TAX DUE DATE- OCTOBER 2026

 

S. No	Due Date	Related to	Compliance to be made
1	11.10.2026	GST	Filing of GSTR 1 for the month of September, 2026
2	13.10.2026	GST	Filing for the month of Sept 2026
3	20.10.2026	GST	-Payment of GST for the month of September, 2026 -Filing of GSTR 3B for the month of September, 2026
4	25.10.2026	GST	ITC 04 (Job work) for the half year ended Sept 2026
5	07.10.2026	TDS/TCS (Income Tax)	· Deposit TDS for payments of Salary, Interest, Commission or Brokerage, Rent, Professional fee, payment to Contractors, etc. during the month of September 2026. · Deposit TDS from Salaries deducted during the month of September 2026 Deposit TCS for collections made under section 394 including sale of scrap during the month of Sep 2026 if any Deliver a copy of Form 121(15G/15H), if any to CCIT or CIT for declarations received in the month of Sep 2026, if any
5	31.10.2026	TDS Return	·       Filing of 2nd Quarter (1st July to 30th  September) TDS return.
6	15.10.2026	TCS Return	·       Filing of 2nd Quarter (1st July to 30th  September) TCS return.
7	31.10.2026	Tax Audit	Filing of Audit Reports 3CA, 3CD, 3CEB for the Financial Year 2025-26
8	31.10.2026	Income tax	Filing of income tax return for the Corporate assesses (or) non-corporate assesses (Whose books of accounts are required to be audited U/s 44AB of IT act 1961 (or) working partner (of a firm whose books of accounts required to be audit (in case of Assesses not having international or specified domestic transaction).

Emerging Themes from 2026 GST Litigation

The 2026 GST decisions reveal several consistent judicial trends:

Greater Emphasis on Natural Justice

The courts have repeatedly stressed that tax authorities must strictly adhere to procedural safeguards. Whether in the context of Show Cause Notices, valuation disputes or appellate remedies, the judiciary has emphasized fairness and transparency. [taxbymanis...ogspot.com], [taxbymanis...ogspot.com]

Bonus Preference Shares: A New Route for Unlocking Surplus Reserves

 Introduction

Several prominent listed companies, including Siyaram Silk Mills, TVS Motor Company, and Sundaram-Clayton, have recently adopted an innovative mechanism for rewarding shareholders and optimising capital structure through the issuance of bonus redeemable preference shares under schemes sanctioned by the National Company Law Tribunal (NCLT). 

When the CFO Leaves, Who Owns the Digital Keys?

- CA SAKSHI AGARWAL  

 Let’s start with a small story in this regard. Client B, a rapidly growing mid-sized manufacturing firm, recently faced the sudden and less-than-amicable exit of their CFO, Mr. A. Over his five-year tenure, Mr. A had become the absolute nerve center of the company’s financial and regulatory ecosystem. He handled everything: MCA filings, GST portal access, income tax e-filing, and primary banking authorizations.

 

FAQs issued by the Employees’ Provident Fund Organisation on implementation of the revised Provident Fund wage ceiling

 We are pleased to share our latest EY Alert on the Frequently Asked Questions (FAQs) issued by the Employees’ Provident Fund Organisation (EPFO) regarding the implementation of the revised Provident Fund wage ceiling from INR15,000 to INR25,000 per month, effective 17 September 2026.

5 GST Judgments in 2026 Every Business Should Know

 The year 2026 has already witnessed several landmark GST decisions that are reshaping the contours of tax litigation and compliance in India. These rulings highlight an emerging judicial trend: tax authorities must act strictly within the powers granted by law.  

Supreme Court Ruling on GST SCNs – A Landmark Clarification

In M/s G.R. Infra Projects Ltd. v. State of Madhya Pradesh (Civil Appeal No. 11277/2026), the Supreme Court has delivered a ruling that reshapes GST litigation:

🔑 Key Takeaways:
1️⃣ Fraud / Willful Misstatement / Suppression must be evident in the SCN itself.
Mechanical use of these words is insufficient. Without specific allegations, the SCN is unsustainable. This effectively nullifies the Madras High Court’s view in Fastenex Limited (Section 74 batch matter).
2️⃣ Limitation period extended due to COVID suo moto orders.
For AY 2018‑19, the last date for issuance of notice stood extended till 28.02.2025, partially upholding the Madras High Court’s Tata Play ruling.
3️⃣ Important Note:
The Supreme Court did not consider Notification No. 56/2023 while deciding limitation. Despite this, the Court has categorically held the due date as 28.02.2025.
📌 Impact:
Reinforces taxpayer protection by requiring SCNs to contain clear fraud allegations.
Clarifies the interplay of Sections 73 & 74 of the CGST Act.
Establishes binding precedent on limitation extensions due to extraordinary circumstances.
Leaves open questions on how Notification No. 56/2023 will interplay with this ruling in future disputes.
⚖️ A judgment that will influence GST litigation strategy, compliance, and departmental action for years to come

Full ITC Principle Continues to Strengthen GST Valuation Framework

 One of the most significant developments under GST valuation jurisprudence has been the consistent recognition that where the recipient is eligible for full Input Tax Credit (ITC), disputes regarding valuation become largely revenue neutral. Over the years, advance rulings, CBIC circulars, and judicial pronouncements have progressively reinforced this principle.

