Today, Hon'ble Finance Minister presented the interim budget. The highlights of the proposal in the context of direct tax are discussed
Due date extended to 31st Oct
CBDT extends due dt for filing of Income Tax Returns & audit reports from 30th Sept,2018 to15th Oct, 2018 for all assessees liable to file ITRs for AY 2018-19 by 30.09.2018,after considering representations from stakeholders. Liability to pay interest u/s234A of ITAct will remain
Clause 30C (relating to GAAR) and 44 (GST) of the Tax Audit Report is deferred for this Assessment Year
In order to widen the scope of TDS, section 194-IB has been inserted which provides that Individuals or a HUF (other than those covered under 44AB of the Act), responsible for paying to a resident any income by way of rent exceeding ₹ 50,000 for a month or part of month during the previous year, shall deduct an amount equal to 5% of such income as income-tax thereon.
Under the existing regime, long term capital gains arising from transfer of long term capital assets, being equity shares of a company or a unit of equity oriented fund or a unit of business trust, is exempt from income-tax u/s 10(38). However, transactions in such long-term capital assets are liable to STT
At present, while taxing income from capital gains (sec. 50C), business profits (sec. 43CA) and other sources (sec. 56) arising out of transactions in immovable property, the sale consideration or stamp duty value, whichever is higher is adopted.
The legislative intent of introducing sec. 44AE was to give benefit to small transporters in order to reduce their compliance burden. Even though the profit margins of large capacity goods carriages are higher than small capacity goods carriages
Several changes have also been introduced to improve the horizontal equity of the tax system by providing relief to certain section of the society, in particular, senior citizens, keeping in view their personal circumstances like health, fixed source of income. These changes are discussed