Gsoftnet

31st March is the Last Day to file Annual ITR of Fin. Year 2011-12.

Dear Friends, you have only a day to submit your Annual Income Tax Return of previous Fin. Year year i.e 2011-12.  In this matter, we are providing you all ITR Forms as published by Income Tax Department.  Today is the last change to submit your return.  To submit your ITR the requisite Return/Forms are available below.
Income Tax Return Forms
ITR
Form Name
ITR Form Description Excel Utility
ITR 1 For Individuals having Income from Salary & Interest. excel icon
ITR 2 For Individuals & HUFs not having Income from Business or Profession excel icon
ITR 3 For Individuals/HUFs being partners in firms and not carrying out business or profession under any proprietorship excel icon
ITR 4 For Individuals & HUFs having income from a proprietory business or profession excel icon
ITR 4S (SUGAM) For Individuals/HUF having income from presumptive business excel icon
ITR 5 For firms, AOPs,BOIs and LLP excel icon
ITR 6 For Companies other than companies claiming exemption under section 11 excel icon

Before filing your Income Tax, you must check the followings:

PPF Scheme & Senior Citizens Saving Scheme - Interest Rates w.e.f. 01.04.2013

RBI has issued a notification bearing RBI/2012-13/458, DGBA.CDD. No. H- 5603 /15.02.001/2012-13 dated March 28, 2013 regarding revision of Interest on the PPF Scheme and SCSS-2004.  The RBI further notified as per followings:

Public Provident Fund Scheme, 1968 (PPF, 1968) and
Senior Citizens Savings Scheme, 2004 (SCSS, 2004) - Revision of interest rates

Please refer to our circular RBI/2011-12/359 dated January 20, 2012 regarding interest rates on small savings schemes, wherein it was indicated that as per Government’s decision on revision of interest on small savings schemes, the interest rates on various small savings schemes for every financial year will be notified by the Government before April 01st of that year.

2. The Government of India has now vide their Office Memorandum (OM) No. 6-1/2011-NS.II (Pt.) dated March 25, 2013, advised the rate of interest on various small savings schemes for the financial year 2013-14. Accordingly, the rates of interest on PPF, 1968 and SCSS, 2004 for the financial year 2013-14, effective from April 01, 2013, on the basis of the interest compounding/payment built-in in the schemes, will be as under:

Scheme
Rate of Interest w.e.f. 01.04.2012
Rate of Interest w.e.f. 01.04.2013
5 year SCSS, 2004
9.3% p.a
9.2% p.a
PPF, 1968
8.8% p.a
8.7% p.a

3. The contents of this circular may be brought to the notice of the branches of your bank operating the PPF, 1968 and SCSS, 2004 schemes. These should also be displayed on the notice boards of your branches for information of the PPF, 1968 & SCSS, 2004 subscribers.

Application of Profit Split Method - Income Tax Circular

Income tax department has issued a circular on application of profit split method to calculate of profits by Split Method which is as under:

It has been brought to the notice of CBDT that clarification is needed for selection of profit split method (PSM) as most appropriate method. The issue has been examined in CBDT. It’s hereby clarified that while selecting PSM as the most appropriate method, the following points may be kept in mind:

1. Since there is no correlation between cost incurred on R&D activities and return on an intangible developed through R&D activities, the use of transfer pricing methods [like Transactional Net Margin Method that seek to estimate the value of intangible based on cost of intangible development (R&D cost) plus a return, is generally discouraged.

2. Rule 10B (1)(d) of Income Tax Rules 1962 (the Rules) provides that profit split method(PSM) may be applicable mainly in international transactions involving transfer of unique intangibles or in multiple international transactions which are so interrelated that they cannot be evaluated separately for the purpose of determining the arm's length price of any one transaction. The PSM determines appropriate return on intangibles on the basis of relative contributions made by each associated enterprise.

