- Consult your CA earlier than later
- File return of income disclosing true income in time
- Offer to tax each and every kind of income including exempt incomes like agricultural income.
- Include income of non-working wife and minor child in total income
- Always follow the words in the statute (Income tax Act)
- Pay your taxes in advance during the relevant previous/financial year itself to enhance tax rating
- Always match TDS with gross receipts
- Submit statutory forms for deduction upfront else may endanger claim
- Make full and true disclosure of primary facts in the ITR and place all materials at the earliest opportunity
- Question territorial jurisdiction of the AO upfront on receipt of any communication
- Never open all your cards before the Assessing Officer
- Never fail to deduct tax wherever and whenever applicable
- Apprise Income Tax Department for any change in address
- Keep good record of transactions to establish any loss incurred whenever so required to do
- Do not make cash deposits or cash payments in the books of account and the bank
- Demarcate in books statutory held CSR expenses from expenses incurred under a voluntarily assumption of responsibility.
- Assessment order passed in respect of any year and findings arrived at in one year applies to that year only.
- What is to be brought to tax in an assessment is the real profits of a business in their normal and natural sense, in a sense in which no commercial man will misunderstand.
Happy CA day,
CA Gopal Nathani, dailytaxreporter.com