Budget 2020- Demystifying the hidden
elements behind the Budget Speech.
Hello everyone, hope you all are doing well. This
blog focuses on exploring the unknown elements of the Union Budget 2020 and
analyses impact of proposed changes in Tax on Indian economy. Nirmala
Sitharaman (Finance Minister (FM)) played very safely in his debut budget last
time and kept distance from crucial issues to serve justice to Indian economy.
As we all know that the Indian economy is in
a deep funk, in a downward spiral of falling consumption, investment and
employment, and rapidly decelerating GDP growth.
The
problem, evident for several years now, has been created by a collapse in
consumer demand, the bedrock of the country’s economy. All major economic
indicators are at their multi-year lows; the GDP growth is at six-year- low;
full year GDP forecast now stands at 5 per cent way below its 2018-19 tape;
consumer confidence is at its lowest in five year and unemployment rate of 6.1
per cent is at a 45- year high. The government too is running on a tight fiscal situation with lesser
than expected tax collections and disinvestment collections.
Last year FM has announced a slew of incentives for the economy. A tax cut for corporates and
new manufacturing
companies, reforms in Goods and Service Tax law, capital infusion for PSU banks
and setting up a fund for real estate and infrastructure. However, the economic indicators have not
shown signs of growth revival to lift up the current morass of the economy. The
call of the general public, economists and industrialists is to revive the
demand in the economy and work effectively on ease of doing business.
I am expecting that this Budget 2020 is actually a path breaking
budget and not inspired from her illogical statements made during last year on
slowdown in automobile industry wherein she quoted reason that "the
mindsets of millennial, who now prefer to have Ola or Uber rather than
committing to buying an automobile". In this background, Let’s start clause wise analysis of Direct Tax
Amendments in Budget 2020.
Budget 2020 for Common
People
Coming first to the middle-class people of Indian
Economy, let’s discuss proposed Income Tax Structure which is little more
complicated then earlier one. Under the proposed tax regime Individuals and HUF
will be given two options to opt for taxation, one is current scheme with no
changes and other by way of option Section 115 BAC:
Option (1): Current
Scheme:
Individuals having less than 60 years age and
HUF
|
Individuals having age more than 60 years but
less than 80 years age
|
Individuals having age more than 80 years
|
|||
Total Income
|
Tax
|
Total Income
|
Tax
|
Total Income
|
Tax
|
Upto Rs. 2,50,000
|
Nil
|
Upto Rs.3,00,000
|
Nil
|
Upto Rs. 5,00,000
|
Nil
|
Rs. 2,50,001 to Rs. 5,00,000
|
5%
|
Rs. 3,00,001 to Rs. 5,00,000
|
5%
|
Rs. 5,00,001 to Rs.
10,00,000
|
20%
|
Rs. 5,00,001 to Rs.
10,00,000
|
20%
|
Rs. 5,00,001 to Rs. 10,00,000
|
20%
|
Above Rs 10,00,000
|
30%
|
Above Rs 10,00,000
|
30%
|
Above Rs 10,00,000
|
30%
|
||
Many of us heard in
Budget Speech and on News channel that no tax payable up to the income of Rs.5
Lakhs, let me clarify that first. If your NET TAXABLE INCOME i.e.
after reducing all deductions (Section 80C, 80D etc) and set off of losses
(Interest on House Property) remains below 5 Lakhs then under the
provisions of Section 87A a rebate of amount equals to income tax or Rs.12,500/-
whichever is lower offered to tax payer as relief which results in Nil Tax. But
if your NET TAXABLE INCOME after reducing all eligible deduction falls beyond 5 Lakhs, suppose
Rs,5,00,001/- then you will not get any benefit of this rebate and you would be
liable to pay tax as per the above slab. That means if you earn 1 Rs. more
than 5 Lakh, then be ready to shell out excess Rs.12,500/- in the name of Tax.
Note-2: In short there are no
changes in present Tax provisions for Individual and HUF except with the
additional option of opting Concessional Tax Rate scheme discussed hereinafter.