3. Selection and application of PSM will depend upon following factors as prescribed under Rule 10C (2) of the Rules:
  • The nature and class of the international transaction;
  • The class or classes of associated enterprises entering into the transaction and the functions performed by them taking into account assets employed or to be employed and risks assumed by such enterprise;
  • The availability, coverage and reliability of data necessary for application of the method;
  • The degree of comparability existing between the international transaction and the uncontrolled transaction and between the enterprise entering into such transactions.
  • The extent to which reliable and accurate adjustments can be made to account for differences, if any, between the international transaction and the comparable uncontrolled transaction or between the enterprise entering into such transactions;
  • The nature, extent and reliability of assumptions required to be made in
Application of a method.

4. lt is evident from the above that Rule 10C (2) of the Rules stipulates availability, coverage and reliability of data necessary for the application of the method as one of the several factors in selection of most appropriate method. Accordingly, in a case, where the Transfer Pricing Officer (TPO) is of view that PSM cannot be applied to determine the arm's length price of international transactions involving intangibles due to no availability of information and reliable data required for application of the method, he must record reasons for non-applicability of PSM before considering TNMM or comparable uncontrolled price method (CUP) as most appropriate method depending upon facts and circumstances of the case.

5. Application of Profit Split Method requires information mainly about the taxpayer and associated enterprises. Section 92D of the lncome-tax Act, 1961 provides for maintenance of relevant information and documents by the taxpayer as prescribed under Rule 10D of the Rules. Therefore, there should be good and sufficient reason for no availability of such information with the taxpayer.

6. Depending upon facts and circumstances of the case, TPO may consider TNMM or CUP method as appropriate method by selecting comparables engaged in development of intangibles in same line of business and make upward adjustments taking into account transfer of intangibles without additional remuneration, location savings and location specific advantages.


Service Tax & Excise Custom Offices also continued on 29th, 30th and 31st March-13

The Central Board of Excise and Custom (CBEC) offices shall be open on 29th, 30th & 31st March, 2013 as usual office hours and withdrawn strike called by the Associations of Superintendent & Inspectors of Central Excise on the same dates.

As well as due to heavy rush to collect Tax as Income Tax, Sales Tax, Service Tax and Excise Custom etc. fir Transfer or Collection RBI has issued a notification and decided to open all Nationalize Banks for clearing on March 29,30 and 31, 2013.

Agency banks doing Government business alone will be permitted to present instruments in the Special Clearing on other participating banks. Other member banks of the Clearing House (including the presenting banks) are required to keep their inward clearing processing infrastructure open during the Special Clearing hours and maintain sufficient balance in their clearing settlement account to meet settlement obligations arising out of the Special Clearing.

Adjustment of Refunds Against Demand - CBDT

SECTION 245 OF THE INCOME-TAX ACT, 1961 - SET OFF OF REFUNDS AGAINST TAX REMAINING PAYABLE - DIRECTIONS OF HON'BLE DELHI HIGH COURT IN THE WRIT PETITION (CIVIL) NOS. 2659 & 5443 OF 2012 - ORDER DATED 14-03-2013*

LETTER [F.NO.DIT(S)-III/CPC/2012-13/ DEMAND MANAGEMENT], DATED 21-3-2013

Please refer to the above mentioned subject.

   As per Hon'ble Delhi High Court's Order dated 14-3-2013, the Department requires to follow the procedure prescribed u/s 245 before making any adjustment of refund payable by the CFC, Bengaluru. Accordingly, the assessee must be given an opportunity to file response or reply and the reply will be considered and examined by the Assessing Officer before any direction for adjustment is made. The process of issue of prior intimation and service thereof on the assessee will be as per the law. The assessee will be entitled to file their response before the Assessing Officer mentioned in the prior intimation. The Assessing Officer will thereafter examine the reply and communicate his findings to the CPC, Bangaluru, who will then process the refund and adjust the demand, if any payable.

2. The number of high refund cases where demand is outstanding and also intimation u/s 245 has been issued by the CPC, Bengaluru, pertaining to each CCIT(CCA) region is being forwarded as per the enclosed Annexure I. The detailed list is also available on i-Taxnet on the following path:

Resources -l Downloads - l DIT_SYSTEMS - l REFUND_ERETURNS_PROCESSING_CPC_AY2012_13 (File Name) PANS-AY-2012-13_NOTICE-US-245-SENT.zip

3. It is requested to issue directions to the Assessing Officers under respective charges to make compliance of the aforesaid order and communicate its findings on adjustable demand to CPC, Bengaluru, who will then process the refund and adjust the demand. The communication to CPC, Bengaluru, may also be give on its e-mail id: cit.cpc.bangalore@incometaxindia.gov.in

Download your Form 26AS or PAN Ledger before filing of Annual Income Tax Return.

