Deadline Alert! Income Tax Compliances Due on 7th November-TDS/TCS, Equalisation Levy, STT, CTT and Form 27C
Adhering to Income Tax Compliance Deadlines is key for businesses to avoid penalties, interest charges and other legal repercussions. Read on to know the requisite deadlines for the month of November, 2024:
Importance of Compliance and Adherence Compliance and adherence to due dates while filing income taxes are essential for both individuals and businesses to avoid penalties, interest charges and other untoward legal repercussions that may arise from non-compliance. Today’s Tax landscape is highly specific and elaborate, businesses and individuals need to ensure timely tax payments...
- Importance of Compliance and Adherence
Compliance and adherence to due dates while filing income taxes are essential for both individuals and businesses to avoid penalties, interest charges and other untoward legal repercussions that may arise from non-compliance.
Today’s Tax landscape is highly specific and elaborate, businesses and individuals need to ensure timely tax payments to ensure financial responsibility, maintain cash flow, and contribute to a positive compliance history. A positive compliance history can be highly beneficial during audits or assessments.
- TDS/TCS Payment Due Date for October 2024
Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) are two forms of Indirect Taxes imposed by the Government to ensure tax compliance by businesses and individuals alike.
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TDS intends to collect tax from the income received by an individual or business. Here, any Person required to make payment to another, withholds a percentage of the amount payable to the other entity and remits it to then Account of the Central Government.
TCS on the other hand is collected by a seller of certain goods from the buyer of goods. The tax amount is collected over and above the sale price of the good and remitted to the Government.
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TDS and TCS are required to be deposited to the government on or before the 7th of each month for the previous month, failing which shall attract interest at the rate of 1.5% per month from the date of deduction to the date of actual payment or attract late filing penalty of Rs.200/day till date of actual payment under Section 243E of the Income Tax Act, 1961.
Due Date for filing TDS and TCS collected during October 2024 is 7th November, 2024.
- Equalisation Levy Deposit Due Dates
The Equalisation Levy is a tax aimed at non-resident e-commerce operators providing Specified Services in India. Entities deducting the levy from payments made to foreign service providers must deposit it monthly. Specified Services include online advertisements, provision for digital advertising spaces or other facilities or services for online advertising or any other service notified by the Central Government.
Equalisation Levy at a rate of 6% is to be deducted on the consideration received for specified services rendered by a Non-Resident where the consideration for specified services exceeds Rs 1 Lakh.
Equalisation Levy is to be deposited monthly, failing which interest at the rate of 1% or penalties may be levied until realization of payment.
Due Date for filing the Equalisation Levy Deposit collected during October 2024 is 7th November, 2024.
- Securities Transaction Tax (STT) – Due Date for Deposit of Tax Collected in October 2024
The Securities Transaction Tax (STT) is a direct tax levied on the purchase and sale of securities such as shares, bonds, and derivatives listed on the Indian stock exchanges.
STT is collected by a recognised stock exchange or the prescribed person in cases of mutual funds or by the lead merchant banker in case of an Initial Public Offering (IPO) and subsequently paid to the Government. Failure to pay STT can attract interest and other penal consequences.
Due Date for filing the Securities Transaction Tax collected during October 2024 is 7th November, 2024.
- Commodities Transaction Tax (CTT) – Due Date for Deposit of Tax Collected in October 2024
Similar to STT, Commodities Transaction Tax is a direct tax levied on the trading of commodity derivatives in India. Commodity Derivatives vests upon investors the right to buy or sell a commodity for a certain price at a future date. The buyer of such commodity derivatives is not required to pay the entire consideration up front, but is only required to pay a marginal amount. Depending upon the price of the commodity at the time of delivery (spot price), the buyer may make a profit or a loss.
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CTT is to be collected and paid by brokers or dealers of such commodities to the Government. Non-compliance in timely depositing CTT can lead to regulatory consequences and financial penalties.
Due Date for filing the Commodities Transaction Tax collected during October 2024 is 7th November, 2024.
- Form 27C - Declaration under Section 206C (1A) of the Income Tax Act, 1961
Form 27C is a Declaration filed by the seller of goods affirming that they will not deduct TCS from the consideration for the goods paid by the buyer. Only Buyers who obtain and utilize goods for manufacturing, processing, or producing articles or for generation of power are eligible to avail the Benefits of Form 27C by filling in Part-I of the Form which is then submitted electronically by the Seller.
Filing Form 27C helps prevent unnecessary TCS deduction, ensuring smooth cash flow and compliance with tax regulations. Any contravention can result in unnecessary collection of TCS, leading to additional effort to claim refunds or reversals.
Due Date for filing Form 27C issued during October 2024 is to be filed with the Income Tax Department by 7th November, 2024.
- Summary Table for Tax Deadlines due on November 7th.
| Compliance | Due Date | Description |
| TDS/TCS Payment for October 2024 | 7th November 2024 | Payment of TDS and TCS deducted/collected in October. |
| Equalisation Levy | 7th November 2024 | Deposit of Equalisation Levy for e-commerce payments made in October. |
| Securities Transaction Tax (STT) | 7th November 2024 | Deposit of STT collected in October. |
| Commodities Transaction Tax (CTT) | 7th November 2024 | Deposit of CTT collected in October. |
| Form 27C Submission | 7th November 2024 | Filing of Form 27C for declarations received in October. |
Consistently meeting tax deadlines ensures smoother operations, as late filings can lead to disruptions, additional administrative work, and the risk of immense scrutiny by tax authorities. In short, staying compliant with tax deadlines is not just about avoiding penalties but also about fostering a reputation of credibility and reliability, all towards ensuring a robust and productive economy.
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