Interim Budget 2019-20 Highlights of tax Relaxations and advantages given
Union minister of finance Shri Piyush Goyal has started presenting the Interim Budget 2019 at the Lok Sabha
In view of the elections ahead, it absolutely was speculated that the Budget would bring accrued tax advantages, especially for people taxpayers.
The tax advantages are often thought of in terms of increase in basic income tax exemption slab/threshold, sweetening of investment limit for qualifying deduction underneath Section 80C, exemption on savings bank interest, sweetening in section 87A rebate etc.
Union minister of finance Shri Piyush Goyal has started presenting the Interim Budget 2019 at the Lok Sabha
In view of the elections ahead, it absolutely was speculated that the Budget would bring accrued tax advantages, especially for people taxpayers.
The tax advantages are often thought of in terms of increase in basic income tax exemption slab/threshold, sweetening of investment limit for qualifying deduction underneath Section 80C, exemption on savings bank interest, sweetening in section 87A rebate etc.
Highlights of the taxation Proposals for AY 2020-21
1.100% tax rebate u/s 87A up to total financial gain of Rs. 5 lakhs.
Section 87A of the Income-tax Act amended to produce relief to the individual taxpayers by increasing the utmost quantity of tax rebate to Rs.12,500 from existing Rs. 2,500.
The tax rebate shall currently be admissible to taxpayers having the total financial gain up to Rs. 5,000 rather than existing Rs. 3500. U/s 87A
1.100% tax rebate u/s 87A up to total financial gain of Rs. 5 lakhs.
Section 87A of the Income-tax Act amended to produce relief to the individual taxpayers by increasing the utmost quantity of tax rebate to Rs.12,500 from existing Rs. 2,500.
The tax rebate shall currently be admissible to taxpayers having the total financial gain up to Rs. 5,000 rather than existing Rs. 3500. U/s 87A
Total/Taxable Income (Rs.)
|
Income Tax
|
Rebate u/s 87A
|
Net Tax
|
Rs. 300000/-
|
2500/-
|
2500/-
|
Nil
|
Rs. 350000/-
|
5000/-
|
5000/-
|
Nil
|
Rs. 400000/-
|
7500/-
|
7500/-
|
Nil
|
Rs. 500000/-
|
12500/-
|
12500/-
|
Nil
|
Rs. 500100/-
|
12520/-
|
Nil
|
12520/-
|
Rs. 600000/-
|
32500/-
|
Nil
|
32500/-
|
2. Standard deduction u/s 16(ia) from pay financial gain raised to 50,000/-
Amendment created to section sixteen of the Income-tax Act to supply relief to the salaried taxpayers by the manner of skyrocketing the number of deduction from pay financial gain, from existing forty thousand rupees to fifty thousand rupees
3. No TDS u/s 194A on interest on fastened deposits up to Rs. 40 lakhs U/s 87A
Amendment created to section 194A of the Income-tax Act thus on ease the burden of compliance by manner of skyrocketing the edge limit from 10 thousand rupees to forty thousand rupees, for deduction of tax at supply on
interest financial gain, aside from interest on securities, paid by a banking concern, co-operative society or a post workplace.
4. No TDS on rent u/s 194I up to Rs. 2.40 lakhs p.a.
Section 194-I of the Income-tax Act amended to rationalise the edge limit from 100 and eighty thousand rupees to 2 hundred and forty thousand rupees, for deduction of tax at supply on income.
5. No modification in taxation basic slabs, rates or surcharge for the F.Y. 2019-20. Below given the Tax Slab for F.Y. 2019-20.