Income Tax Department facilitates a PAN holder to view its Tax Credit Statement (Form 26AS) online. Form 26AS contains
  • Details of tax deducted on behalf of the taxpayer by deductors
  • Details of tax collected on behalf of the taxpayer by collectors
  • Advance tax/self assessment tax/regular assessment tax, etc. deposited by the taxpayers (PAN holders)
  • Details of paid refund received during the financial year
Details of the High value Transactions in respect of shares, mutual fund etc.
The Tax Credit Statement (Form 26AS) are generated wherein valid PAN has been reported in the TDS statements.

 Tax Credits Statement (Form 26AS) can be viewed/accessed through 3 ways :
 
1. View Tax Credit from https://incometaxindiaefiling.gov.in
Taxpayers who are registered at the above potal viz. https://incometaxindiaefiling.gov.in can view 26AS by clicking on 'View Tax Credit Statement (From 26AS)' in "My Account". The facility is available free of cost.
For "New Registration", Click on 'Register' on the portal. The registration process is user-friendly and takes minimal time. View Demo
 
2. View Tax Credit (Form 26AS) from bank site through net banking facility

The facility is available to a PAN holder having net banking account with any of authorized banks. View of Tax Credit Statement (Form 26AS) is available only if the PAN is mapped to that particular account. The facility is available for free of cost. View Demo
List of banks registered with NSDL for providing view of Tax Credit Statement (Form 26AS) are as below
      1. Allahabad Bank
      2. Andhra Bank
      3. Axis Bank Limited
      4. Bank of Baroda
      5. Bank of India
      6. Bank of Maharashtra
      7. Canara Bank
      8. Central Bank of India
      9. Citibank N.A.
      10. City Union Bank Limited
      11. Corporation Bank
      12. Dena Bank
      13. HDFC Bank Limited
      14. ICICI Bank Limited
      15. IDBI Bank Limited
      16. Indian Overseas Bank
      17. Indian Bank
      18. Karnataka Bank Limited
      19. Kotak Mahindra Bank Limited
      20. Oriental Bank of Commerce
      21. Punjab National Bank
      22. State Bank of Bikaner & Jaipur
      23. State Bank of Hyderabad
      24. State Bank of India
      25. State Bank of Mysore
      26. State Bank of Patiala
      27. State Bank of Travancore
      28. Syndicate Bank
      29. The Federal Bank Limited
      30. The Karur Vysya Bank Limited
      31. The Saraswat Co-operative Bank Limited
      32. UCO Bank
      33. Union Bank of India
      34. United Bank of India
      35. Vijaya Bank
 
3. View Tax Credit (Form 26AS) from TIN website
The facility is available to PANs that are registered with Tax Information Network for view of 26AS statement. The PAN holder has to fill up an online Registration form for such purpose. Thereafter, verification of PAN holder's identity is done by the TIN-Facilitation Centre personnel either at PAN holder's address or at the TIN-facilitation center that has been chosen by the PAN holder. The verification involves a cost at prescribed rates. Once authorised, the PAN holder can view Tax Credit Statement online.

Complete Procedure to Convert Form 26AS Text File to Excel File.

Challan for Tax Payment (Self Assessment/Advance Tax/TDS etc.)

Status of Quarterly TDS/TCS Statement now available by SMS

Recently NSDL has gives us SMS facility to check your TDS/TCS Quarterly Statement Status.  This facility is available on NSDL-TIN Site if the TDS/TCS Deductor register with NSDL.  This facility provides to TDS/TCS Deductor on their Cell which is put while registration of TAN with NSDL.
 
