To do before 31st March

 

Things to do before financial year end 31^st March

In order make your financial statements stronger as on 31st March, we suggest to do following adjustments before year-end:

1. To pay off liabilities appearing in balance sheet as far as possible.
2. Increase assets side as possible.
3. Find out old outstanding accounts in your balance sheet and close it before 31^st March
4. Clear all previous year provisions if not yet closed. (Ex- salary payable, bonus payable, sundry creditor for misc expenses, relative and friends payable accounts etc)
5. Book relevant business expenses before 31^st March if required to adjust profits. Pay off vendors before 31^st March if possible.
6. DO PROFIT ESTIMATE AND PAY ADVANCE INCOME TAX IF APPLICABLE BEFORE 15^TH MARCH
7. Try to pay off all Taxes fully before 31^st March (For ex – Pay all TDS, GST, Prof Tax)
8. Do ledger reconciliation of client and vendors balances. If necessary, pass DN/CN to match balances.
9. Find out GST credit mismatch if any during year and take necessary action in time.
10. Check advances received from clients, close accounts by raising Sales Invoice etc
11. Close vendor advances – demand invoices to vendors if not yet done.
12. For claiming GST credit vendor shall be paid within 180 days from date of invoice. Accordingly make payment to GST registered vendors in time.
13. Deduct and pay TDS wherever applicable as per TDS Rules.
14. Check Cash balance in books and withdraw cash if required, prepare cash vouchers, cash balance in books should not be negative at any point of time.
15. Close all director advances, partner advances by either refund to company or booking relevant business expenses.
16. In case of Pvt Ltd / Public Ltd Company – Director loans and advances shall be NIL as on 31^st Accordingly do necessary adjustments. Either refund loans to company or book business expenses.
17. MSME payment rule – Make payments to MSMED registered suppliers (service provider) within 15 days / 45 days as applicable from case to case basis. Non payment to MSMED supplier will lead to disallowance in Income Tax (Sec 43B(h))
18. Capital Gains Adjustment – Check your capital gains report for the year and if required adjust gains by booking losses, you can consult with your broker for this. This will save your taxes.
19. Stock valuation – Do arrangement for stock taking and valuation. Stock is very important aspect in balance sheet. Any negative stock / non moving / damage stock etc can be addressed at this time.
20. Other misc points – Make payment of insurances, NPS, PPF, mediclaim and other investments if any. This will increase your assets side of balance sheet.
21. Check how can you increase net worth of your company.

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Updated on: 04.03.2025

Disclaimer : This circular is for general information only and does not constitute professional advice. While every effort has been made to ensure the accuracy and completeness of the information provided, Taxwealth is not responsible for any errors, omissions, or decisions made based on this content. Recipients should seek professional advice for their specific needs. Unauthorized use or distribution is prohibited.