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: VAT Audit :: cpt :: ACCOUNTING STANDARDS :: VAT RATES :: ACCOUNTING STANDARD :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TDS :: list of goods taxed at 4% :: Central Excise rule to resale the machines to a new company :: TAX RATES - GOODS TAXABLE @ 4% :: form 3cd :: articles on VAT and GST in India :: due date for vat payment :: empanelment :: ARTICLES ON INPUT TAX CREDIT IN VAT
 
 
Service Tax »
 Goods and Services Tax (Compensation to States) Amendment Act, 2017.
 Services sector need to brought under Section 72A of the Income-Tax Act
 Simplifying GST: Creating a Grand Simple Tax
 The way ahead for goods and services tax
 Goods & Service Tax (GST): Recent Clarifications
 Tax payers can see status of returns filed on GSTN portal
 Export And Import Of Goods Under GST
 The Finance Resolution And Deposit Insurance Bill, 2017
 Payment made in revenue sharing deal exempt from service tax
 India seen posting stronger growth as businesses adjust to new tax
 GST High Powered Committee On Return Filing - Representation by GST Research Foundation

Government to notify categories of employees exempt from EPF tax
March, 05th 2016

The government will notify categories of employees who will be excluded from the controversial tax proposal on provident fund withdrawals, a Finance Ministry official said today.

Finance Minister Arun Jaitley has in his Budget for 2016-17 proposed taxing 60 per cent of withdrawals from the Employee Provident Fund (EPF) on contributions to be made after April 1, unless the sum is reinvested in pension product such as an annuity.

"We have put an excluded employees category in the Finance Bill 2016. The government will notify the excluded category of employees to whom this new regime will not apply," the official said.

The excluded employees would primarily be the ones drawing statutory wages of up to Rs 15,000 per month.

Following a backlash from employees union and political parties, Jaitley has already signalled willingness to reconsider the proposal.

"There has been some reaction. When the debate comes up in Parliament, I will give the government's response as to what decision we finally take," he said earlier this week.

On table is partially waiving the proposed tax by levying it only on the interest accrued and not on the principal. There are also suggestions for complete rollback.

The EPFO has about 3.7 crore members of which about 3 crore members are those in the earning category of Rs 15,000 and below (statutory wages).

Explaining the rationale behind the Budget proposal, Economic Affairs Secretary Shaktikanta Das said the EPF has been exempt at all three stages - contribution, interest and withdrawal- and was originally meant for employees whose salaries are Rs 15,000 or below per month.

But over the years the benefit has been also utilised by people who are in much higher income brackets, Das said.


"There was an intention of the government to see that the third leg of the Exempt-Exempt-Exempt benefit also should go to target group. You will hear something from Finance Minister on this very quickly," he said.

Das said after the launch of EPF, the government also came out with another pension scheme NPS, which is Exempt Exempt Tax, irrespective of income bracket. "So there was need for parity (between EPF and NPS)".

 

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Multimedia Presentations Multimedia Solutions 3D Solutions Corporate Presentations Business Presentations Multimedia Presentation India M

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