Tally for CAs in Industry Silver Edition (Single User) Tally Renewal (Auditor Edition) Need Tally for Clients? (Tie-up with us!!!)
Open DEMAT Account with in 24 Hrs and start investing now!
Direct Tax »
Open DEMAT Account in 24 hrs
 Notification No. 10/2021 CENTRAL BOARD OF DIRECT TAXES
 ITR not processed yet? Make sure you check and resolve your Tax Credit mismatch, urges Income Tax Dept
 The PF will be taxable at your marginal rate of tax
 ITR Filing Deadline: Here's how much fine you will have to pay for missing tax return due date
 Missed ITR verification deadline? Check how to file condonation of delay request after 120 days
 Directions under Section 35 A of the Banking Regulation Act, 1949 (As Applicable to Co-operative Societies) Deccan Urban Co-operative Bank Ltd., Vijayapur
 How to save Income Tax? Top tips, options Home loan, education loan, NPS, APY, 80CCD, 80C, house rent and more
 Failed to submit investment proofs? You can still save taxes ITR filing
 Income Tax Dept. reminds due date for filing ITR require to be Audited for AY 2020-21
 Will last date for ITR Filing be extended again? Know what CBDT said ITR filing FY 2019-20

TDS rate cut on salaries would have increased tax compliance burden: Official
May, 18th 2020

To improve liquidity in the hands of taxpayers, finance minister Nirmala Sitharaman has reduced rate of tax deducted at source (TDS) and tax collected at source (TCS) by 25% but salaries have been kept out of the purview of relief.

Finance Secretary Ajay Bhushan Pandey has issued a clarification explaining how a TDS rate cut would have lead to more trouble for the salaried class. He said TDS is deducted from salary after taking into account various eligible deductions like 80C and others of the salaried person.

"If we reduced the TDS rate for salaried class then their compliance burden would have increased because they would be required to pay higher taxes at the year end along with interest. Hence TDS rate has not been cut for salaried class," Bhushan said. This, he said, has been done to ensure that salaried individual do not have to bear the burden of paying high taxes at the year end and also the interest burden.

Similarly, cash withdrawals and foreign remittances have also been kept out of the rate reduction ambit to promote digital transactions and restrict larger outflow of money.

The Central Board of Direct Taxes (CBDT) has already notified revised TDS and TCS rates that will be applicable from 14 May to 31 March. Tax deducted or collected at source on payment of dividend, insurance policy, rent, professional fee and on the acquisition of immovable property has been cut by 25% to provide more money into the hands of taxpayers to deal with the economic situation amid the Covid-19 pandemic.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2021 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting