What is the payroll fiscal year in India?

A fiscal year is a one-year period for a company to report its financial information. For payroll in India, the fiscal year begins on April 1st and ends on March 31st of the next year. In the month of April, every business starts its tax computations for employees from scratch for the new fiscal-year. Most organizations also collect tax saving declarations from their employees in the month of April itself. If you're deciding when to take these steps to start your payroll year, there are benefits to aligning it with the new fiscal year.

Benefits of starting payroll operations on a new fiscal year

Automated Journal Entries

No need for data migration

Avoid the process of bringing in tons of previous months' payroll records mid-year. By starting on a new fiscal year, you make it easy for your payroll staff to get started right away.

Match your payroll transactions

Perfect YTD records

Leave no room for YTD miscalculations. When you get started with the fiscal year, you free your payroll staff from doing extra validation on the previous month or year's payroll data. 

Customisable chart of accounts

Minimal time to get started

All you need to do is set up your organization and start paying your employees.

How does Zoho Payroll help?

More features of Zoho Payroll

  • Automatic payroll calculation
  • Diverse compensation and benefit structures for employees across all levels
  • Simple and secure employee portal
  • User roles and role-based access for all your payroll staff
  • Online salary payments through partner banks
  • Automatic accounting of payroll expenses with accounting integrations
  • Digital Form-16 signature
  • Digitized IT declaration and proof collection process
  • Loans, advances, variable pay, and bulk import of salary components
  • Full and final settlement
  • Timely notification and reminders for payroll admins
  • Employee-friendly mobile app

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