Direct Tax Health Check Service

Direct Tax law in India is ever evolving and updated/refined through amendments proposed every year vide Finance Bills and notifications/circulars issued time to time. It is also impacted by judicial precedents established by rulings of various Appellate Authorities and Courts. Thus to make sure that the business is keeping pace with tax compliances, MBG Corporate Services can assist through “Direct Tax Health Check Service” in following ways:

• Help improve awareness of tax compliance.
• Identify possible risks and hidden tax exposures.
• Providing recommendations to mitigate the tax risks.

In specific, the scope of service that shall be provided by us shall include the following:

• Analyzing the nature of the business/profession carried on by the entity and determining the various applicable Direct Tax compliances.
• Review of direct tax positions adopted in preparation of Tax computation and Filing of Income Tax return on the basis of following documents:
  • Financial statement;
  • Tax computation;
  • Tax Audit report;
  • TP Certificate;
  • TP report.
• Checking for material non-compliances, if any, in filing of corporate tax returns, withholding tax returns and tax audit reports etc., if applicable.
• Checking whether the TDS/TCS is being deducted/collected on the transactions on which TDS/TCS is required to be deducted/collected.
• Checking whether the TDS/TCS deducted/collected is being deposited to the Government treasury within due time.
• Reviewing Form 15CA/15CB for making overseas remittances, wherever applicable are being filed or not.
• Analyzing whether any advance tax liability is arising and if so, then whether the same has been deposited within due time.
• Whether the company has opted for taxation under section 115BA/115BAA/115BAB, if yes, then whether the relevant forms has been filed.
• Checking Transfer Pricing Compliances.
• Checking the eligibility criteria of the Deductions/Allowances claimed and whether they are within the prescribed time limits.
• Checking whether all the disallowances have been made and properly disclosed in the ITR.
• Analysis of the set off and carry forward of the business losses/losses under any other head of income, unabsorbed depreciation and credit of Minimum Alternate Tax, if any.
• Analyzing the effects of the Income Computation Disclosure Standards (ICDS).
• Checking the Minimum Alternate Tax under section 115JB has been correctly calculated, accordingly disclosed in the ITR and the form 29B are being filed.
• To check the liability of Income Tax, interest and penalty if any.