Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
 
 
 
 
Popular Search: Central Excise rule to resale the machines to a new company :: form 3cd :: VAT RATES :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: articles on VAT and GST in India :: ARTICLES ON INPUT TAX CREDIT IN VAT :: cpt :: empanelment :: list of goods taxed at 4% :: TDS :: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: ACCOUNTING STANDARD :: due date for vat payment
 
 
News Headlines »
 GST panel to consult MSMEs in October end to further ease tax rigour
  How to check income tax return status
 Been Served a Notice by the Income Tax Department? Here’s How You Can Respond
 Seeks to amend the CGST Rules, 2017 - 45/2017 - Central GST (CGST)
 Government provides clarity on tax rate
 Processing of returns in Form ITR-I under section 143(1) of the Income-tax Act, 1961
  Filing of Reconciliation return in form 9 for the year 2016-17
  Today is last date for filing GSTR-1 forms for July; govt rules out further extension
 Today is last date for filing GSTR-1 forms for July; govt rules out further extension
 Refund of IGST paid on export of goods under Rule 96 of CGST Rules 2017
 Income-tax (23rd Amendment) Rules, 2017

Income tax exemption threshold to be raised to Rs 3 lakh from Rs 2.5 lakh
February, 20th 2016

Budget 2016 countdown: Individual taxpayers could get some relief as finance minister Arun Jaitley is likely to raise the minimum income threshold for paying personal income tax for those below 60 years of age to Rs 3 lakh a year from Rs 2.5 lakh at present, multiple sources told FE.

Budget 2016 countdown: Individual taxpayers could get some relief as finance minister Arun Jaitley is likely to raise the minimum income threshold for paying personal income tax for those below 60 years of age to Rs 3 lakh a year from Rs 2.5 lakh at present, multiple sources told FE.

The income levels where the tax kicks in for senior citizens (of age above 60 years) and super seniors (age above 80 years) could also be correspondingly raised. In case of senior citizens, the current threshold for paying tax is Rs 3 lakh while it is Rs 5 lakh for super senior citizens. However, the higher slabs are unlikely to be revised, the sources added.

Currently, income tax is payable at 10% of the amount by which the income exceeds Rs 2.5 lakh (up to Rs 5 lakh), at 20% (between Rs 5 lakh-10 lakh) and at 30% (above Rs 10 lakh) in case of individuals up to 60 years of age and HUFs.

Jaitley may also reintroduce the extra window of Rs 50,000 for claiming deductions under Section 80C for investments in infrastructure bonds. Currently, various specified investments are eligible for deductions subject to threshold of Rs 1.5 lakh and additionally, a deduction of Rs 50,000 is allowed for contributions to the National Pension System under Section 80CCD.

The government is aggressively taking steps to bring in more individuals under the tax net but it also wants to reduce the burden on the lower strata of the tax-paying community to the extent possible. “Of course, we are taking measures to bring in more persons under the tax net. We have a target of about 10 million new tax payers to be added in the current financial year. Till November, we added 3.74 million new taxpayers because of these measures,” revenue secretary Hasmukh Adhia had said in a recent interview with FE. In India, there are about 35-40 million individual taxpayers, a tiny segment considering the country’s huge population.

“Considering the savings rate and inflation, the threshold limit (for personal income tax) is expected to be raised so as to provide more disposable income in the hands of the individual. This could help in channelising the higher disposable incomes towards increasing consumption and thereby the economic growth,” said Vineet Agarwal, partner at KPMG in India.

Although, Arun Jaitley has already announced that his government cannot afford a ‘populist’ Budget and rather there are needs for structural reforms, he is unlikely to turn a blind eye to the demands from the individual taxpayers. “The finance minister could look at increasing the limit under Section 80C up to Rs 250,000 so that people channelise their savings into investment linked deductions,” said Divya Baweja, partner at Deloitte Haskins & Sells. The government extended the limit to Rs 1.5 lakh in 2014-15 from Rs 1 lakh earlier. This includes investments in schemes such as postal deposit, provident funds, pension schemes, mutual funds and insurance.

The deduction for NPS investment has helped individuals at higher tax brackets to save more funds. For instance by availing the Rs 50,000 of deduction for NPS, the tax burden for individuals in the highest 30% tax bracket could come down by Rs 16,000, while it will be Rs 10,000 for those on the 20% tax slab and Rs 5,000 for those paying 10% tax.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Website Ranking Website Ranking Company Website Positioning Alexa Ranking Website Promotion Website top 10 ranking website top 10 promotion search engine result promotion Strategic Internet Marketing Website Optimization Website Ranking Factors

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions