Do you want to know all about tax and VAT filing deadline?
There are several tax filings across the year. Few are monthly, few are quarterly and half-yearly, some are yearly. One of the most important annual tax filing is company tax return submission which includes company tax calculation. We have online tax course on company tax calculation and return preparation where we have showed the calculation from a company financial statements.
We are very concern about return submission because failing to do so within prescribed time consequences the penalty and punishment. That’s why we who are working in the accounts and finance department or responsible person in each company try to file tax return timely to save penalty and punishment.
But the reality is that sometimes we missed the deadline.
You are not alone.
It may be someone may not aware about all of the tax filings to the tax authority as per tax law. Or someone is aware but confused about the date of reporting to the NBR or have not familiar with the appropriate reporting format as per Income Tax Rules 1984.
You may know that what are required to maintain in income tax is described in section of Income Tax Ordinance 1984 and the prescribed manner and form are as per Income Tax Rules 1984.
So, when we will submit or file any tax report then we have to go rules to comply the manner and format of tax law.
Today, I will discuss all of the tax filings requirement as monthly, quarterly, half-yearly and yearly according to section and rules of Income tax Ordinance 1984, so that you could check your tax filing requirement.
I have made a video on this topic and uploaded in YouTube. You may watch the video.
The list will also include the tax filing deadlines so that it can help you to book your calendar to comply the tax filing to avoid penalty and punishment as per tax law.
Monthly tax filing
a) Statement of tax deducted or collected at source
Statement of tax deducted or collected at source as per section 58 requires to submit within 20th day of the month following the end of the month in which the deduction or collection is made.
The prescribed format has been provided in the rule 18. So please open you tax manual part II and go to the rule 18, you will get the format. Based on that format, insert your information and submit duly to comply the tax law.
b) Statement of deduction of tax under the head ‘Salaries’
Statement of deduction of tax under the head ‘Salaries’ as per section 50 have to be submitted within 20th day of the month following the end of the month in which the deduction has been made.
The prescribed format has been provided in the rule 21. So please open you tax manual part II and go to the rule 21, you will get the format. Based on that format, insert your information and submit duly to comply the tax law.
c) Filing of VAT return
VAT return under section 64 of Value Added Tax and Supplementary Duty Act 2012 shall file the return for each tax period i.e. one calendar month within a period not exceeding 15 days after such tax period expires. In case of public holiday, the return may be submitted the next working day of such day.
Every person, registered or enlisted or required to be registered or required to be enlisted shall file in such a manner as may be prescribed under rule 47 of Value Added Tax and Supplementary Duty Rules 2016.
The registered person shall submit VAT return in ‘Mushak-9.1’ form and the enlisted person shall submit Turnover Tax return in ‘Mushak- 9.2’ form.
Quarterly tax filing
Instalment of advance tax
Instalment of advance tax as per section 66 shall be payable in 04 equal instalments on the 15th day of September, December, March & June of the financial year for which the tax is payable.
Guess, you know about the advance tax instalment. If you do not know about it. No problem. See the section 64 and 65 to confirm about the eligibility of payment of advance tax through 04 instalments and computation of advance tax respectively.
Half-yearly tax filing
Return of withholding taxes
Return of withholding taxes as per section 75A requires to file twice in a year. For the period January to June withholding tax return shall file within 31 July and for the period July to December shall file within 31 January.
The prescribed format has been provided in rule 24A of the Income Tax Rules 1984. There are couple of tables, please input your all information following the prescribed format.
Yearly tax filing
a) Information regarding payment of salary
Information regarding payment of salary under section 108 shall file before the first day of September each year. A statement prepared in the prescribed form and verified in the prescribed manner mentioning the required information shall require to file to the DCT.
The prescribed form is given under rule 23. Provided that the DCT may extend the date for the delivery of the statement.
b) Statement regarding filing of return by employees
Statement regarding filing of return by employees under section 108A shall furnish the information by the employee to the employer by the 15th day of April each year including Taxpayer’s identification number, date of filing return and serial number provided by the tax authority.
For the above information, responsible person of the company asks to submit acknowledgement receipt of tax return where all the mentioned information is available.
After receiving the above information, responsible person shall furnish the statement by the 30th day of April of each year. The prescribed format is provided in the rule 23A.
c) Information regarding payment of interest other than interest on securities
Information regarding payment of interest other than interest on securities under section 109 shall furnish by the responsible person before 01 September each year. The interest will not include the payment of interest classifiable under the head ‘Interest on securities.
There is also another condition mentioned in the section that if the interest exceeds BDT 15,000 then those interest payments are only reportable in the prescribed form. The form is given in the rule 20.
d) Information regarding payment of dividend
Information regarding payment of dividend under section 110 shall submit by the principle officer of every company before 01 September each year. The prescribed format has been provided under the rule 19 of the Income Tax Rules 1984.
e) Annual return of income for the company
Annual return of income for the company shall file yearly completing the annual statutory audit by the external auditor. The filing of tax return by the company is depends on the income year followed by the company.
In Bangladesh, bank and NBFI follow January to December and other company follow July to June as income year.
The company following the income year ending 31 December require to file return before 15th day of September and who are following 30 June as income year require to submit return before 15th day of January.
There is a flexibility for the foreign company to follow income year aligning with their parent’s income year for the benefit of consolidation of parent accounts. In this case, the return of annual tax filing of such company depends on their year ending date. The prescribed format has been provided in the rule 24.
So, that’s all.
We have got full information about tax reporting including prescribed format and reporting deadline. Hope, the tax filing will be on due time to comply tax law and we will avoid tax penalty and punishment.