Finance minister CA. Piyush Goyal on Friday presented Budget in Lok Sabha
Based on speech of Hon’ble FM on 01.02.18, the following brief compilation;
A. DIRECT TAX:
(I) Individuals: Tax Slabs remain unchanged as below :
Income up to Rs 2.5 lakh : NIL tax
Income between Rs 2.5 – 5 lakh : Tax at 5%
Income between 5 – 10 lakh : Tax at 20%
Income above Rs 10 lakh : Tax at 30%
Note; Persons having total income upto Rs. 5 lakh will be allowed a rebate of Rs. 12,500/- in tax, i.e. Full Tax rebate upto 5 lakh annual income
Exemption Slab has not been changed it is 2.5 Lakh only, rather 87A Section rebate has been kept as maximum of Rs.12,500/- instead of 2500/- only for people having net income upto 5 Lakhs. Effect of this will be that if your Total Income exceeds Rs. 5 lakhs, then the benefit of exemption upto 5 Lakhs will not be available.
1. Standard deduction (Pensioners and Salaried Employee); has increased from Rs 40,000 to 50,000/-. for salaried employees in lieu of transport and medical expense.
2. Capital gains benefit u/s 54; has increased from Investment in one Residential house to Two residential houses,for a taxpayer having capital gains up to 2 Crore rupees; can be exercised once in a lifetime
3. TDS u/s 194A; Interest other than interest on securities threshold limit has increased from Rs.10,000/- to 40,000/-
4. TDS u/s 194I; RENT threshold limit has increased from Rs.1,80,000/- to 2,40,000/-
5. Tax free Gratuity limit increased from Rs.10 Lakh to 30 Lakh
6. Income tax relief on notional rent from unsold houses extended to TWO years from one year
7. ITR to be processed within 24 Hours and refunds will be paid immediately,
8. Within nearly two years, almost all assessment and verification of ITRs will be processed electronically by an anonymised tax system without intervention by Govt. officials,
(II) For FARMERS:
1. 6,000/- pa in 3 installments to be given to farmers having upto 2 hectares land,
2. Interest subvention to Farmers, affected by natural calamities to get 2%interest subvention and additional 3% interest subvention upon timely repayment
3. Interest subvention 2% to Farmers pursuing animal husbandary and also create separate deptt for fishers through Kisaan credit cards,
4. National kamdhenu ayog for cows. Rs. 750 crore for National Gokul Mission,
(III) Benefits For WORKERS:
1. 3,000/–pm pension for Unorganized sector workers,
2. New Pradhan Mantri Shram Yogi Maandhan Yojana for unorganised sector workers with income up to Rs 15,000 pm. Beneficiaries will get Rs 3,000 per month pension with a contribution of Rs 100 pm after retirement. Govt allocates Rs 500 crore for the scheme,
3. 60,000/- crore allocated for MNREGA,
B. INDIRECT TAX (GST & CUSTOM):
1. Govt. abolishes Custom duties on 36 capital goods,
2. Group of Ministers to suggest ways to reduce GST for home buyer,
3. Businesses with less than Rs 5 crore annual turnover, comprising over 90% of GST payers, will be allowed to file quarterly returns,
4. Interest @ 2% relief for GST registered MSME person.
C. Overviews / Achievements:
1. India is a $5 Trillion Economy in next 5 years,
2. Recovered Rs 3 lakh crore through Insolvency and Bankruptcy Code.
3. 3.38 lakh shell companies were deregistered,
4. Fiscal Deficit at 3.4% of gdp for FY 19 and current a/c deficit at 2.5% of gdp.
5. Govt. to build One lakh digital villages
Disclaimer; Its based on available sources like FM speech, news agencies, medias etc., not responsible for any misrepresentation.