Tax & compliance,
in plain English.

Income tax paid in instalments during the financial year (by 15 June, 15 September, 15 December, and 15 March) when total tax liability for the year exceeds ₹10,000.

For GST purposes, the sum of taxable supplies, exempt supplies, export supplies, and inter-state supplies of a registered person across all registrations in India, excluding taxes.

Annual General Meeting, a mandatory yearly meeting of company shareholders. Must be held within 6 months of the financial year end (i.e., by 30 September for a March year-end).

Annual Information Statement, a comprehensive view on the Income Tax portal showing all financial transactions (interest, dividends, securities, property) linked to your PAN for a financial year.

The MCA form used by companies to file their audited financial statements (Balance Sheet and Profit & Loss) with the Registrar of Companies (ROC) within 30 days of the AGM.

Application Reference Number, the unique tracking number generated when a GST registration application is filed. Used to check the status of the application on the GST portal.

The maximum value of shares a company is legally permitted to issue, as stated in its memorandum of association. Determines the upper limit of paid-up capital.

Central Goods and Services Tax, the portion of GST collected by the Central Government on intra-state (within the same state) supply of goods or services. Always equal to SGST.

Corporate Identity Number, a 21-digit alphanumeric code assigned to every company registered in India on incorporation. Used to identify the company in all MCA filings.

Certificate of Incorporation, the document issued by the Registrar of Companies confirming that a company has been incorporated. Contains the CIN and date of incorporation.

A simplified GST scheme for small businesses with turnover below ₹1.5 crore (₹75 lakh for service providers). Tax is paid at a flat rate on turnover; ITC cannot be claimed; inter-state supplies are not permitted.

Director Identification Number, a unique 8-digit number assigned to every director of a company by the Ministry of Corporate Affairs. Required before any person can be appointed as a director.

An annual KYC filing mandatory for every DIN holder, to be completed by 30 September. Non-filing deactivates the DIN, blocking all MCA filings for the company.

An annual return filed by all companies (except banks and NBFCs) by 30 June, disclosing all outstanding loans, deposits, and amounts above ₹1 lakh received from third parties.

Digital Signature Certificate, an electronic signature used to authenticate documents filed on government portals (GST, MCA, Income Tax). Required for companies and LLPs for most regulatory filings.

An electronic document required for the movement of goods worth more than ₹50,000. Generated on the GST e-way bill portal by the supplier, transporter, or recipient before goods are transported.

A TDS certificate issued by an employer to an employee, showing total salary paid and TDS deducted for the financial year. Mandatory for ITR filing by salaried individuals.

Annual Information Statement on the Income Tax portal showing all TDS deducted on a taxpayer's PAN, advance tax paid, and self-assessment tax. Key reference for ITR filing.

Goods and Services Tax Identification Number, a 15-digit number assigned to every GST-registered entity. Includes state code, PAN, entity number, and check digit.

Monthly or quarterly return for reporting outward supplies (sales). Monthly filers submit by the 11th; QRMP filers submit by the 13th of the quarter-end month.

Auto-populated statement of Input Tax Credit (ITC) available to a buyer, generated by the GST portal based on suppliers' GSTR-1 filings. Used for monthly ITC reconciliation.

Monthly summary return reporting net output tax, ITC claimed, and tax paid. Filed by the 20th (monthly filers) or by the 22nd/24th (QRMP filers) of the following month.

Annual GST return for regular taxpayers, due by 31 December. Summarises all outward and inward supplies, ITC claimed, and taxes paid during the financial year.

Reconciliation statement between audited financial statements and GSTR-9. Mandatory for taxpayers with annual turnover above ₹5 crore; self-certified by the taxpayer.

Harmonised System of Nomenclature code that classifies goods for GST, determining the applicable tax rate. Mandatory on invoices for businesses above prescribed turnover thresholds.

Hindu Undivided Family, a legal entity under the Income Tax Act consisting of members of a Hindu family. Has its own PAN, files separate ITR, and can own property and run a business.