Employees Provident Fund wage ceiling increased from INR15,000 to INR25,000 per month

The Ministry of Labour and Employment has notified revised wage ceiling of ₹25,000 per month for the purposes of Chapter III (Provident Fund) of the Code on Social Security, 2020 (“COSS”), replacing the earlier wage ceiling of ₹15,000 per month with effect from 17 September 2026. The change is intended to align the social security framework with prevailing wage levels and expand access to Provident Fund savings, pension benefit and insurance protection.

How AI is Rewriting India’s Permanent Establishment (PE) Rulebook: Key Takeaways

• Traditional PE rules are under pressure. Historically, a foreign company became taxable in India only if it had a physical presence such as an office, branch, factory, or employees performing business activities in India.   
• AI challenges the physical presence test. Modern businesses can serve Indian customers through AI-powered platforms, chatbots, cloud infrastructure, and autonomous systems without maintaining any physical footprint in India.   

Cross Border Clarity: No FTC, No Deduction Either

 The Mumbai ITAT, in Tata Communications Transformations Services Ltd. v. DCIT [2026], held that foreign taxes cannot be claimed as a deduction merely because the Foreign Tax Credit (FTC) remains unutilised. The Tribunal clarified that Section 40(a)(ii) disallows foreign taxes that are eligible for relief under Sections 90/91, regardless of whether the credit is actually used. For businesses in loss years, foreign withholding taxes may therefore become a sunk cost, making FTC planning crucial.

5 GST Judgments in 2026 Every Business Should Be Watching

The year 2026 has already delivered several landmark GST decisions that could significantly influence tax compliance, assessments, and litigation strategy. Businesses, tax professionals, and finance leaders should closely track the following developments:

PMS commission allowed as deductible expenses.

 In an important ruling in the case of Ameeta Jagdish Thackersey, the Mumbai ITAT has held that Portfolio Management Service (PMS) fees are deductible while computing capital gains under Section 48 of ITA, 1961. The ITAT noted that Coordinate Benches (Delhi, Mumbai, Pune etc) have taken divergent views on this issue. In the absence of a binding decision from the Jurisdictional High Court or the Supreme Court, the ITAT upheld the view favourable to the assessee. A one pager summary of the ruling is attached below.

The ruling is also a useful reminder that where genuine divergence exists in judicial interpretation, the benefit of a reasonable alternative view cannot ordinarily be denied to the taxpayer merely because the Revenue Authorites prefers the other interpretation.

Safe Harbour vs. Advance Pricing Agreements: Choosing the Right Path to Transfer Pricing Certainty

 While Safe Harbour focuses on standardization, an Advance Pricing Agreement (APA) provides a customized solution.

An APA is a binding agreement between a taxpayer and the tax administration that determines in advance the appropriate transfer pricing methodology, margins, critical assumptions, and pricing parameters for specified international transactions.

𝗗𝗲𝗳𝗲𝗿𝗿𝗲𝗱 𝗽𝗮𝘆𝗺𝗲𝗻𝘁 𝗱𝗼𝗲𝘀 𝗻𝗼𝘁 𝗺𝗲𝗮𝗻 𝗱𝗲𝗳𝗲𝗿𝗿𝗲𝗱 𝗮𝗰𝗾𝘂𝗶𝘀𝗶𝘁𝗶𝗼𝗻: 𝗜𝗧𝗔𝗧 𝗮𝗹𝗹𝗼𝘄𝘀 𝗱𝗲𝗽𝗿𝗲𝗰𝗶𝗮𝘁𝗶𝗼𝗻 𝗼𝗻 𝗲𝗻𝘁𝗶𝗿𝗲 𝗥𝘀 𝟮𝟲𝟴 𝗖𝗿 𝗜𝗣𝗟 𝗙𝗿𝗮𝗻𝗰𝗵𝗶𝘀𝗲 𝗰𝗼𝘀𝘁

 Mumbai ITAT held that depreciation on Rajasthan Royals franchise rights is allowable on the entire acquisition cost of ₹268 crore, even though only ₹26.8 crore was paid during the year. Acquisition occurs upfront, while payment may be deferred. Any later adjustment in consideration would require corresponding WDV revisions

How Do Investors Choose Between CCPS and CCDs?

