Centre working on mechanism to review I-T Act, simplify taxes
The Central Government is working on the modalities to simplify taxes, improve tax payer services and reduce litigation by undertaking a comprehensive... Key Points
The Tribune IndiaRevenue Secretary explains how removal of indexation will only benefit most property sellers, not hurt the
Budget 2024 removed the indexation benefit hitherto applicable to property sale. Till now, LTCG on property sale was being taxed at 20% with indexation benefit. Now, the rate stands reduced to 12.5%, but the seller will have no indexation benefit. Key Points
Economic TimesBudget 2024: tax practitioners' urge govt to rationalise personal income tax
Union Budget 2024: The All India Federation of tax Practitioners (AIFTP) has called for a 10% exemption limit on personal income tax in the upcoming Union budget. The tax structure should be simplified to ease compliance. The AIFTP president also suggested eliminating the surcharge and cess, arguing that the government's failure to explain how the education cess is used is unjustified. Key Points
Economic TimesBudget 2024: Double standard deduction to Rs 1 lakh and more on the table that need Nirmala Sitharaman's a
Budget 2024: Consultancy firm KPMG anticipates changes in the upcoming Union Budget, including doubling standard deduction to Rs 1 lakh, increasing tax breaks on housing loan interest, and rationalizing capital gains tax regime. The focus is on enhancing disposable income and promoting home ownership through tax reforms. Key Points
Economic TimesBudget expectations: Realty sector seeks industry status, higher tax relief for home buyers
As Union Finance Minister Nirmala Sitharaman prepares to present the maiden budget of Modi 3.0, the real estate sector has a lot of hope from it. While the... Key Points
The Tribune India
Mint Quick Edit | GST needs a remake, not just small tweaks
The GST Council has announced various changes to make compliance easier. Good. For impact, though, it needs to move beyond minutiae and take up ambitious reforms. Key Points
mintNo GST on hostels, rail platform ticket, waiting room, ESOPs
GST Council exempts hostel fees, platform tickets, and more from GST. Hostels under Rs 20,000/month are exempt. Nirmala Sitharaman announces tax exemp Key Points
Times Of IndiaBesides election results, a bigger worry has emerged for investors
In early May, Sensex plummeted 1,100 points amid rumors of post-election tax changes. An alleged plan to overhaul tax laws and asset class treatments worried investors. Minister Nirmala Sitharaman dismissed the claims, but speculations persist. Jefferies Christopher Wood warned of a potential market correction due to capital gains tax adjustments post-elections. The complex capital gains tax system in India continues to fuel speculation and calls for simplification, impacting equity investors and market growth. Key Points
Economic TimesED arrests businessman in Rs 263 crore fake tax refund scam case
A businessman was arrested by the Enforcement Directorate (ED) in a Rs 263 crore-Tax Deducted at Source (TDS) scam. The accused helped a tax official in orchestrating the scam by generating fake TDS refunds. Key Points
India TodayWhy an inheritance tax can be an eminently bad idea
Ever since inheritance tax was abolished in 1985, it keeps hitting the news from time to time. Many times it is speculated before the presentation of the Union budget if the finance minister would re-impose the inheritance tax. Many countries impose inheritance tax in different ways. Pitroda's comments have brought it back into the discussion again. Key Points
Economic Times
Rain levy: The weird-tax hall of fame has a new entrant from Toronto
The Canadian city’s ‘rain tax’ is just one of many wacky fiscal ideas the world has seen in the grey zone of fame and infamy. While advocates of odd taxes always offer justifications, the impact they have is another story. Key Points
mintGovt hikes windfall tax on crude petroleum to Rs 6,800 per tonne
The government has increased the windfall tax on domestically produced crude oil to Rs 6,800 per tonne from Rs 4,900 per tonne, effective from April 4. This tax, implemented as Special Additional Excise Duty (SAED), aims to regulate the petroleum industry and ensure the prioritization of domestic fuel over exports. Notably, the export duty on diesel, petrol, and ATF will remain at zero. Key Points
Economic TimesITR-1, ITR-2, ITR-4 forms for FY 2023-24 (AY 2024-25) available now on e-filing income tax portal
ITR filing forms for FY 2023-24: As of April 1, 2024, the online ITR forms have been enabled. This means that taxpayers who are eligible to file their tax returns using these forms can now proceed to file their ITR for the financial year 2023-2024. Key Points
Economic TimesIndian government meets revised tax collection targets for fiscal 2024: Official
The Indian government has met the tax collection target for 2023-24 of over Rs 34.37 lakh crore, driven by strong economic activity and improved compliance. Direct tax target was set at Rs 19.45 lakh crore, while GST collections hit record highs. India's robust growth projected at 7.6%-8%. Key Points
Economic TimesWhat are the new things you ought to know about new tax regime? Anil Rego answers
Anil Rego explains the implications of choosing between old and new tax regimes, emphasizing the importance of deductions like home loan interest. Opting in is necessary for the old regime, which offers specific benefits for tax planning. Rego says: It makes sense for you to go for the new tax regime if you do not have too much tax saving investments. But you would ideally need to compute it. Key Points