Option (2): Proposed Concessional
Income Tax Rate Scheme (Optional):
Total Income
|
Tax
|
Upto Rs 2,50,000
|
Nil
|
From Rs 2,50,001 to Rs
5,00,000
|
5%
|
From Rs 5,00,001 to Rs
7,50,000
|
10%
|
From Rs 7,50,001 to Rs
10,00,000
|
15%
|
From Rs 10,00,001 to Rs
12,50,000
|
20%
|
From Rs 12,50,001 to Rs
15,00,000
|
25%
|
Above Rs 15,00,000
|
30%
|
Conditions to Satisfy
|
|
a. No set off of any loss carried forward or
depreciation from previous years if it is attributable to Deductions and
allowances mentioned under this section. Also, this loss won’t be carried
forward in future year, just forgot it.
b. House Property loss
(Interest) can be set off with House Property Income (Rent) only NOT
by any other head such as Salary, business etc.
c. File Income Tax Return
on or before due date.
d. Business person can
opt out from this scheme only once in a lifetime.
e. Person should forego
following allowances and deductions:
i. Any Deduction u/s 80C (LIC, Tution
fees etc), 80D (Mediclaim etc), 80G (Donation), 80GG (Rent) or any other
similar deduction EXCEPT Section 80CCD (National Pension Scheme)
ii. Standard Deduction of Rs.50,000/-
(S.16)
iii. Interest on Housing Loan (Refer
Note)
iv. Entertainment Allowance and
Professional Tax
v. Leave Travel Concession & House
Rent Allowance
vi. Free Food and Meal Vouchers
vii. Allowance for income of minor
which is upto Rs.1500/-
viii. any special allowance allowed on
basis of actual expenditure (Section 10(14),
ix. Additional Depreciation
x. Various Business Deduction u/s
32AD, 33AB, 35, 35AD, 35CCC, 80IA, 80IB, 80IAC etc.
xi. Allowances to MPs/MLAs
|
|
Key Points:
1.
Section started with the wording that “Notwithstanding anything contained
in this Act…” which means provisions of this section supersede all the other
provisions of the Act. One may conclude that rebate u/s 87A of Rs.12,500 for
person having Income less then 5 Lakhs will not be available if any taxpayer opts
under this scheme because this section overrides the act. This way her
statement of No Tax up to Income of Rs. 5 Lakhs becomes annulled. FM should have introduced proviso under
proposed section or similar amendment in Section 87A to allow the rebate.
2.
Interest on Housing Loan for self-occupied property not allowed for
deduction under this scheme, however if any loss on account of interest arises
from property rented out, such loss will be allowed to carry forward but this
will be allowed to set off in future year only with House Property Income
(Rent) until and unless you opt out of this scheme.
3.
What are the allowances allowed under this Scheme?
a.
Transport Allowance
b.
Conveyance Allowance
c.
Any Allowance granted to meet the cost of travel on tour or on transfer
d.
Daily Allowance to meet the ordinary daily charges incurred by an
employee on account of absence from his normal place of duty.
However, it is not clarified that to what extent
such allowances will be allowed, I am presuming this will be allowed to the
extent of the actual expenditure.
4.
This scheme can be availed by Salaried Employee or Business person both
but they have to file their Income Tax Return on or before due date. However,
there is some differentiation in Salaried person and Business Person under this
scheme. Salaried person can anytime opt in or opt out of this scheme multiple
time, however a person who earns business income if opt out once from this
scheme he will not be able to claim this scheme in any of the future year. He
can opt in under this scheme in future only when he has no Business Income. Doors
for this scheme will be locked for him until his business cease to exist.
5.
Proposed section specifically deals with business income and not with
the Income from Profession. Does that mean benefits of this section will not be
available to the persons earning Income from Profession?
While introducing this
scheme during budget speech FM told that this is new and simplified
personal
income tax regime and common will be less dependent on Tax Professionals. From
Bird’s eye view of the above provision it is amply clear that above provision put into dilemma to common people in order to choose
which train they need to catch. Everyone will be dependent on the professional
in order to decide the same. If you choose to be part of the new income tax
regime, you will pay lesser income tax in view of government but you won't be
able to claim any rebate or exemption. This scheme demotivates investment and
saving among common people by withdrawing Income Tax Deduction on such options.
In my view FM should have kept it more simplified and flexible. Presenting
scheme for tax benefits of 3% of tax payers in India should be kept actually
beneficial, in my view and analysis given below very few people will get
rewarded by this scheme.
