Major Financial Tasks You Must Complete Before March 31, 2022

There are some important financial tasks you must complete before the fiscal year ends on March 31, 2022. Here are eight money tasks to complete before March 31st.

1) Submit amended or late income tax returns.

The deadline to Submit belated ITR for the Financial Year 2021-22 is March 31, 2022. The penalty for filing a late ITR may be up to Rs 5,000, according to Section 234F of the Income-tax Act of 1961. Furthermore, the maximum penalty for late filing is Rs 1,000 for taxpayers with total income of less than Rs 5 lakh in a Financial year. Many taxpayers believe that once they have paid their taxes, they are free and clear. Missing the ITR filing deadline, on the other hand, has legal ramifications. For returns filed after the due date, a late filing fee will be levied beginning with the fiscal year 2017-18.

You have last option to file belated ITR for AY 2021-22 within the extended due date of 31st March 2022. Do not wait any longer!. After 31st March 2022 ITR for AY 2021-22  cannot be filed. Even if you are ready to pay late Fees ITR for AY 2021-22  cannot be filed after 31st March 2022.

2) Linking PAN and Aadhaar

If you do not Link your PAN to your Aadhaar number by March 31, 2022, your PAN will become inactive and you will be fined. The penalty will be imposed under Section 234H of the Income-tax Act. Although the government has not yet announced the penalty amount, the maximum fee for integrating PAN with Aadhaar after the deadline would not be more than Rs 1,000.

Furthermore, as of April 1, 2019, it is now mandatory to quote and link an Aadhaar number when filing income tax returns, unless specifically exempted. Make sure that your PAN and Aadhaar are linked so that your trading and demat accounts are not terminated.

3) Know Your Customer (KYC) in bank accounts

From December 31, 2021 to March 31, 2022, the Reserve Bank of India (RBI) has extended the deadline for completing KYC in bank accounts.

A bank customer is required to provide the most recent information, which includes his PAN, address proof such as Aadhaar, passport, and any other information requested by the bank. The Prevention of Money-Laundering Act of 2002 and the Prevention of Money-Laundering (Maintenance of Records) Rules of 2005 require regulated entities to obtain KYC information from their customers.

4) Tax Saving Investments for the Year

Prepare a list of all your tax-saving investments made during the Financial year 2021-22. If you haven’t made any savings investments yet, you only have time until 31st March 2022. One needs to do investments of Rs. 1.5 Lakhs as per Section 80C of Income tax Act in order to get the deduction from the Taxable income. This Tax Saving Investment needs to be done before March 2022.

5) Contributing the bare minimum to a PPF account

If you have a PPF account in your name or the names of your children or spouse, you must deposit at least Rs 500 per year to keep the account active. A dormant account can be brought back to life by paying a small fee and contributing Rs 500 per year. 31st March 2022 is last date to deposit the Contribution for the F.Y 2021-22. Don’t wait till the last date to deposit your contribution.

6) Deadline for KYC for demat and trading accounts

According to a circular issued by Sebi in April 2021, depositories, namely NSDL and Central Depository Services Ltd (CDSL), must ensure that six important KYC attributes are updated in existing demat and trading accounts.

A holder of a demat or trading account must update the following KYC attributes:

•  Name
• Address
• PAN
• Valid email ID
• Valid mobile number
• Income range