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Comparative analysis on budget 2020 for Salaried Individual

Comparative analysis on budget 2020 for Salaried Individual

Comparative analysis on budget 2020 for Salaried Individual Under New Tax Regime Case I-Salaried individual those who are not claiming any exemptions or deductions Amount (Rs.) Gross salary 7,50,000 10,00,000 12,50,000 15,00,000 20,00,000 Tax Rs.2,50,001-5,00,000 5% 12,500 12,500 12,500 12,500 12,500 Rs.5,00,001-7,50,000 10% 25,000 25,000 25,000 25,000 25,000 Rs.7,50,001-10,00,000 15% Rs.10,00,001-12,50,0000 20% Rs.12,50,001-15,00,000 25% Rs.15,00,001-20,00,000 30% Tax Payable 37,500 75,000 1,25,000 1,87,500 3,37,500 Health Education Cess 4% 1,500 3,000 5,000 7,500 13,500 Total Tax Payable 39,000 78,000 1,30,000 1,95,000 3,37,500…

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Clause by clause analysis of changes in GST vide Finance Bill 2020

Clause by clause analysis of changes in GST vide Finance Bill 2020

  Clauses of the finance bill, 2020 Changes in the section Corresponding Act 116 Amendment of section 2 CGST Act 117 Amendment of section 10 CGST Act 118 Amendment of section 16 CGST Act 119 Amendment of section 29 CGST Act 120 Amendment of section 30 CGST Act 121 Amendment of section 31 CGST Act 122 Amendment of section 51 CGST Act 123 Amendment of section 109 CGST Act 124 Amendment of section 122 CGST Act 125 Amendment of section…

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TDS on Payment of certain sums by e-commerce operator to e-commerce participant

TDS on Payment of certain sums by e-commerce operator to e-commerce participant

As proposed in the budget 2020, in The Income-tax Act, the new section 194-O shall be inserted, namely: (1) ‘Notwithstanding anything to the contrary’ contained in any of the provisions of Part B of this Chapter, where ‘sale of goods or provision of services’ of an e-commerce participant is facilitated ‘by an e-commerce operator’ through its digital or electronic facility or platform (by whatever name called), ‘such e-commerce operator shall’, • at the time of credit of amount of sale…

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What is Taxpayer Charter?

What is Taxpayer Charter?

Union Finance Minister Nirmala Sitharaman in her Budget speech announced that CBDT will adopt a Taxpayer’s Charter. She went on to explain ‘an important aspect of both ease of living & ease of doing business is fairness & efficiency of tax administration. We wish to enshrine in the statutes an ‘Taxpayer charter’ through this budget . Our government would like to reassure taxpayers that we remain committed to taking measures so that our citizens are free from harassment of any…

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De-criminalisation of penalties for Companies Law breaches

De-criminalisation of penalties for Companies Law breaches

Through the Companies (Amendment) Act, 2019, changes were made in the Companies Act, 2013, inter alia, to convert 16 criminal offences into civil wrongs. This was stated by Shri Anurag Singh Thakur, Union Minister of State for Finance & Corporate Affairs, in a written reply to a question in Rajya Sabha today. Stating the chronology, Shri Thakur said that in continuation of the Government’s endeavour in similar directions, a Company Law Committee was constituted by the Ministry of Corporate Affairs…

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An overview of Direct Tax Proposals in Union Budget 2020

An overview of Direct Tax Proposals in Union Budget 2020

Here I am presenting the simplified and summarized version of Direct Tax Proposals in Union Budget 2020 presented by Honorable Finance Minister of India on Feb 1, 2020. This article will help you to grasp the new insertions/amendments without going into the depth of each and every section. Let’s Begin. In order to simplify the taxation structure, a new scheme “Vivaad se Vishwas Scheme” has been introduced which will reduce or simplify the litigations under which an assessee will not…

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Is the ‘new tax regime’ introduced by the Hon’ble Finance Minister beneficial?

Is the ‘new tax regime’ introduced by the Hon’ble Finance Minister beneficial?

On 1st February 2020, the Hon’ble Finance Minister (‘FM’) of India Mrs. Nirmala Sitharaman unveiled the first budget of the 3rd decade of the 21st century.  At a time when the Hon’ble FM was expected to extend benefits of lower income tax rates to individuals and mark the first steps to introducing a revamped Direct Tax Code (‘DTC’), she managed to surprise everyone by introducing Section 115BAC in the Income Tax Act, 1961 providing an optional scheme to individuals to…

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Changes in Income tax act effecting an Individual Tax Payer

Changes in Income tax act effecting an Individual Tax Payer

The Finance minister in her speech said, “Currently the Income Tax Act is riddled with various exemptions and deductions which make compliance by the taxpayer and administration of the Income Tax Act by the tax authorities a burdensome process. It is almost impossible for a taxpayer to comply with the Income-tax law without taking help from professionals. Hence, the main aim of new tax reforms is to Simplify tax structure Bring ease of compliance Reduce litigation” This article is aimed…

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Deferring tax payment in respect of income on ESOPs for startups

Deferring tax payment in respect of income on ESOPs for startups

ESOPs have been a significant component of the compensation for the employees of start-ups, as it allows the founders and start-ups to employ highly talented employees at a relatively low salary amount with balance being made up via ESOPs. Currently ESOPs are taxed as perquisites under section 17(2) of the Act read with Rule 3(8)(iii) of the Rules. The taxation of ESOPs is split into two components: i. Tax on perquisite as income from salary at the time of exercise….

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Direct Tax proposals in the Finance Bill 2020

Direct Tax proposals in the Finance Bill 2020

FINANCE BILL, 2020 PROVISIONS RELATING TO DIRECT TAXES Introduction The provisions of Finance Bill, 2020 (hereafter referred to as “the Bill”), relating to direct taxes seek to amend the Income-tax Act, 1961 (hereafter referred to as ‘the Act’), Prohibition of Benami Property Transactions Act, 1988 (hereafter referred to as “PBPT Act”), and Finance Act, 2013, to continue to provide momentum to the buoyancy in direct taxes through tax-incentives, reducing tax rates for co-operative society, individual and Hindu undivided family (HUF),…

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