With the New Year closing in, it is time to unwind and enjoy the end of the year with a peaceful mind. One of the best ways to attain perfect peace of mind is to keep all financial records well settled and up to date for the year gone by. A lot of people commit the mistake of opening up their financial records just a few days before the end of the financial year. Usually by that time it is too late to invest in any tax saving avenues. Making financial records up to date with the end of the year makes a perfect case for attaining perfect taxation strategy to help you maximize your profits and attain peace of mind. Here are some tips and recommendations to manage all your financial records before the beginning of the New Year.
Update Banking Accounts: Bank account statement play a major role in evaluating and updating your financial records. Instead of waiting till the last week of the financial year to update all personal and company’s banking accounts, the end of the year offers the best way to keep information up to date. The last week of December is usually spent lazing around enjoying the festivities. Taking out some time from the year end celebrations can make help update your financial records with a minimum of fuss.
Compile all TDS Certificates: Compiling all your tax deducted at source certificates gives you a complete picture of your overall tax liabilities. The end of the year is the best time to compile all such TDS certificates. If you are a salaried professional make sure to keep copies of all your tickets in case you have planned a travel this festive season. Employers will not deduct TDS (tax deducted at source) on your leave travel allowance as long as you submitted essential documentary evidence in time. Since almost every company asks their employees to submit their investment declaration between December and middle of January, it becomes all the more important to compile all your financial information by December to avoid any last minute jitters.
Check out Your Tentative Tax: Once you have compiled all your financial records and account information, it is a good idea to do a small tentative tax calculation. Such a calculation can underline the need of any last minute tax saving investment that can be useful. Any extra funds that you