 At first glance, the distinction appears straightforward. Compulsorily Convertible Preference Shares (CCPS) are preference shares, while Compulsorily Convertible Debentures (CCDs) are debentures. Each is governed by separate provisions of the Companies Act, though the mechanics of issuance and conversion are largely comparable.

Refund of pre-deposit cannot be withheld merely because litigation continues on the balance demand

 In a significant judgment in IBM India Pvt. Ltd. v. Union of India (2026-VIL-955-BOM), the Bombay High Court has reaffirmed an important principle governing GST appeals and pre-deposits.

Taxability of Stock Option Buy-Backs: Salary or Capital Gains?

 . Introduction

Employee Stock Option Plans (ESOPs) are widely used to attract and retain talent by aligning compensation with performance. The lifecycle of an ESOP traverses five stages: grant, vesting, exercise, allotment, and sale. Each carries distinct tax implications.

S𝐮𝐜𝐜𝐞𝐬𝐬 𝐟𝐞𝐞 𝐩𝐚𝐢𝐝 𝐭𝐨 𝐚 𝐭𝐫𝐚𝐧𝐬𝐚𝐜𝐭𝐢𝐨𝐧 𝐚𝐝𝐯𝐢𝐬𝐨𝐫 𝐟𝐨𝐫 𝐭𝐡𝐞 𝐬𝐚𝐥𝐞 𝐨𝐟 𝐬𝐡𝐚𝐫𝐞𝐬 𝐢𝐬 𝐚𝐥𝐥𝐨𝐰𝐚𝐛𝐥𝐞 𝐰𝐡𝐢𝐥𝐞 𝐜𝐨𝐦𝐩𝐮𝐭𝐢𝐧𝐠 𝐜𝐚𝐩𝐢𝐭𝐚𝐥 𝐠𝐚𝐢𝐧𝐬.

 𝐁𝐚𝐧𝐠𝐚𝐥𝐨𝐫𝐞 𝐓𝐫𝐢𝐛𝐮𝐧𝐚𝐥in the case of Mohan Rajashekhar  𝐡𝐞𝐥𝐝 𝐭𝐡𝐚𝐭 𝐬𝐮𝐜𝐜𝐞𝐬𝐬 𝐟𝐞𝐞 𝐩𝐚𝐢𝐝 𝐭𝐨 𝐚 𝐭𝐫𝐚𝐧𝐬𝐚𝐜𝐭𝐢𝐨𝐧 𝐚𝐝𝐯𝐢𝐬𝐨𝐫 𝐟𝐨𝐫 𝐭𝐡𝐞 𝐬𝐚𝐥𝐞 𝐨𝐟 𝐬𝐡𝐚𝐫𝐞𝐬 𝐢𝐬 𝐚𝐥𝐥𝐨𝐰𝐚𝐛𝐥𝐞 𝐰𝐡𝐢𝐥𝐞 𝐜𝐨𝐦𝐩𝐮𝐭𝐢𝐧𝐠 𝐜𝐚𝐩𝐢𝐭𝐚𝐥 𝐠𝐚𝐢𝐧𝐬. 𝐓𝐡𝐞 𝐓𝐫𝐢𝐛𝐮𝐧𝐚𝐥 𝐡𝐞𝐥𝐝 𝐭𝐡𝐚𝐭 𝐰𝐡𝐞𝐫𝐞 𝐚𝐝𝐯𝐢𝐬𝐨𝐫𝐲 𝐬𝐞𝐫𝐯𝐢𝐜𝐞𝐬 𝐡𝐚𝐯𝐞 𝐚 𝐝𝐢𝐫𝐞𝐜𝐭 𝐧𝐞𝐱𝐮𝐬 𝐰𝐢𝐭𝐡 𝐭𝐡𝐞 𝐭𝐫𝐚𝐧𝐬𝐟𝐞𝐫 𝐚𝐧𝐝 𝐭𝐡𝐞 𝐞𝐱𝐩𝐞𝐧𝐝𝐢𝐭𝐮𝐫𝐞 𝐢𝐬 𝐢𝐧𝐜𝐮𝐫𝐫𝐞𝐝 𝐰𝐡𝐨𝐥𝐥𝐲 𝐚𝐧𝐝 𝐞𝐱𝐜𝐥𝐮𝐬𝐢𝐯𝐞𝐥𝐲 𝐢𝐧 𝐜𝐨𝐧𝐧𝐞𝐜𝐭𝐢𝐨𝐧 𝐰𝐢𝐭𝐡 𝐬𝐮𝐜𝐡 𝐭𝐫𝐚𝐧𝐬𝐟𝐞𝐫, 𝐭𝐡𝐞 𝐞𝐱𝐩𝐞𝐧𝐬𝐞 𝐢𝐬 𝐚𝐥𝐥𝐨𝐰𝐞𝐝 𝐚𝐬 𝐝𝐞𝐝𝐮𝐜𝐭𝐢𝐨𝐧.