Particulars
|
Business
|
Salaried
|
Business
|
Salaried
|
||||
With Investments in 80C and 80D
|
Without Investments in 80C and 80D
|
|||||||
Option-1
|
Option-2
|
Option-1
|
Option-2
|
Option-1
|
Option-2
|
Option-1
|
Option-2
|
|
Gross Total Income
|
800000
|
800000
|
800000
|
800000
|
800000
|
800000
|
800000
|
800000
|
Deductions and Allowances (HRA,
Professional Tax, LTA etc)
|
0
|
0
|
-150000
|
0
|
0
|
0
|
-150000
|
0
|
Standard Deduction
|
0
|
0
|
-50000
|
0
|
0
|
0
|
-50000
|
0
|
80C
|
-150000
|
0
|
-150000
|
0
|
0
|
0
|
0
|
0
|
80D
|
-25000
|
0
|
-25000
|
0
|
0
|
0
|
0
|
0
|
Net Taxable Income
|
625000
|
800000
|
425000
|
0
|
800000
|
800000
|
600000
|
0
|
Tax Payable
|
37500
|
47500
|
0
|
47500
|
72500
|
47500
|
32500
|
47500
|
Tax Benefit / (Loss)
|
-10000
|
-47500
|
25000
|
-15000
|
||||
Above calculation is just an illustrative one
considering the possibility that the person has utilised his deduction under
80C and 80D to the full extent. There may be certain scenarios wherein tax
payer will get benefit too under proposed scheme but in my view probability of
person falling beneficial under proposed scheme is rare and depends on various
permutation and combination. On preliminary overview of certain calculations, I
found this proposed regime more beneficial to Business person as compared to Salaried
Person because there are various deductions and allowances taken away from
salaried person to opt in for this scheme as compared to the business person.
What FM failed do for
Aam Aadmi?
·
If JNU and other universities fees can be hiked up in wake of inflation
then limits of various deductions and allowances can also be increased to help
the common people.
·
Limit of ₹1 lakh for capital gain deduction is too low as many
individuals are holding equity mutual fund investments for many years. To
continue incentivising retail investments into equity MFs, the government could
have consider increasing the limit of ₹1 lakh to ₹2 lakh.
·
Government can increase limit of investment by mobilising public savings
through section 80C.
Well there are N no.’s of suggestion one can
suggests but this will not help anymore and result in unnecessary exercise. So,
let’s move ahead and discuss other hidden elements of the Budget.
Other amendments affecting Individual’s
·
New section 194K introduced by way
of Budget which allows deduction of tax on redemption of Mutual funds @
10% from the income earned by the investor in excess of Rs.5000/- by
withdrawing Mutual Funds. TDS will be deducted on Profit amount and not on
redemption value. This will help Income Tax Department to track those people
who are not declaring gains on redemption of mutual funds.
·
In order to mitigate the Tax
planning of employees with high salary who design their salary package in such
manner where a large part of their salary is paid by the employer to various
funds, the Finance Bill has proposed a cap of Rs 7.5 lakh in a financial
year on employer's contribution to NPS, superannuation fund and recognised
provident fund and any excess contribution above that limit will be
taxable in the hands of the taxpayer. For example, if basic salary of an
employee is Rs 50 lakh per annum, then his employer contributes Rs 6 lakh to
EPF (12% of basic), Rs 5 lakh to NPS (10%) and Rs 2.5 lakh (5%) to a
superannuation fund. In total, the employer contributes Rs 13.5 lakh to the
three schemes, which is exempted from income tax. But once new rules become
applicable, Rs 6 lakh (Rs 13.50 lakh minus Rs 7.50) will be added to the
taxable income of the employee.