Economic Times
GST upsurge: This tax needs to be tweaked
For 2023-24, India’s GST revenue crossed ₹20 trillion. If its weak mop-ups are firmly in the past, at long last, we must go for slab and rate reforms. Key Points
mint6 income tax rules that salaried should know as financial year 2024-25 starts from today
Income tax rules from April 1: The new financial years starts from today. It is important to know the correct income tax rules so that an individual can do the tax planning for the financial year, make tax-saving investments for the current financial year. Read on to know the income tax ready reckoner for financial year 2024-25. Key Points
Economic TimesTaxman puts some FPI assessments on hold for more information
The Income tax (I-T) department has deferred issuing final assessment orders on several foreign portfolio investors (FPIs) for the financial year 2021-22, seeking additional information from jurisdictions like Mauritius. While the assessment period ended on March 31, 2024, the tax office has invoked provisions to extend the deadline, indicating efforts to gather more facts. Key Points
Economic Times5 HRA tax exemption proofs you must have in case income tax dept asks
HRA tax exemption documents: House Rent Allowance (HRA) is generally part of salaried CTC. To save tax on rent paid during the financial year, an individual can claim exemption on HRA. However, an individual must have certain proofs apart from paying rent to claim HRA exemption and avoid rejection from the income tax department. Key Points
Economic TimesHRA tax exemption: HRA fraud with illegal usage of PANs detected by tax dept; how to avail House Rent Allo
HRA tax fraud: The investigation began when authorities stumbled upon purported rent receipts totaling approximately Rs 1 crore under an individual's PAN. However, upon questioning, the individual disavowed any knowledge of these transactions. Subsequent inquiry revealed that the individual had not actually received the rent attributed to them. Key Points
Economic Times
Ministry of Finance debunks falsehoods: New tax regime clarified, no changes on horizon
Ministry of Finance posted, Ministry of Finance posted on X, It has come to notice that misleading information related to new tax regime is being spread on some social media platforms. It is therefore clarified that: There is no new change which is coming in from 01.04.2024..... Key Points
Economic TimesEcommerce growth slowing; Ola Electric’s debt funding
The decline was indicative of softer demand as order volumes shrunk, even as the uptake of expensive items helped keep up overall sales. However, month-on-month sales are improving, fueling hope that with the onset of summer, increased demand for certain categories could bolster full-year sales figures. Key Points
Economic TimesHRA Exemption Rules: How to save income tax on house rent allowance under old tax regime
House rent allowance (HRA) tax benefit is available only to salaried individuals who are planning to opt for old tax regime. Further, this tax benefit can be claimed only if they have the HRA component as part of their salary structure and is staying in a rented accommodation. Self-employed professionals cannot avail this deduction. HRA tax exemption is not available under the new tax regime. Key Points
Economic TimesCongress gets fresh I-T notice of over Rs 1,745 crore, total tax demand rises to Rs 3567 crore
According to sources cited by PTI, the fresh tax notices relate to 2014-15 (Rs 663 crore), 2015-16 (around Rs 664 crore) and 2016-17 (around Rs 417 crore). The authorities have ended the tax exemption available to political parties and have taxed the party for the entire collections, they added. Key Points
Economic TimesCongress cites fresh tax notice to attack BJP, war of words ensues
Income tax authorities served the Congress a notice to pay ₹1,823.08 crore, triggering accusations of "tax terrorism" ahead of elections. | Latest News India Key Points
Hindustan Times
Startups looking to reverse-flip must pay tax: Piyush Goyal
Indian-origin startups considering relocating to India face tax implications, aiming for better valuations. Minister Goyal emphasized using tax revenue for social development. Walmart paid significant taxes during PhonePe's separation. Angel tax and valuation norms are being regulated for startup balance. Key Points
Economic TimesCongress leader Ajay Maken accuses BJP of 'tax terrorism', calls for I-T dept to pursue over Rs 4,600 cr d
Speaking at a press conference held at the AICC headquarters alongside Congress General Secretary Jairam Ramesh, party treasurer Ajay Maken alleged serious violations of income-tax laws by the BJP. Maken emphasized the need for the Income tax department to demand over Rs 4,600 crore from the saffron party for these purported infractions. Key Points
Economic TimesBest ways to save income tax: 10 tax-saving investment options for you
ET Wealth annual ranking of tax-saving instruments helps such individuals make the right choices. We assessed 10 tax-saving options on eight key parameters—returns, safety, flexibility, liquidity, costs, transparency, ease of investment and taxability of income. Each parameter has equal weightage and the composite scores determine the place in the ranking. Key Points
Economic TimesDomestic startups come under income tax glare for their recent funding
