You are on page 1of 11

COMPANY PROFILE & THE BUSINESS PROCESS About Money Plant Consulting We at Money Plant Consulting facilitate outsourcing

the non-core activities and provide knowledge-driven financial services. We are a premier outsourcing & a financial services provider which aims to offer solutions for financial needs and queries of individuals. Money Plant Consulting is promoted by Mr. Rishabh Parakh (Director). He holds a professional degree of CA from the Institute of Chartered Accountants of India. He started Money Plant Consulting with an aim to outsource the non-core activities of corporate clients and to offer personal income tax/ financial market related services to corporate / individual clients.

Some of the Corporate Clients with whom we shares Professional Relationships with!!!

Income Tax Returns Filing Process To comprehend the business model, it is necessary to understand

According to Income Tax Laws, all salaried individuals have to file their IT returns for the financial year just ended by the 31st Day of July of every Year.

Now, it is the responsibility of the Individual to file his returns on or before the due date and ensure that he has no tax liability and that all his taxes have been paid on time to the Central Government

Now, the Central Government has authorized all employers to deduct the taxes before giving salaries to its employees and credit the same to the treasury on behalf of the individual employee

This is called Tax Deducted at Source or TDS In accordance to the laws, every employer has to issue a Form 16, which shows the net income and tax payable by the individual

In most cases, the tax payable is equal to the Tax cut i.e. the individual has paid all his taxes and does not owe the Central Government anything wherein, there may be a case of Refund or Tax Payable. but there are situations

For filing, various forms are available namely ITR 1, 2.all the way up to ITR 9

But most salaried individuals have to contend with only ITR 1, ITR 2, ITR 4 or ITR V These forms are easily available over the internet as well as House of Forms. Then each individual must fill in the details accordingly and submit the same to the IT Department

Once this is done, the Assessing Officer must acknowledge the Form with a stamp containing the date and range of the officer and had it over to the individual

This is entire process of Filing IT returns

Need to file IT returns

Now, one may wonder that if an individual has paid all the taxes on time and he/she doesnt owe the Central Government any money, then what is the purpose of filing returns as the Form 16 has all the details there is pertaining to the income received during the Financial Year, but then filing of returns indicates that all the income earned during the financial year has been completely accounted for and the taxes on them has been paid duly to the Central Government But apart from that, the stamped acknowledgement is a very strong proof and is a must for: 1. 2. 3. Visa Processing for Professionals Application for House Loans Work Permits in foreign Countries

As seen above, that entire process of filing returns is a simple one for people who have some basic knowledge of taxation. But it does require time on behalf of the individual to personally go to the IT office and file his returns. E-filing is an option for individuals who have a digital signature Else even e-filing is partial online and partially manual Also one needs to take a day off work to file returns as the IT office is closed on weekends Also organizations find it convenient to outsource this non core activity of tax filing and financial planning And hence herein lays the fundamentals of Money Plant Consulting, which takes care of filing returns on behalf of Individuals and also providing customized comprehensive, unique portfolio design based on individual clients, his needs, his income and liabilities. The concept of NEED BASED SELLING is the mantra followed at Money Plant Consulting. Clients needs to submit their Form 16s and other documents if necessary and our team of CAs, ICWAs and MBAs in turn not only help filling up of ITRs and filing but also help in assessment of the financial health of individuals and help them plan their finances better all for absolutely free of cost. Being a Service provider, customer satisfaction and strict adherence to Service Level Agreements is a foundation to our successful business model.

Summary of the Process Now there are two dimensions to our operation. 1. 2. Front Office Back Office

we have tie ups with various Corporate organizations and acts as on outsourcing firm for their Employees taxation and financial planning needs

Schedules are predefined in coordination with the Finance / HR of the Host firm

Once the schedule is finalised, associates from our office visit the aforementioned organizations and its locations.

People come in to file there tax returns and accordingly the associates help them fill in the appropriate forms

Now, based on each of their form 16s, people are also advised (without charge and if they want to avail consulting services ) on various ways to save taxes which are with the legal and ethical confines of the IT act

Once the schedules of a particular day are done, the associates come back to base and then from here on the back end processes start

Once the various forms are brought back, they are sorted according to the companies from which they have come

Each organization has a code based on their name and location for easy identification

Various Codes for Identification Organization TCS Location/Building Name Rajshree Nyati Mangaldas Godrej Millennium Quadra TR TN TM TGM TQ Code

DLF Hadapsar Cognizant Hinjewadi ICC Towers ICC Towers Aundh Magarpatta Tower 4 Magarpatta Tower 2 Kalyani Nagar


T Systems BU

EDS Mphasis

Hexaware I-Flex Lohia Jain Ambrosia Pride Silicon Plaza Talawade Pride Silicon Plaza Pimpri Hinjewadi Trade Centre Bhageerath Lohia IT



Sasken Service Solutions Conexant Convergys DNA Carraro Wipro John Deere Johnson & Johnson Otis Quinnox INCAT Tata Motors


Oracle Cummins

Based on these coding, the forms are sorted out

There are cases of tax computation wherein the employees had not reported

any additional income or investments to their respective companies and hence their total income needs to be computed, and here comes the crux of the operations.

Here the forms are again segregated based on easy or computations and hence

are bifurcated.

The back end involved people who had to fill the technical details of the tax

forms as well as those who handle computations

Once the forms are completely filled, they go in for filling in a batch to IT dept.

depending upon the wards.

In case of computations, a spread sheets is mailed to the clients on their mail

addresses containing the details of the income and tax liabilities, if any

The SLA for mailing computations is 10 working days upon receipt of the forms.

