The middle class cheered as the Hon’ble Finance Minister announced significant cuts in personal tax rates for individuals and HUFs. The government vocalised its underlying intent to boost people’s income and stimulate demand and growth. However, the tax cuts are accompanied by a cost where taxpayer electing the lower tax regime would need to forego specified personal tax deductions and exemptions. … [Read more...] about Budget 2020|Personal tax rate cuts – to elect or not to elect?
Tax cuts for the wealthy
Experts, however, believe the government's estimate is 'optimistic.' "This growth number seems to be a bit on the optimistic side, given the real GDP growth continue to moderate and inflation is expected to cool-off below 4 percent in the second half of 2020-21 as food inflation spikes moderate and a high base effect kicks-in," according to a report by HDFC Bank. … [Read more...] about Government’s ambitious tax mop-up target for FY20 makes FY21 goal daunting
"We threatened the family that we were going to file an FIR against them for destruction of evidence unless they handed us the packets. One of us then rang the police station. Of course, we would not have been able to do much, but the family panicked, and soon the man who had taken the packets showed up at the door. Those turned out to be important documents,” J adds. … [Read more...] about Dhan ki Baat: A retired tax official talks about the life of a taxman
There is a small detail in the Income Tax (I-T) provisions of Budget 2020 that you might have missed: A life insurance policy without the cover being a certain multiple of the annual premium means you lose out on tax exemptions even if you pay as high as Rs 1.5 lakh for it annually. … [Read more...] about Want to know if your annual life insurance premium is tax-exempt? Read on
There were doubts on whether the interest was to be paid on gross tax liability or net tax liability. The CBIC had said that interest was to be paid on tax liability either through cash or utilisation of input tax credit.Exclusive offer: Use code "BUDGET2020" and get Moneycontrol Pro's Subscription for as little as Rs 333/- for the first year. … [Read more...] about Interest on delayed GST payment will now be calculated on net tax liability