Accounting & Taxation Aspects to be Kept in mind before 31st March 2019


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Accounting & Taxation Aspects to be Kept in mind before 31st March 2019

Hello Friends, as we know that this is the month of March 2019 and Financial Year 2018-19, is about to End. Lets have a list of some Points to be Kept in mind before 31st March 2019 in order to ensure smooth year end closing.

Accounting & Taxation Aspects to be Kept in mind before 31st March 2019

Accountancy Perspective

a.) Reconciliation of all Bank Accounts with Bank Statement and making Bank Reconciliation Statement.

b) Doing provisioning for Depreciation as per Income Tax Act 1961 [for calculation of Advance Tax] and that as per Companies Act 2013.

c) Doing appropriate provisioning for the Expenses like electricity , water, telephone etc. and taking the income [for example interest income] on accrual basis.

d) Physical verification of assets as on 31.03.2019 like Stock and cash etc. should be done by management as per the internal controls of the organisation. Also appropriate valuation of stock should be done as on 31st March 2019.

e) Ledger scrutiny of all ledger (specially sundry debtors & sundry creditors) should be done thoroughly. All Long outstanding payables / receivables/Debtors/Creditors should be Written Off.

f) Foreign debtors & Foreign creditors, should be re-valued as per exchange rates as on 31st March 2019.

g) Confirmations should be obtained from respective debtors / creditors / parties to whom loan is given or taken , for outstanding balance, so that accounts can be reconciled. This step is very important for Audit perspective as well.

GST Perspective

a) Pending GST liabilities should be paid to avoid interest and penalty.

b) CBIC has given last chance to rectify mistakes relating to GST Returns of FY 2017-18 & availing ITC for that year, till 31st March 2019. Hence, same should also be taken care of while filing GST Returns of March’ 2019.

c) The Cash ledger, Credit Ledger and Tax Liability ledger on GSTN Portal should be reconciled with books of accounts.

d) All the entries should be done before the year-end relating to Debit notes, credit notes, rate difference, discount, etc and GST should be accounted for, on the same.

e) All services rendered or sales done should be recorded in books of accounts and reported in GST Returns accordingly.

f) GST Reconciliations – between GSTR 1, GSTR 3B and books of accounts & ITC availed in GSTR 3B, accounted in books of accounts and reflecting in GSTR 2A should be made. One can take help of New functionality available on GST portal for Comparison of Liability Declared & ITC Claimed.

TDS Perspective

a) TDS Receivable should be reconciled with Form 26AS, and Form 16A shall be obtained from respective persons for all quarters.

b) TDS payable should be reconciled between books of accounts and Form 26Q/24Q/27Q.

c) TDS deduction on Salaried employees to be considered before crediting salary for month of March’ 2019. Also it is the employers duty to collect the evidence of Investments made under 80C/80D etc. to reduce tax liability.

d) Analyse expense on which TDS has not been deducted, and deduct & deposit TDS thereon, with interest. Accordingly TDS Returns should be revised.

Payment of Advance Tax

100% of Advance Tax for the year is to be paid till 15th March 2019.

Year End Advice for Salaried Employees

a) Individuals are advised to make investments under LIC , Fixed deposits, Mediclaim, etc, if they want to claim deductions under Section 80C / 80D / etc

b) Salaried Individuals are advised to submit all investments proofs (Housing loan certificates , Mediclaim and LIC receipts, house rental receipts for claiming HRA, proofs of any other investments done, etc) to their employers, so that TDS can be deducted accordingly.

Employees are Advised to reconcile TDS Receivable with Form 26AS, and obtain Form 16 from the employer.

Disclaimer: The entire contents of this document have been prepared on the basis of relevant provisions and as per the information existing at the time of the preparation. Although care has been taken to ensure the accuracy, completeness and reliability of the information provided, I assume no responsibility therefore. Users of this information are expected to refer to the relevant existing provisions of applicable Laws. The user of the information agrees that the information is not a professional advice and is subject to change without notice. I assume no responsibility for the consequences of use of such information. In no event shall I shall be liable for any direct, indirect, special or incidental damage resulting from, arising out of or in connection with the use of the information


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