·
Deduction of TDS on products sold through E-commerce Platforms
(Amazon/Flipkart) (Section 194-O) In order
to widen the Tax base FM announced that E-commerce operator (Amazon/Flipkart
etc) which facilitate sale of good/services through their digital platform
required to deduct TDS at 1% on GROSS AMOUNT OF SUCH SALES OR SERVICE OR
BOTH if such
amount exceeds Rs. 5 Lakhs. This amendment is going to hurt deep
for all those small and medium sized traders who are selling products/services
on various e-commerce platforms. They are already undergoing deduction of TDS
under GST law from their payments and now TDS under Income Tax law also
introduced. It is pertinent to note that proposed section uses word “Gross
amount of such Sales” which means e-commerce operator will require to
deduct TDS on GST portion of sales and as well as on Commission and affiliation
portion also which e-commerce operator himself will withheld. Seller is not
holding any amount on account of GST, Commission and advertising fees but TDS @
1% will be deducted on these amounts also in view of Gross Sales. Let me take
you through the practicality and difficulty arises due to this:
For an Example: A trader sold
goods of Rs.10,00,000/- on Amazon
Sale Amount
|
Rs.10,00,000/-
|
GST (18%)
|
Rs. 1,80,000/-
|
Total Receivable by Seller (A)
|
Rs.11,80,000/-
|
Amazon Commission (15%) (B)
|
-Rs.1,77,000/-
|
Various affiliation, shipping and Advertisement Fees (5%) (C)
|
-Rs.59,000/-
|
Proposed TDS @ 1% of Gross Sales i.e. Rs.11,80,000/-
|
-Rs.11,800/-
|
Net Receivable in the hands of the Seller (A-B-C-D)
|
Rs.9,32,200/-
|
Above situation will lead to huge
working capital crises at the end of Seller who is already suffering from
burden of various compliances just because he is selling products online. Also,
if his turnover crosses 1 Crore/5 crore then he is also required to deduct TDS of
e-commerce operator (Amazon/Flipkart) on these commission and advertisement
fees. E-commerce operator generally reimburse this TDS deduction on submission
of TDS certificates after the end of Quarter resulting in to blockage of
working capital for more then 3 Months.
·
A deduction for interest payments
up to Rs 1,50,000 is available under Section 80EEA on satisfying certain
conditions. This deduction is over and above the deduction of Rs 2 lakh for
interest payments available under Section 24 of the Income Tax Act. Under
proposed budget this scheme is extended up to 31.03.2021
·
Currently, while taxing income
from capital gains, business profits and other sources in respect of
transactions in real estate, if the consideration value is less than circle
rate by more than 5 percent, the difference is counted as income both in the
hands of the purchaser and seller. FM has increased such limit from 5% to
10%. It would have been much better if FM would have tried to remove
basic problem of this double taxation which she said in budget speech quoting
that “the difference is counted as income both in the hands of the purchaser
and seller”
·
Tax Audit limit increased to 5
Crore from 1 Crore where aggregate of all receipts
and payments in cash does not exceed 5% of such receipts/payments. We all know
how much Indian’s are dependent on cash economy and inserting such conditions
prevalent for increased audit limit will help very few tax payers. No such
relaxation for professionals.
·
Form 26AS apart from showing TDS
entries will now reflects multiple information in respect of a person such as
sale/purchase of immovable property, share transactions etc
·
Income Tax Returns of company can
now be verified by person other then Directors also.
·
Change in Due dates of Audit and Income
Tax Return Filing:
Due date of Income Tax Return of Audited Tax Payers (Section 44AB,
44ADA, 115JB etc)
|
31st October
|
Due date of Tax Audit
|
One month prior to due date of Income Tax Return Filing i.e. 30th
September
|
CA’s please fasten up your seat
belts, Nirmala Tai is taking you on a ride which you have imagined never
before.
Vivad se Vishwas Scheme (No
Dispute but Trust Scheme)
Under the proposed ‘Vivad Se
Vishwas’ scheme, a taxpayer would be required to pay only the amount of the
disputed taxes and will get complete waiver of interest and penalty provided he
pays by 31st March, 2020. Those who avail this scheme after 31st March, 2020
will have to pay some additional amount. The scheme will remain open till 30th
June, 2020. Taxpayers in whose cases appeals are pending at any level can
benefit from this scheme.
Concessional Tax Rate for
Co-operative Societies:
FM based on the representation from various stakeholders provided option
for concessional tax rate of 22% to resident Co-operative Societies on similar
line as given for domestic companies in Taxation Laws Ordinance 2019. I wish
she could have listened to representations of various LLP’s and Partnership
Firm. While the government has conferred a tax cut on corporates and
manufacturing companies, the other forms of business enterprises still pay high
tax at 30%. There are MSMEs consisting of partnership firms and Limited
Liability Partnerships (LLPs). The FM could have reduced the tax rate for these
business enterprises also to create a level playing field among MSMEs.
Significant amendments under Budget 2020 for Non-Residents:
This part deals with the two significant changes proposed but not forms
part of Budget Speech with respect to residency status and taxability of Income
of Non-residents.
