Business Tax Filing Services

Q: What is the difference between business income tax filing and individual ITR filing?

Business tax filing involves computing profits from books, applying Income Tax Act depreciation, identifying disallowances, computing MAT, managing quarterly advance tax, TDS compliance, tax audit coordination, and filing ITR-3/5/6 with DSC where required.

Q: What is the penalty for late payment of advance tax?

Section 234B: 1% per month on shortfall where less than 90% of final liability was paid as advance tax. Section 234C: 1% per month on shortfall at each instalment date (15 June, 15 September, 15 December).

Q: Is a tax audit mandatory for my business?

Section 44AB tax audit is mandatory if turnover exceeds ₹1 crore for business (₹10 crore if cash transactions are minimal) or ₹50 lakh for professionals (₹75 lakh if cash transactions are minimal).

Q: What is Section 43B and what expenses does it affect?

Section 43B restricts deductibility of PF/ESI contributions, GST, taxes, financial institution loan interest, leave encashment, and bonus to the year of actual payment — not accrual. Unpaid amounts before ITR due date are added back to income.

Q: What is the new concessional tax regime for companies?

Section 115BAA: 22% rate (effective 25.17%) for domestic companies giving up specified deductions and MAT. Section 115BAB: 15% rate for new manufacturing companies incorporated after 1 October 2019 commencing production before 31 March 2024.

End-to-End Income Tax Compliance for Companies, Firms, LLPs, and Proprietary Businesses in India

Business tax filing encompasses the complete income tax compliance cycle for commercial entities — from computation of business income and tax liability, through advance tax payment, tax audit coordination, TDS compliance, and annual return filing. Unlike individual tax filing, business tax compliance involves multiple interconnected obligations with strict timelines and significant penalties for non-compliance.

Our business tax filing services cover all types of business entities — private limited companies filing ITR-6, partnership firms and LLPs filing ITR-5, and sole proprietors and professionals filing ITR-3 or ITR-4. We handle the complete compliance calendar from advance tax to final return filing, coordinating with tax auditors where required.

Our Business Tax Filing Services

Business Income Computation

Computing taxable business income from books of accounts — adjusting for depreciation under the Income Tax Act, disallowances under Sections 40/40A/43B, and other modifications required under the Act.

Advance Tax Planning & Payment

Computing quarterly advance tax obligations, planning payments to minimise interest under Sections 234B and 234C, and ensuring instalments are paid by 15 June, 15 September, 15 December, and 15 March.

TDS Compliance Management

Managing monthly TDS deduction, deposit, and quarterly return filing (Forms 24Q, 26Q, 27Q) — covering salary TDS, vendor payments, rent, professional fees, and all other prescribed deductions.

Tax Audit Coordination

Coordinating the Section 44AB tax audit — documentation, Form 3CD preparation, auditor liaison, and upload of audit report on the income tax portal before the 31 October deadline.

ITR Filing for Business Entities

E-filing of the applicable ITR form — ITR-3, ITR-5, or ITR-6 — with all required schedules, digital signature where applicable, and e-verification within the prescribed timeline.

MAT / AMT Computation

Computing Minimum Alternate Tax (MAT) for companies under Section 115JB and Alternate Minimum Tax (AMT) for LLPs and firms under Section 115JC — tracking MAT/AMT credit carried forward for future offset.

Key Business Tax Filing Deadlines

Advance tax: 15% by 15 June · 45% by 15 September · 75% by 15 December · 100% by 15 March
TDS deposit: by 7th of the following month (April–February); 30 April for March quarter
TDS returns (24Q/26Q/27Q): 31 July, 31 October, 31 January, and 31 May quarterly
Tax audit report (Form 3CD): by 30 September (non-TP cases) or 31 October (TP cases)
ITR filing (audit cases): by 31 October of the assessment year
Transfer pricing report (Form 3CEB): by 31 October
Late ITR filing attracts ₹5,000 fee under Section 234F plus interest on outstanding tax

Frequently Asked Questions

What is the difference between business income tax filing and individual ITR filing?

Individual ITR filing (ITR-1 or ITR-2) covers salary, capital gains, and investment income with relatively simple computation. Business tax filing involves computing business profits from books of accounts, applying depreciation under the Income Tax Act, identifying disallowances, computing MAT where applicable, managing quarterly advance tax, maintaining TDS compliance across all payment types, coordinating a tax audit for eligible assessees, and filing in the correct ITR form (ITR-3, ITR-5, or ITR-6) with digital signature where required.

What is the penalty for late payment of advance tax?

Interest under Section 234B is levied at 1% per month on the shortfall in advance tax paid (where less than 90% of the final tax liability was paid as advance tax). Interest under Section 234C is levied at 1% per month on the shortfall at each instalment date (15 June, 15 September, 15 December). These interest charges are in addition to the Section 234F late filing fee and can be significant for businesses with large tax liabilities.

Is a tax audit mandatory for my business?

A tax audit under Section 44AB is mandatory if total sales, turnover, or gross receipts exceed ₹1 crore for business (₹10 crore if cash receipts and payments are each below 5% of total transactions) or ₹50 lakh for professionals (₹75 lakh if cash transactions are minimal). Businesses opting for presumptive taxation under Section 44AD that declare income below the presumptive rate also require a mandatory tax audit regardless of turnover.

What is Section 43B and what expenses does it affect?

Section 43B restricts the deductibility of certain statutory and quasi-statutory payments — they are deductible only in the year of actual payment, not the year of accrual. Affected items include: Provident Fund and ESI contributions; GST, Customs Duty, and other taxes; interest on term loans from financial institutions; leave encashment; and bonus. If these payments are accrued but not paid before the ITR filing due date, they are added back to income and deductible only in the year of actual payment.

What is the new concessional tax regime for companies?

Section 115BAA allows domestic companies to opt for a concessional income tax rate of 22% (plus 10% surcharge and 4% cess, effective rate 25.17%) by giving up specified deductions and exemptions — including additional depreciation, investment allowance, deductions under Chapter VI-A, and MAT provisions. Once opted, this regime applies for all future years. New manufacturing companies incorporated after 1 October 2019 and commencing production before 31 March 2024 can opt for an even lower rate of 15% under Section 115BAB.

Business Tax Compliance — Complete and On Time

Income computation, advance tax, TDS, tax audit coordination, and ITR filing for all business entities.