NSDL is pleased to announce that henceforth, NSDL will send SMS for each quarterly TDS/TCS statement processed at TIN. You just need to quote correct latest mobile number in the quarterly TDS/TCS statement. Status as below is provided in the SMS:
  • Accepted: This status is provided if the statement is accepted by TIN.
  • Rejected: This status is provided if the statement is rejected by TIN.
  • Partially accepted: This status is provided if the statement is partially accepted by TIN.

    The TDS/TCS Deductor can we viewed under the quarterly statement status view available at TIN website for further details.

Important Steps to Upload Your Annual Income Tax Return in XML(s) Form ?

To file a Return electronically, you should prepare the Income Tax Return in the utility certified with Income Tax Department. A zip file containing the XML(s) should be uploaded with DSC either on e-Filing application OR through web-service. 

Steps to upload Bulk Income Tax Return through e-Filing application
  1. Prepare Income Tax Return XML's in the utility certified by Income Tax Department.
  2. ZIP The XML's into a ZIP file.
  3. LOGIN to the e-Filing application and GO TO e-File --> 'Upload Return'.
  4. Browse to select the ZIP file.
  5. Upload the Digital Signature Certificate.
  6. Click on the 'SUBMIT' button.
  7. On successful upload, a Token Number is generated.

 Steps to upload Bulk Income Tax Return through Webservice

  1. Prepare Income Tax Return XML's in the utility certified by Income Tax Department.
  2. ZIP the XML's.
  3. Establish connectivity with e-Filing application through Webservice.
  4. Provide the ZIP file along with Digital Signature Certificate.
  5. On successful upload, a Token Number is generated.

RBI Notification for Revision of Interest rates on 5 Year SCSS,2004 & PPF,1968 Schems

By the Notification No. RBI/2012-13/458, DGBA.CDD. No. H- 5603 /15.02.001/2012-13, Dated March 28, 2013 Reaserve Bank of India has revised Interest rate of PPF scheme and enior citizens saving scheme 2004 w.e.f. 01st April, 2013.  For full information you may read the following notification.

Public Provident Fund Scheme, 1968 (PPF, 1968) and
Senior Citizens Savings Scheme, 2004 (SCSS, 2004) - Revision of interest rates 

Please refer to our circular RBI/2011-12/359 dated January 20, 2012 regarding interest rates on small savings schemes, wherein it was indicated that as per Government’s decision on revision of interest on small savings schemes, the interest rates on various small savings schemes for every financial year will be notified by the Government before April 01st of that year.
2. The Government of India has now vide their Office Memorandum (OM) No. 6-1/2011-NS.II (Pt.) dated March 25, 2013, advised the rate of interest on various small savings schemes for the financial year 2013-14. Accordingly, the rates of interest on PPF, 1968 and SCSS, 2004 for the financial year 2013-14, effective from April 01, 2013, on the basis of the interest compounding/payment built-in in the schemes, will be as under:

Scheme Rate of Interest w.e.f. 01.04.2012 Rate of Interest w.e.f. 01.04.2013
5 year SCSS, 2004 9.3% p.a 9.2% p.a
PPF, 1968 8.8% p.a 8.7% p.a

3. The contents of this circular may be brought to the notice of the branches of your bank operating the PPF, 1968 and SCSS, 2004 schemes. These should also be displayed on the notice boards of your branches for information of the PPF, 1968 & SCSS, 2004 subscribers. 

Profession Tax Return Software Free Download.

Professional Tax is a Tax which is levied by the State Government on the Income earned by the way of profession, trade, calling or employment. Professional Tax in India is collected by some state governments themselves while in several other states which have active Panchayats, the local bodies themselves levy and this tax. This form of tax was first levied in India in the year 1949 and the power to levy Professional Tax has been given to the States by way of Clause (2) of Article 276 of the Constitution of India.

In case of Salaried employee and Wage earners, the Professional Tax is liable to be deducted by the Employer from the Salary/Wages and the Employer is liable to deposit the same with the state government. In case of other class of Individuals, this tax is liable to be paid by the person himself.

