Latest Expert Exchange Queries
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) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: TDS :: due date for vat payment :: articles on VAT and GST in India :: list of goods taxed at 4% :: ACCOUNTING STANDARDS :: ACCOUNTING STANDARD :: cpt :: Central Excise rule to resale the machines to a new company :: VAT RATES :: VAT Audit :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TAX RATES - GOODS TAXABLE @ 4% :: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: form 3cd
 
 
News Headlines »
 Make your inventory and invoicing software GST Ready from Binarysoft
 Filing income-tax returns gets simpler for salaried persons
 Ten rules you must follow while filing income tax returns
 Reforming the income tax tribunal
 How the new system might impact consumers and businesses
 10 ways you get benefited from filing your tax return
 Returns under CGST Act,2017 with Rules
 Ten facts to know about filing income tax return this year
 The Ten Commandments of Tax Filing
 How to claim income tax refund
 How to time your buys to have best of two tax regimes

Government's new tax code from 2011
August, 21st 2009

At last, the government has unveiled the draft of a brand new direct tax law, which could replace forty year old Income-Tax Act.

According to the finance minister Pranab Mukherjee, the motive behind the decision is to improve the efficiency and equity of Indian tax system by eliminating distortions in the tax structure, introducing moderate levels of taxation and expanding the tax base.

The new tax code makes radical changes in various areas of taxation, whether corporate and individual. Also, it will bring a uniform pattern for taxation on all long-term savings.

Proposed features

1.The code proposes to exempt income up to Rs 1, 60,000 a year from tax, which is already said in the budget. Also, it is said that income up to Rs 10 lakhs will be taxed at 10%, 10-25 lakhs at 20% and beyond Rs 25 lakhs at 30%. However, at present, there is a 10% tax on income between Rs 1, 60,000 and Rs 3 lakhs, 20% between Rs 3 lakhs and Rs 5 lakhs, and 30% beyond Rs 5 lakhs.

2.The code proposes that gross salary of an individual would also include perquisites such as value of rent-free accommodation, medical reimbursements and leave travel encashment.

3.In the new tax law, salaried persons could not be able to claim tax benefit on interest repayment on housing loans. But, if the house is rented, benefits can be availed.

4.The tax code talks about implementation of EET, which means investors could face tax at the time of withdrawal. Meanwhile, the tax exemption would be available to the PPF (Public Provident Fund) and other pension fund schemes on withdrawals of amounts accumulated up to March 31, 2011.

5.The Code further proposes abolition of STT. But, capital gains on shares and securities have been proposed to be taxed as income.

Economy on a comeback trail with 7.8% industrial growth in June

According to the latest report released by government showed that industrial production was on the revival track and surges to 7.8% growth rate in June, beating forecasts by a wide margin. This figure can be positive news to the market that concerns about the poor monsoon casting a shadow on economic revival.

Manufacturing activities, the worst-affected sector, grew by a whopping 7.3% in June over 6.1% a year ago. The sector comprises about 80% of the index of industrial production (IIP).

The data showed that mining grew by a substantial 15.4% and power was up 8% in June. Also, 12 out of 17 industrial segments during the month recorded positive growth as compared to the corresponding month of the previous year.

Since, the collapse of Lehman Brothers, industry started contracting. In the first quarter, Industrial growth stood at 3.7% against 5.3% a year ago.

Montek Singh Ahluwalia, deputy chairman of Planning Commission said that he always expect the positive trend in industrial growth to continue. However, weak monsoon could have some negative impact on the overall GDP.

 

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Contact Us

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