Akash Tax Consultant

RELIEF TO SMALL TAX PAYERS
Raise the ceiling of tax rebate under section 87A from `2000 to `5000
to lessen tax burden on individuals with income upto `5 laks.
Increase the limit of deduction of rent paid under section 80GG from
`24000 per annum to `60000, to provide relief to those who live in
rented houses.
BOOST EMPLOYMENT AND GROWTH
Increase the turnover limit under Presumptive taxation scheme under
section 44AD of the Income Tax Act to ` 2 crores to bring big relief to a
large number of assessees in the MSME category.
Extend the presumptive taxation scheme with profit deemed to be 50%,
to professionals with gross receipts up to `50 lakh.
Phasing out deduction under Income Tax:
Accelerated depreciation wherever provided in IT Act will be
limited to maximum 40% from 1.4.2017
Benefit of deductions for Research would be limited to 150% from
1.4.2017 and 100% from 1.4.2020
Benefit of section 10AA to new SEZ units will be available to those
units which commence activity before 31.3.2020.
The weighted deduction under section 35CCD for skill development
will continue up to 1.4.2020
Corporate Tax rate proposals:
New manufacturing companies incorporated on or after 1.3.2016
to be given an option to be taxed at 25% + surcharge and cess
provided they do not claim profit linked or investment linked
deductions and do not avail of investment allowance and
accelerated depreciation.
10
Lower the corporate tax rate for the next financial year for
relatively small enterprises i.e companies with turnover not
exceeding ` 5 crore (in the financial year ending March 2015), to
29% plus surcharge and cess.
100% deduction of profits for 3 out of 5 years for startups setup during
April, 2016 to March, 2019. MAT will apply in such cases.
10% rate of tax on income from worldwide exploitation of patents
developed and registered in India by a resident.
Complete pass through of income-tax to securitization trusts including
trusts of ARCs. Securitisation trusts required to deduct tax at source.
Period for getting benefit of long term capital gain regime in case of
unlisted companies is proposed to be reduced from three to two years.
Non-banking financial companies shall be eligible for deduction to the
extent of 5% of its income in respect of provision for bad and doubtful
debts.
Determination of residency of foreign company on the basis of Place of
Effective Management (POEM) is proposed to be deferred by one year.
Commitment to implement General Anti Avoidance Rules (GAAR) from
1.4.2017.
Exemption of service tax on services provided under Deen Dayal
Upadhyay Grameen Kaushalya Yojana and services provided by
Assessing Bodies empanelled by Ministry of Skill Development &
Entrepreneurship.
Exemption of Service tax on general insurance services provided under
‘Niramaya’ Health Insurance Scheme launched by National Trust for the
Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and
Multiple Disability.
Basic custom and excise duty on refrigerated containers reduced to 5%
and 6%.

Akash Tax Consultant All Types Of Working Relating

Tally Accounting
Income Tax Return
Pan Card
Project Finance
SSI Certi

The
Budget
Session
of
Parliament
will
commence
on
February
23
that
will
focus
largely
on
the
financial business of the government, which will
present the general budget on February 29. The
budget session of parliament will commence on
February 23.
The Rail Budget will be presented on February 25,
the pre-budget economic survey on February 26
and the General budget on February 29.
“The first part of Budget session will end on March
16 and the second part will be convened from April
25 to May 13,” Parliamentary Affairs Minister
Venkaiah Naidu told reporters after the meeting of
CCPA.