/ITC Statement, directly affect the filing of GSTR-3B. …
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The Goods and Services Tax (GST) law continues to evolve with regular notifications, procedural updates, and technology-driven compliance mechanisms. One such important update is the electronic availability of opt-in declarations for “Specified Premises” on the GST Portal, as notified vide Notification No. 05/2025 – Central Tax (Rate) dated 16 January 2025. This advisory is particularly …
Introduction One of the most frequent reasons for GST notices issued to companies today is the mismatch between GSTR-1 and GSTR-3B. With the GST department increasingly relying on data analytics, automated scrutiny, and system-based comparisons, even minor discrepancies between these two returns are now being identified and flagged. Companies operating in commercial hubs such as …
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Introduction Gurgaon has emerged as a major industrial and commercial hub in Haryana, with a large number of manufacturing units, traders, service providers, and private limited companies operating under GST. While GST was introduced to simplify indirect taxation, non-compliance and procedural mistakes continue to trouble businesses. Many businesses in Gurgaon receive GST notices, late fee …
Continue reading “Common GST Compliance Mistakes Made by Businesses”
Introduction Goods and Services Tax (GST) compliance has become one of the most critical statutory responsibilities for companies operating in India. In dynamic business hubs like Gurgaon, where startups, private limited companies, LLPs, and SMEs are rapidly expanding, non-compliance with GST can lead to serious consequences. These include notices from the tax authorities, penalties, blocked …
The non-disclosure of foreign assets in the income tax return (ITR) has become a serious compliance issue in India. The Income Tax Department has intensified scrutiny and is actively issuing income tax notices for foreign assets not disclosed, even for earlier assessment years. Despite repeated system alerts, email reminders, and public advisories, many taxpayers failed …
