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43b income tax act

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Vaibhav

Article

70 Points Posted on 27 January 2022

due date of return is 15 March and tax audit due date is 15 Feb then in tax audit clause 26 on the date of tax audit liability is not paid but assessee paid before return then how to deal with the issue how to report in tax audit

Replies (4)

Quick Summary

This discussion clarifies the application of Section 43B of the Income Tax Act, which dictates that certain statutory expenses can only be claimed as an expense in the year they are paid. It addresses the scenario where tax audit liabilities are paid after the audit due date (15 Feb) but before the return filing due date (15 March). Payments made up to the date of filing the tax audit report are reported in clause 26, and it's noted that a tax audit report revision may be necessary after filing the Income Tax Return (ITR).

CA Sumit Bagra

64 Points Posted on 27 January 2022

Whatever payment done till filing of tax audit report will be reported in clause 26.

Priya Sharma

Account Manager

120 Points Posted on 27 January 2022

Whatever payment done till filing of tax audit report will be reported in clause 26.

And than Tax audit report revision after filing return

debora M

BUSINESS DEVELOPMENT MANAGER

1382 Points Posted on 27 January 2022

Section 43B of the Income Tax Act states that only certain payments can be claimed as an expense in the year which they have been paid and not in the year in which the liability to pay such sum was incurred. This means that certain statutory expenses are allowed to be claimed in the year of payment only.

Nidhi

Chief Accountant

1673 Points Posted on 28 January 2022

Whatever payment done till filing of tax audit report will be reported in clause 26.

And than you are required to revise the Tax audit report after filing ITR