Frequently Asked Questions

In most states, including Kerala, GST registration is mandatory once your aggregate turnover crosses ₹40 lakh if you supply only goods, or ₹20 lakh if you supply services. Some special category states have lower limits. You must also register regardless of turnover for inter-state supplies of goods, for most sales of goods through e-commerce platforms (small sellers supplying only within their state have a conditional exemption), and where you pay tax under reverse charge. Voluntary registration is possible below the limit and lets you claim input tax credit.

Most regular taxpayers file GSTR-1 (outward supplies) by the 11th and GSTR-3B (summary return with tax payment) by the 20th of the following month. Businesses with turnover up to ₹5 crore can choose the QRMP scheme and file quarterly while paying tax monthly. An annual return (GSTR-9) applies once turnover exceeds ₹2 crore, and GSTR-9C reconciliation above ₹5 crore. Composition dealers file CMP-08 quarterly and GSTR-4 annually.

A late fee of ₹50 per day (₹20 for nil returns) applies to GSTR-1 and GSTR-3B, capped based on turnover, plus 18% annual interest on any tax paid late. Returns can no longer be filed once three years have passed from their due date. Persistent non-filing also blocks e-way bills and the next GSTR-1, and can lead to cancellation of your registration.

You can claim input tax credit (ITC) on goods and services used for business, provided your supplier has reported the invoice in their GSTR-1 and it appears in your GSTR-2B. ITC is blocked for certain items like motor vehicles (with exceptions), food and beverages, and goods used for personal consumption. Reconciliation of GSTR-2B against your purchase register every month is essential to avoid losing credit.

For individuals without business income, the due date is 31 July. From AY 2026-27, businesses and professionals (including firms and LLPs) that don't need an audit have until 31 August. Companies and businesses requiring a tax audit file by 31 October (extended to 21 November 2026 for AY 2026-27), and transfer pricing cases by 30 November. Missing the deadline means a late fee of up to ₹5,000 (₹1,000 if income is up to ₹5 lakh) and loss of the ability to carry forward certain losses.

The new regime offers lower slab rates but removes most deductions (80C, 80D, HRA, home loan interest). The old regime usually works better only if your deductions and exemptions are substantial. Business owners should also note that regime switching is more restricted for business income. We run both computations for our clients each year before filing.

Yes. If your total tax liability exceeds ₹10,000 in a year, you must pay advance tax in four instalments (15%, 45%, 75% and 100% by 15 June, 15 September, 15 December and 15 March). Professionals can also opt for presumptive taxation, declaring at least 50% of gross receipts as income, if receipts are up to ₹50 lakh (₹75 lakh where cash receipts are within 5%). This is section 58 of the Income-tax Act, 2025, formerly section 44ADA, and presumptive filers can pay all their advance tax by 15 March.

Tax Deducted at Source (TDS) applies when you make specified payments — salaries, contractor payments, rent, professional fees, interest, and commissions — above threshold limits. You must deduct tax at the prescribed rate, deposit it by the 7th of the following month (30 April for March), and file quarterly TDS returns by 31 July, 31 October, 31 January and 31 May. Under the Income-tax Act, 2025, which applies from 1 April 2026, the returns are Forms 138 (salaries) and 140 (other payments), replacing Forms 24Q and 26Q. Non-deduction or late deposit triggers interest, late fees and disallowance of the expense.

Once you hire employees you typically need EPF registration (mandatory at 20 employees), ESI registration (mandatory at 10 employees, for wages up to ₹21,000/month), Professional Tax registration (state-specific, applicable in Kerala), and a TAN for TDS on salaries. Labour Welfare Fund registration also applies in several states.

EPF and ESI contributions must be deposited by the 15th of the following month. TDS on salaries is due by the 7th. Professional Tax deadlines vary by state — in Kerala it is paid half-yearly. Missing these dates attracts interest and damages, and EPF defaults can lead to prosecution.

The UAE has no personal income tax, but employers must pay through the Wage Protection System (WPS), provide end-of-service gratuity, and (for eligible employers) meet Emiratisation quotas. Saudi Arabia requires salaries to be paid through the Mudad wage protection platform, GOSI social insurance contributions for employees (with higher rates for Saudi nationals than for expatriates), and compliance with Saudization (Nitaqat) quotas. Both countries have no PAYE-style income tax withholding for most expatriate employees.

Yes, for India and the UAE. We manage monthly payroll processing, statutory filings and compliance calendars, including payslips, full-and-final settlements, gratuity calculations and year-end reporting such as Form 16 in India (Form 130 under the Income-tax Act, 2025).

All companies registered under the Companies Act must have their accounts audited annually, regardless of size. LLPs require an audit when turnover exceeds ₹40 lakh or contributions exceed ₹25 lakh. A tax audit applies when business turnover exceeds ₹1 crore (₹10 crore if cash receipts and payments are each within 5%) or professional receipts exceed ₹50 lakh. This is section 63 of the Income-tax Act, 2025, formerly section 44AB.

In the UAE, most free zones (DMCC, DIFC, JAFZA and others) require audited financial statements for licence renewal, and the new corporate tax regime effectively makes reliable audited accounts essential for many businesses. In Saudi Arabia, companies generally need an external auditor under the Companies Law, with limited exemptions for small companies, and audited financial statements support Zakat and income tax filings with ZATCA.

A statutory audit is a legal requirement: an independent chartered accountant certifies that your financial statements present a true and fair view. An internal audit is voluntary (or required for larger companies) and focuses on improving processes, controls, and risk management. Many of our SME clients use periodic internal audits to catch errors and fraud risks before the statutory audit.

Keep your books reconciled monthly, maintain supporting documents for all material transactions, prepare fixed asset and inventory records, and resolve related-party balances in advance. We provide an audit-readiness checklist and a pre-audit review so the actual audit finishes faster and with fewer qualifications.