Profession Tax is applicable in following states in India and as per state government Profession Tax Rate, it collecte from profession, trade, calling or employment.
1. Maharashtra
2. New Delhi
3. Karnataka
4. West Bengal
5. Madhya Pradesh
6. Tamil Nadu
7. Andhra Pradesh
8. Gujarat

Where you register for Profession Tax ?

After deducting P.T. from Employee every month as per slab then it is necessary to submit annual Profession Tax Return within stipulated time.

Download Latest Annual Profession Tax Return in FORM-III-B

ST-3 Q2 Return Software Free Download and e-Return steps.

Friends Service Tax Assessees who are registered on or after 01.07.2012 for 'All Taxable Services - Other than in the Negative List' or those who have amended their Registration by adding the description 'Other than in the Negative List', are required to file amendment to their Registration online to delete the said description and add the relevant description(s) of Taxable Services available in the drop-down list in the online amendment Form.

Steps for filing of ST-3 Return:
   
I.  Fill up the Return data: Navigate to each field of every section in the sheet to provide applicable data in correct format.  (Formats will get reflected while filling data.)
   
II. Validating Sheets: Click on the ''Validate this sheet"  button to ensure that the sheet has been properly filled in and also data has been furnished in proper format. If there are some errors on the sheet, e-filing utility will prompt you to correct the same.
   
In such cases, e-filling utility will not allow you to proceed further until you rectify the errors.
   
There is "Validate Return and Submit" button on the last sheet "Distributor" for validating all the entries in your return. If you click on this button, utility will validate all the sheets one by one. In case there is some error identified on some sheet, then it will prompt you about all the errors in your return and will ask to revalidate the sheet.
   
III. Generate XML: After all the required fields have been filled in properly and validated, clicking on ''Validate Return and Submit'' button will re-check all the sheets and a new file in XML format will be generated.
   
Both files will be saved in the same folder in your system where e-filing Utility was saved initially.
   
IV. Upload XML file into ACES application: For uploading the XML file generated by the e-filing utility, log into ACES application and access RET > e-filing > upload to upload generated xml file of Return. On Upload screen, provide the required information and browse to select the XML file from the saved location and submit the same.

Now, Central Board of Excise and Customs has released Excel utility of ST-3 for submission of Service Tax return for the period 01.07.2012 to 30.09.2012 on 25.03.2013. Only after doing so, these assessees will be able to file their return for the period July, 2012 onwards Download ST-3 Excel Utility.

Procedure of Converting Form 26AS Text File to Excel File.

Steps to convert Form 26AS .txt file to .xls file
1. File received in .txt format
2. Select the complete Text and copy
3. Selected Text Paste into MS Excel worksheet
4. Select Data
5.Select option Text to columns
6. Select the entire first column “A” in the worksheet
Then see the following screen and do as per instructions.


After completing this process press on "Finish" Button of next  screen.

Now you will got MS Excel file.

Rate of Interest w.e.f. 01.04.2013 on PPF, NSC, SCSS, MIS, POTD reduced.

REVISION OF INTEREST RATES FOR SMALL SAVINGS SCHEMES
WITH EFFECT FROM 01ST APRIL, 2013

Based on the decisions taken by the Government on the recommendations of the Shyamala Gopinath Committee for Comprehensive Review of National Small Savings Fund (NSSF), the interest rates for small saving schemes are to be notified every financial year, before 1st April of that year. Accordingly, the rate of interest on various small savings schemes for the financial year 2013-14 effective from 1-4-2013, on the basis of the interest compounding/payment built-in in the schemes, shall be as under :

Scheme
Rate of Interest w.e.f. 1-4-2012
Rate of Interest w.e.f. 1-4-2013
 Savings Deposit
4.00%
4.00%
 1 Year Time Deposit
8.20%
8.20%
 2 Year Time Deposit
8.30%
8.50%
 3 Year Time Deposit
8.40%
8.30%
 5 Year Time Deposit
8.50%
8.40%
 5 Year Recurring Deposit
8.40%
8.30%
 5 Year SCSS
9.30%
9.20%
 5 Year MIS
8.50%
8.40%
 5 Year NSC
8.60%
8.50%
 10 Year NSC
8.90%
8.80%
 PPF
8.80%
8.70%