Notices sent a few weeks ago to multiple startups by the I-T department asking for genuineness, credit worthiness of their investors. Post the notices were served, some startups have been asked to cough up taxes and penalties, if their submissions havent been adequate. The tax demands have been arrived at by clubbing the funding with the startups income. Key Points
Economic Times8 reasons why old tax regime is still attractive for many taxpayers in this income tax bracket
Though, under the new tax regime you may end up paying no tax on income up to Rs 7.5 lakh and and pay tax at a lower rate when your income goes higher, but old tax regime offers higher tax saving opportunities with various deductions and exemptions. However, these deduction can not be claimed by all taxpayers and apply on only select individuals. Hence, it makes sense for you to check which tax regime will help you save higher tax. Key Points
Economic Times
How to switch from new tax regime to old tax regime for FY23-24
Change income tax regime: At the start of the financial year, an individual is required to select one tax regime - old or new- for deducting of taxes on salary by employer. However, it may happen that an individual wants to switch the tax regime from what was opted in the start of the financial year. The income tax laws allow such change. Here is how to go about it. Key Points
Economic TimesWherehouse? Spice, dry fruit importers facing GST heat
The Goods and Services tax (GST) authorities have issued notices to around 50 importers of spices, dry fruits, processed food, and poultry for storing products at warehouses different from the actual place of supply. They seek additional tax payments of approximately Rs 1,000 crore. Some importers have also been warned of registration cancellation. Key Points
Economic TimesSuspension of property tax collection in merged villages affects Pune civic body’s coffers
PMC aimed to collect ₹2,400 crores in the financial year 2023-24, which included income tax from villages and arrears. However, the civic body fell short of its revenue target and collected only ₹2,153 so far. Key Points
Hindustan TimesTDS on salary is not at fixed rate; know how tax is calculated and deducted by employer
TDS on salary: Before paying a salary every employer will deduct tax deducted at source (TDS) and then pay a salary to their employees. However the rate of deduction of TDS is not fixed and it is determined by calculating the average rate of tax of the employee. Read here to know exactly how the calculation for TDS is done. Key Points
Economic TimesMarch 31 deadline is getting near. How to save income tax with tax loss harvesting?
March is an important month for taxpayers. It is that time of the year when they leverage government-provided tax exemptions and reduce their tax liability. In other words, it is tax planning, which is a legal approach used to minimize the amount of income tax owed. Key Points
Economic Times
Buying property in Australia? Here are income tax compliance you should know before you purchase
Section 194IA requires a buyer to deduct 1% tax if buying property from a resident exceeding ₹50 lakh. Section 195 applies if the seller is a non-resident. Different tax rates apply based on long-term or short-term capital gains. TAN is required for non-resident transactions but not for residents Key Points
mintHow India's grand old party was left with bank accounts frozen
At a hurriedly convened press conference on February 16, Congress treasurer Ajay Maken said the tax department had frozen the party's main bank accounts on the flimsy ground of delay in filing returns years ago. He said the action had left the party with no money to meet daily expenses and was part of Modi govt's agenda to kill democracy and turn the country into a one-party state. Key Points
Economic TimesEEE investments: Get completely tax-free returns with these investments - PPF, EPF and SSY; check details
Financial Literacy News: The deadline for tax-saving investments this fiscal year is coming up, ending on March 31, 2024. When choosing an investment, consider factors like lock-in periods, withdrawal conditions, taxes on interest, and maturity amounts. For high-income earners, the taxability of returns is important. Taxable returns are added to your income and taxed at higher rates. So, investments that offer tax-free returns can greatly increase your after-tax earnings. Key Points
Times Of IndiaRoyalty rate under Spain DTAA notified
The notification holds importance especially in view of the recent Supreme Court judgement in the case of Nestle wherein it was held that the Most favoured Nation clause is not auto-executory. The notification ensures availability of the benefit of lower tax Rate with respect to Royalty income & FTS under the India Spain tax Treaty, Pranav Sayta, Partner & Leader International tax and Transaction Services, EY India said. Key Points
Economic TimesIncome tax dept asks many individuals to explain high value transactions of FY20-21 as Updated ITR deadlin
The deadline to file updated income tax return (ITR-U) is March 31, 2024 for FY 2020-21 . In light of this deadline, the tax department is sending intimation to taxpayers urging them to check the AIS/Compliance portal regarding identified specified/high value transactions. If an individual is not being able to explain these transactions or give a satisfactory response, income tax notice will be sent. Key Points
Economic Times
Now a VIP or PMO can help you to expedite pending tax appeals; Know how to file request for expedition