Import Export Code, a 10-digit code issued by the Directorate General of Foreign Trade (DGFT), mandatory for any business importing or exporting goods or services from India.

Integrated Goods and Services Tax, the GST collected on inter-state (across state borders) supply of goods or services. Revenue is shared between Central and State Governments.

When the GST rate on inputs is higher than on the finished output, leading to accumulated input credit that cannot be utilised and must be refunded by the government.

Input Tax Credit, the credit a GST-registered business can claim for GST paid on purchases (inputs) to set off against GST payable on sales (output tax).

Income Tax Return, the annual statement of income, deductions, and tax paid filed by every taxpayer with the Income Tax Department by 31 July (or 31 October for audit cases).

Limited Liability Partnership, a hybrid business structure combining the flexibility of a partnership with the limited liability protection of a company. Governed by the LLP Act 2008.

Letter of Undertaking, a declaration filed by an exporter on the GST portal to export goods/services without paying IGST upfront. Renews at the start of each financial year.

Ministry of Corporate Affairs, the central government ministry that regulates companies, LLPs, and the insolvency framework in India. Companies file annual returns and event-based forms on MCA21.

Annual Return for Private Limited Companies, filed with the ROC within 60 days of the AGM. Contains shareholding pattern, director details, and key management information.

Memorandum of Association, the charter document of a company that defines its name, registered office, objects, and liability. A key document in the incorporation process.

Micro, Small, and Medium Enterprise, business classification under the MSMED Act 2006 based on investment in plant/machinery and annual turnover. Registered via the Udyam portal.

A GST or ITR return filed when there is no taxable activity or income for the period. Mandatory even if there is nothing to report, to keep the registration active.

One Person Company, a Private Limited Company with a single promoter as the sole director and shareholder. Suitable for solo founders who want limited liability without a co-founder.

Permanent Account Number, a 10-digit alphanumeric code assigned by the Income Tax Department to every taxpayer. Mandatory for tax filing, banking transactions, and GST registration.

A scheme (sections 44AD/44ADA/44AE) letting eligible small businesses and professionals declare income at a prescribed rate without maintaining detailed books of accounts.

Quarterly Return Monthly Payment, a GST scheme for taxpayers with turnover below ₹5 crore. Allows quarterly GSTR-1 and GSTR-3B filing while making monthly tax payments via PMT-06.

Reverse Charge Mechanism, a mechanism where the recipient of certain goods or services pays GST directly to the government instead of the supplier charging it.

The process of reinstating a GST registration that the department has cancelled or suspended. Must be applied for within the prescribed time limit after the cancellation order.

Registrar of Companies, the officer under MCA who registers companies and LLPs, receives statutory filings, and enforces compliance with the Companies Act 2013 and LLP Act 2008.

Service Accounting Code, the classification system for services under GST, equivalent to HSN codes for goods. Used in invoices and GST returns to identify the applicable tax rate.

State Goods and Services Tax, the portion of GST collected by the state government on intra-state supply of goods or services. Always equal to CGST.

Simplified Proforma for Incorporating Company Electronically Plus, the integrated MCA form used to incorporate a Private Limited Company, OPC, or Section 8 Company, combining name reservation, DIN allotment, PAN/TAN, and incorporation in one application.

Tax Deduction Account Number, a 10-digit number mandatory for entities that deduct or collect TDS/TCS. Used to deposit TDS challans and file TDS returns.

Tax Deducted at Source, the mechanism by which the payer deducts tax from payments (salary, rent, professional fees) and deposits it with the government on behalf of the payee.

One of 45 categories under the Nice Classification system in which goods or services are grouped when registering a trademark, classes 1 to 34 cover goods, 35 to 45 cover services.

For GST: ₹40 lakh for goods suppliers and ₹20 lakh for service providers (₹10 lakh in special-category states). Businesses above this threshold must register for GST mandatorily.

The online MSME registration portal (replacing Udyog Aadhaar). Free to register; provides a unique URN and access to government MSME schemes, priority lending, and procurement preferences.