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Applicability of Tax Compliances in India

Know which tax compliances apply to your business or profession

Tax compliance in India is not the same for everyone. The type of taxes and filings you must follow depend on your business structure, turnover, transactions, and employee strength.

CadreHub helps you understand exactly what applies to you and ensures every deadline is met.

Why Understanding Tax Compliance is Important

Timely and accurate tax compliance helps you:

  • Avoid penalties and notices
  • Maintain credibility with banks and investors
  • Ensure smooth business operations
  • Plan taxes efficiently

Even small businesses must follow certain mandatory tax compliances.

1. Income Tax Compliance

Applicable to:
All individuals, professionals, firms, LLPs, and companies earning income in India.

Key requirements include:

  • Maintaining books of accounts (if turnover crosses limits)
  • Advance tax payment (if tax liability exceeds ₹10,000)
  • Filing annual income tax return
  • Tax audit (if turnover crosses prescribed limits)

Tax Audit Applicability (Indicative):

  • Businesses: If turnover exceeds prescribed limits
  • Professionals: If receipts exceed prescribed limits

2. TDS (Tax Deducted at Source)

Applicable when business makes certain payments, such as:

  • Salaries
  • Professional fees
  • Contractor payments
  • Rent
  • Interest and commission

Compliance includes:

  • Deduct TDS at correct rate
  • File quarterly TDS returns
  • Deposit TDS with government

Almost every growing business becomes liable for TDS.

3. GST Compliance

GST registration becomes mandatory if:

  • Turnover crosses threshold limits
  • You sell goods/services across states
  • You sell through e-commerce platforms
  • You export goods or services

Key GST filings:

  • Monthly/Quarterly GST returns
  • Annual GST return
  • E-invoicing (for large businesses)
  • Input tax credit reconciliation

4. Advance Tax Compliance

Applicable if total tax payable > ₹10,000 in a year.

Advance tax must be paid in instalments:

  • June
  • September
  • December
  • March

This applies to businesses, professionals, and even salaried individuals with extra income.

5. International Tax & FEMA Compliance

Applicable if you have:

  • Foreign income
  • Foreign investments
  • Overseas transactions
  • Import/export activities
  • Foreign investors in your business

Compliances include:

  • Reporting foreign assets and income
  • Transfer pricing documentation
  • FDI reporting to RBI

6. Equalisation Levy & Digital Tax (Special Cases)

Applicable for:

  • Online advertising payments to foreign companies
  • Certain e-commerce transactions involving foreign entities

Important for startups, digital businesses, and agencies.

7. Annual Information Reporting & Reconciliation

Businesses must ensure:

  • AIS / TIS reconciliation
  • Form 26AS verification
  • GST vs Income Tax reconciliation

This reduces the risk of tax notices and scrutiny.

How CadreHub Helps

We simplify tax compliance through:

  • Applicability assessment
  • Compliance calendar and reminders
  • Filing and documentation support
  • Representation for tax notices
  • Ongoing advisory and planning

Unsure which tax compliances apply to you?

CadreHub ensures you stay compliant, organised, and stress-free throughout the year.

Saturday - Thursday : 8:30 am - 10:45 pm

Call for an appointment

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