CBDT has revised the situations when a individual or income tax assessing officer (AO) can file a request for expedition of tax appeal cases. Cases where a VIP/PMO reference is received for expeditious disposal, said the Central Board of Direct Taxes (CBDT) in a order dated March 7, 2024. This order is not in public domain. Key Points
Economic TimesMarch 31 is the last date to file ITR-U for AY 2021-22; If you miss, be ready to pay up to 200% of the inc
Income tax updated return: March 31, 2024 is the last date to file an updated income tax return (ITR-U) for AY 2021-22 (FY 2020-21). Do note that ITR-U may be used to fix errors like under-reporting or misreporting of income, or any other errors in the previously filed ITR. Once the deadline to file ITR-U is over and you are caught evading taxes penalty up to 200% of the tax evaded can be levied. Key Points
Economic TimesDirect tax collection grows 20 pc to Rs 18.90 lakh cr till Mar 17
New Delhi, Mar 19 (PTI) The net direct tax collection grew 19.88 per cent to over Rs 18.90 lakh crore till March 17, the income tax department said on Tuesday. The net direct tax collection of Rs 18,90,259 crore(as of March 17) includes Corporation tax (CIT) at Rs 9,14,469 crore (net of refund) and Personal […] Key Points
ThePrintLong weekend cancelled for income tax department; it will work on March 29 to 31st to facilitate taxpayers
Income tax department: March 29, 2024 is Good Friday, a holiday and March 30 is a Saturday. Further March 31 is a sunday. In light of the financial year 2023-24 ending on March 31, 2024, the income tax department has cancelled the holiday and said that its office will be open on all three days. Key Points
Economic TimesSmart tax planning tips for FY 2023-24: Avoid these common mistakes before March 31 deadline
Financial Literacy News: Brokers and distributors are likely busy as the March 31 deadline nears. They may be promoting expensive products to anxious taxpayers who haven't finished their tax planning yet. These products might not benefit the buyer much but offer high commissions to the seller. Key Points
Times Of India
Post Office Term Deposit Vs Tax-Saver FDs: Interest rates compared - which one should you opt for?
Financial Literacy News: Every quarter, the government updates the interest rates of small savings schemes. For the April-June 2024 period, the rates remain unchanged for all 10 schemes, including the 5-year Post Office Time Deposit (POTD). Additionally, many banks provide tax-saving benefits on 5-year fixed deposits. Key Points
Times Of Indiatax planning for FY 2023-24: Last date is March 31, don’t make these mistakes
The tax-saving investments of an individual should be part of his overall financial plan. Poor financial habits and biased advice push taxpayers to make sub-optimal investment decisions. Here are some mistakes they must avoid in the rush to beat the 31 March deadline. Key Points
Economic TimesTax-saving ideas: How to restructure your salary to reduce income tax outgo by more than Rs 1 lakh
Taxpayers can reduce their tax significantly by reformatting their salary. If companies restructure their compensation packages by replacing taxable emoluments with some tax-free perks, they can lower the tax liability of their employees. There are several such tax-exempt allowances, including food coupons and reimbursement of expenses on fuel and travel, newspapers and periodicals, phone and Internet. The taxable portions of the salary, such as the special allowance, can be reduced to make place for the tax-exempt allowance. Find out how to go about it. Key Points
Economic TimesHow to save income tax in new tax regime? Two deductions that salaried can claim
If you are planning to opt for the new tax regime in current financial year, then there are two deductions that are allowed under the new tax regime. These deductions are available to salaried individuals. Read on to know more about these two deductions and how it can be claimed while filing income tax return. Key Points
Economic TimesTax-saving tips: 7 lesser-known investments, expenses eligible for tax breaks
Apart from popular tax deductions like 80C, 80D, 80G, there are lesser-known tax breaks. Here is a look at 7 such tax-saving options to choose from. Key Points
Economic Times
Maximizing tax efficiency with mutual funds: Understanding distribution types and taxation methods
Mutual funds have emerged as a popular investment option in India, offering the dual advantage of expert money management and tax-efficient returns. However, to maximize the tax efficiency of mutual fund investments, its crucial to understand the different distribution types and taxation methods. Key Points
Economic TimesNet direct tax collections likely to surpass FY24 target of Rs 19.45 lakh crore
Net direct tax collections from April 1, 2023, to March 15, 2024, stood at Rs 18.95 lakh crore, up 14.05% year on year, buoyed by advance tax collections of Rs 9.10 lakh crore, officials said. Key Points
Economic TimesRishi Sunak eyes tax cuts, an autumn election
Having the chance to put it into action may be easier said than done. That is the central scenario among political advisers working for Sunak, who this week finally ruled out holding a snap election on May 2, quelling weeks of speculation that he might call an early vote. While the election date is not decided, the prime minister's aides believe he can leverage falling inflation, expected interest rate cuts and the fiscal headroom likely to accrue by rolling into a new forecast period to announce more pre-ballot giveaways. Key Points
Economic Times