Once the client has been mailed the sheet, a telephone call too goes to him The client must then decide if he wants to pay the amount via check or online

stating him whether he has any tax liability

If he wants to pay by check, he needs to handover the check and a copy of the

PAN card to us or he can pay the amount online at the income tax website and then send us a copy of the Challan at our e-mail address If the client sends us a check, then it takes about 7 working days(depending

upon which bank the check is drawn) for clearance

If the client pays the amount online, he mails us the copy of the Challan.

Once the Challan is received, the pertaining details are entered in the respective

tax forms and then are in the ready to file bunch

Once the tax returns are filed, the acknowledgement copy is obtained and then

handed over to the client.

This completes a cycle of the tax filing process of Money Plant Consulting

Detailed Account of the Business Model The frame work of TPO at Money Plant Consulting is supported by Front End Back End Front End Now the Team which had visits to the companies had many objectives 1. Filing of IT returns Analysis of Individual Taxation queries Study of the individual portfolios Gather information on his/her IT filing & investments Analysis



As described earlier, schedules once confirmed led to sending of teams comprising of three to four individuals to various organizations

Each would be armed with approx. 100 ITR forms along with copy of the customer profile and receipts

Once a client arrives with his/her Form 16, there are certain checkpoints/ FAQs:

1. 2. 3. 4.
5. 6.

Annexure to Form 16, viz. Form 16 A and Form 12 BA The Assessment Period (2009-2010) The Financial Year (April 2008 March 2009) Whether any additional income reported by employee. Whether all the investment proofs are mentioned in the Form 16 Refund if ANY

Once all the checkpoints are identified, a client is handed over an ITR(Income Tax Return) form

There were four ITRs which are generally applicable They are

1. 2. 3. 4.


The annexure contains detailed information about each of the ITRs mentioned above

The following cases will help in understanding the procedures Case I When no additional income is reported by the employee like rent received from any housing property or EMIs on housing loans or capital gains both short and long term qualify an individual to file ITR 1 Case 2 Incase an individual is repaying his housing loan or is receiving rent from his/her housing property or has some sort of short term capital gain, then accordingly ITR 2 is to used Case 3 Individuals, who are on a contract basis with the employer and not on the payroll, he/she receives Form 16 A, then in that case ITR 4 is to used Case 4 Now individuals who have filed their return online using the Income Tax website are given ITR V. A majority of Individuals dont own a digital signature which is a prerequisite for filing the IT return online, hence they need to take 2 printouts of ITR V and this must be duly stamped and acknowledged manually by the IT department

Once the use of which ITR is determined, the client is asked whether the was employed in another organization during the same financial year, because in most cases there are instances wherein the employee dont report his previous income to the current employer and hence his total income had to be recomputed and his tax liability if any had to be found out

The next step is to find out whether he had shown all his investment proofs done in the same period to his organization

If No, then he/she was told to submit the same

The checkpoints also included whether the client had claimed deductions under Section 10 viz 1. 2. Leave Travel Allowance House Rent Allowance

There are instances wherein, the client had not submitted his rent receipts or Travel tickets to his organization which could be claimed from the IT department and hence was told to submit the proofs to the same

IT provisions includes a certain section (which will be looked into detail) wherein the medical bills can be claimed subject to a limit of INR 15000/-

All the above cases are tagged as Computation and cases where just Form 16 was all that was submitted, those cases are tagged as Simple

Once all the above conditions are satisfied, the client was handed over the required ITR form along with the Customer Profile

The client has to fill in the Customer Profile and Personal Information wherever mentioned on the ITR and has to fill in the Verification Section

Once the client duly fills out the form, it is thoroughly checked and a unique Customer ID is given to the form. He/She is given a receipt of the same which has the same Customer ID, which is useful when he/she has to track the status of the form

By looking at the Form 16s, it is apparent that whether the client has done any sort of financial planning or not

Once the schedule for a particular company is over, the associates bring back the forms to the office and here is where the Back End comes into the picture

This is entire process of the Front End The Back End The process of the back end is as follows

Once the forms are bought back to the office from all the locations on any day, they are sorted according to the codes that they are assigned company wise.

Once done, then all the forms are sorted according to whether they are Simple or Computation.

Then accordingly the back office associates are allotted a fixed proportion of computations which they have to complete within the stipulated time frame

All the simple forms are then assigned to be filled by the designated team They have to check whether all the forms are completely filled and the necessary documents attached

Once the forms are filled, they then go in to filing with the IT department in batches depending upon the wards.

Cases that need computation are completed and a mail is sent to the client to inform him as to whether there is tax to be paid or refunded

Once the client especially in cases of tax payable gives the go ahead, he/she needs to pay the required amount to the IT department either online or through check

He/she has to provide us with the copy of the Challan he has filled and then his/her form goes into filing Again all the filed returns are sorted company and location wise and are distributed to the client

As with each and every stage, databases are created recording each and every detail as possible. For eg. 1. 2. 3. 4. 5. 6. Customer ID, Name Email address Phone Number Type of forms Detail of Document Attached High Net Worth Individual(CTC >1 million INR) Date on which computation was mailed Associate handling computation

7. 8.

10. Tax payable/refundable

11. Bank details and MICR number,

12. Date of filing

13. Whether Acknowledgement delivered 14. Details pending if any 15. Whether interested in investments 16. Appointment date and Time 17. Comments

This comprehensive database helped streamline the process as to which associate was handling the computation and all the necessary details and is the crux for all the data analysis that was undertaken by our team

This is the back end process at Money Plant Consulting

1. 2. 3.

As seen a majority of the returns are filed during the period of June and July. The reason for this being that most companies (about 90 %) issue the form 16

during June and July. July 31st being the deadline for filing returns also adds up to the voluminous

growth during the said periods

We appreciate your time