FINANCE MINISTER PRANABMUKHERJEE HAS PRESENTED THE BUDGET 7 TIMES
• IT Exemption limit raised to Rs.2 lakh 2 To 5 10% 5 To 10 20% 10 To More 30%• Interest up to 10,000 on Savings Bank A/C to be exempted from tax• Age limit for senior citizen for tax benefits reduced to 60 from 65• Deduction of 50% investment up to Rs. 50000 in equity by new investors with annual income up to Rs. 10 lakh.• STT reduced 20% on Delivery based transaction.
• Additional Avenues for investing in tax-free bonds made available• TDS made mandatory for sale of immovable property worth over 50 lakhs in urban areas and 20 lakhs in rural areas.• 1% tax to be collected by seller for any sale in cash with value of 2 lakhs of jewellery, bullion etc.• TDS for investors from Debentures if amount exceeds 5000/-
• No tax benefits for new life insurance policy with annual premium over 10% of sum assured.• Withholding tax on interest on ECBs, reduced from 20% to 5% for Powers, Airlines, Roads etc for 3years• Tax Audit exemption limits increase from 60 lakh to 1 core for SMEs, Rs 15 lakh to 25 lakh for professionals.
• All Assets, Financial Interests etc. abroad to be declared to IT• Penalty up to 90% on undisclosed income found during search• Threshold for payment of service tax on apartment maintenance raised from 3000 to 5000• No excise on branded silver jewellery
• Duty free baggage allowance at airports raised by 10000 to 35000• Excise duty on branded ready made garments reduced from 4.6 to 3.7• Service tax rate up from 10.3% to 12.3%• Basic Custom Duty on imported vehicle over $40000 (3000 cc or more for petrol, 2500 cc more for diesel) raised from 60 to 75%• Excise duty on cars of 1500 cc and above raised to 27%.