March 2026 Compliance Calendar – Detailed Guide for Income Tax & GST

The month of March is one of the most crucial compliance periods in the financial year. As the financial year 2025–26 comes to a close, businesses, professionals, multinational entities, and individual taxpayers must ensure that all statutory obligations under the Income Tax Act, 1961 and the GST law are completed within prescribed timelines. March compliance is particularly sensitive because it not only impacts penalty exposure but also determines year-end financial accuracy, tax planning efficiency, and risk of future departmental scrutiny.

Below is a detailed breakdown of all major Income Tax and GST compliances for March 2026.

Part 1: Income Tax Compliance – March 2026

1. Section 194M – Challan-cum-Statement (Due: 2 March 2026)

Section 194M applies to individuals and Hindu Undivided Families who are not liable for tax audit but are required to deduct TDS on payments exceeding ₹50 lakh made to contractors or professionals. For payments made in January 2026, the challan-cum-statement must be furnished by 2 March 2026. This compliance ensures proper credit to the deductee and reporting in Form 26AS. Delay may attract late filing fee under Section 234E and penalty under Section 271H.

2. Fourth Instalment of Advance Tax – AY 2026-27 (Due: 15 March 2026)

The fourth and final instalment of advance tax for Assessment Year 2026–27 must be paid by 15 March 2026. Taxpayers other than those covered under presumptive taxation must ensure that 100% of their total estimated tax liability for the year is discharged by this date. Any shortfall may result in interest under Sections 234B and 234C. This deadline is critical as it finalizes the tax liability for the financial year.

3. Presumptive Taxation – Sections 44AD & 44ADA (Due: 15 March 2026)

Taxpayers opting for presumptive taxation schemes under Sections 44AD (small businesses) and 44ADA (professionals) are required to pay their entire advance tax liability in a single instalment by 15 March 2026. Unlike regular taxpayers who pay advance tax in four instalments, presumptive taxpayers get relaxation but must ensure full payment by this date to avoid interest under Section 234C.

4. Form 24G – Government Deductors (Due: 15 March 2026)

Government offices that deduct TDS or collect TCS and deposit the same without a challan are required to furnish Form 24G for February 2026 by 15 March 2026. This form reports book adjustment entries and ensures proper tracking of tax deducted at source. Delay can create reconciliation issues at the departmental level.

5. TDS Certificates – Sections 194-IA, 194-IB, 194M, 194S (Due: 17 March 2026)

TDS certificates for deductions made in January 2026 under Sections 194-IA (property purchase), 194-IB (rent payments), 194M (contract/professional payments), and 194S (virtual digital assets) must be issued by 17 March 2026. Issuing certificates on time ensures that deductees can claim proper tax credit in their returns. Delay may attract penalties and cause disputes.

6. Challan-cum-Statements – February 2026 (Due: 30 March 2026)

For tax deducted under Sections 194-IA, 194-IB, 194M and 194S during February 2026, challan-cum-statements must be filed by 30 March 2026. These filings are crucial because they determine whether the deducted tax gets reflected correctly in Form 26AS and AIS. Any delay can result in late fees and interest consequences.

7. Country-by-Country Reporting – Form 3CEAD (Due: 31 March 2026)

Multinational enterprises and certain constituent entities are required to file Country-by-Country (CbC) Report in Form 3CEAD for the previous year 2024–25 by 31 March 2026. This compliance is applicable under Section 286 and ensures transparency in global profit allocation and taxation. Non-compliance may result in heavy penalties and international reporting consequences.

8. Form 67 – Foreign Tax Credit (Due: 31 March 2026)

Taxpayers who have foreign income and have already filed their return within prescribed time must upload Form 67 by 31 March 2026 to claim Foreign Tax Credit. Failure to upload Form 67 within due date may result in denial of foreign tax credit, increasing overall tax liability.

9. Updated Return – AY 2021-22 (Due: 31 March 2026)

Taxpayers have the last opportunity to file an updated return under Section 139(8A) for Assessment Year 2021–22 by 31 March 2026. This provision allows correction of mistakes or disclosure of omitted income, subject to payment of additional tax. It is a beneficial compliance window but must be used carefully after proper review.

Part 2: GST Compliance – March 2026

1. GSTR-3B – February 2026

For taxpayers having aggregate turnover exceeding ₹5 crore in the preceding financial year, GSTR-3B for February 2026 must be filed by 20 March 2026. For QRMP taxpayers (turnover up to ₹5 crore), due dates are 22 March 2026 for Group A states and 24 March 2026 for Group B states. Timely filing avoids late fee under Section 47 and interest under Section 50.

2. GSTR-1 – February 2026 (Due: 11 March 2026)

GSTR-1 for outward supplies for February 2026 must be filed by 11 March 2026 for monthly filers. This return is critical as it determines the availability of Input Tax Credit to recipients. Incorrect reporting may lead to mismatches and ITC disputes.

3. GSTR-5 and GSTR-5A (Due: 20 March 2026)

Non-resident taxable persons and OIDAR service providers must file GSTR-5 and GSTR-5A by 20 March 2026. These returns ensure reporting of supplies made in India and compliance with cross-border taxation rules.

4. GSTR-6 – Input Service Distributor (Due: 13 March 2026)

Input Service Distributors must file GSTR-6 by 13 March 2026 to distribute ITC among branches. Accurate reporting ensures proper ITC flow within organizations and prevents reconciliation mismatches.

5. GSTR-7 and GSTR-8 (Due: 10 March 2026)

GSTR-7 applies to entities deducting TDS under GST, while GSTR-8 applies to e-commerce operators collecting TCS. Both returns must be filed by 10 March 2026. Non-filing attracts penalties and may block compliance ratings.

6. PMT-06 – QRMP Taxpayers (Due: 25 March 2026)

QRMP taxpayers must deposit monthly tax liability through Form PMT-06 by 25 March 2026. Even though returns are filed quarterly, monthly tax payment remains mandatory.

7. GSTR-11 – UIN Holders (Due: 31 March 2026)

Entities holding Unique Identity Number (such as embassies or UN bodies) must file GSTR-11 by 31 March 2026 to claim refund of GST paid on inward supplies.

Why March 2026 Compliance Requires Extra Attention

March compliance affects financial closing, tax provisioning, audit preparation, and risk profiling. Any delay during this month increases the likelihood of automated scrutiny selection, reconciliation notices, and additional interest burden. Businesses must align their accounting records, tax payments, and statutory filings to avoid year-end complications.

Conclusion

March 2026 serves as a financial checkpoint for taxpayers under both Income Tax and GST laws. Proper planning, timely payments, and accurate return filing are essential to ensure smooth financial year closure. Professional review of advance tax, TDS compliance, GST reconciliation, and international reporting obligations can significantly reduce compliance risks.

Proactive compliance today safeguards your business from penalties tomorrow.