·
Changes with respect to
Residency Status
Present Conditions for Resident
|
Proposed Conditions for Resident
|
He/She is in India for
182 days or more during the financial year.
OR
If he/she is in India
for at least 365 days during the 4 years preceding that year AND at
least 60 days in that year (182 days if you take job outside).
|
He/She is in India for
182 days or more during the financial year.
OR
If he/she is in India
for at least 365 days during the 4 years preceding that year AND at
least 60 days in that year (120
|
Note:
If one doesn’t satisfy
above conditions then he/she will be considered as Non-Resident. Under
present regime If a person who is on job abroad will be treated as
Non-Resident if he is in India for less than 182 days, but now FM reduced
vacation time in India for NRI from 182 days to 120 days. So now if you are
doing job abroad and stays more then 120 days in India your NRI status will
be taken away from you. It is important to note that various media houses
claiming 240 days condition for being NRI is incorrect, based on Finance Bill
correct days to stay outside India for being Non-resident is (365 Days-120
Days) = 245 Days.
|
|
·
Changes with respect to
Taxability of Income of NRI
FM has introduced below
amendment in definition of Residency (Section 6) which will be going to affect taxability
of NRI significantly. Here is the proposed law:
“(1A)
Notwithstanding anything contained in clause (1), an individual, being a
citizen
of India, shall be deemed to be resident in India in any previous year, if he
is not liable to tax in any other country or territory by reason of his
domicile or
residence or any other criteria of similar nature”
It states that If any
person who is citizen of India and not liable to tax in any other country or
territory by any specified reason then he will be treated as resident of India
despite of his residency status NRI or whatever. It is important to note that
once he becomes resident under this clause his/her global income will be taxed
in India.
Well this is the interpretation of amendment mentioned in
Bill, but later in press conference addressed by Mr. Ajay Bhushan he stated
that Some people are residents of no country. They may be staying in different
countries for certain number of days. So, if any Indian citizen is not a
resident of any country in the world, he'll be deemed to be a resident of India
& his worldwide income will be taxed. This implies that Indians who
are residents of any other country will not come under this provision, as they
will be paying income tax in their country of residence as per laws of that
country. FM gave explanation behind such amendment that there are many globe
trotters who spend few days in different countries, but do not have residential
status in any country. As a result, such persons are not liable to pay income
tax anywhere.
Anyways Finance Bill and statement of Revenue Secretary led
to much bigger confusion that whether NRI whose abroad income is not taxable in
abroad will be require to have citizenship of such country also in order not
become taxable in India? I guess this bullet launched from FM’s guns hits into the
chest of wrong person.
Definition of Resident but Not Ordinarily Resident (RNOR) amended:
Present Conditions
|
Proposed Conditions
|
If you have been an NRI in 9 out
of 10 financial years preceding the year.
OR
You have during the 7 financial
years preceding the year been in India for a period of 729 days or less.
|
If you have been an NRI in 7 out
of 10 financial years preceding the year.
|
RNOR status is boon for those
people who have just returned back to India. There Indian Income is taxed in
India in such cases. You are not required to pay any taxes up to 3 years on
any income earned abroad.
|
|
Removal of Dividend Distribution Tax (DDT)
The Clamour for removal of DDT had been on for a while due to cascading
taxation. India was levying total 20.56 per cent DDT on a company declaring
dividends. This is over and above the corporate tax that companies pay on their
taxable profit. The decision is likely to benefit small as well as non-resident
taxpayers. Also doing away with this tax can give a major push to investment.
Under present scenario Domestic companies are required to pay DDT on
dividend distributed to the investors and such dividend is exempt in the hands
of investors under Section 10(34) of the Act. But if such dividend income
exceeds Rs. 10 Lakhs then receiver is required to pay tax at the rate of 10% on
such dividend income. Under proposed amendment such Dividend will no longer be
brought to tax under DDT and now it will be taxed in the hands of
receiver as per their applicable tax rate. However, if receiver has
incurred any interest expense in order to earn such dividend then deduction
of interest will be allowed as deduction u/s 57 of the Act which will
not in any case goes beyond 20% of the Dividend earned. Further Company
distributing Dividend now required to deduct TDS at the rate of 10% if
such dividend payment exceeds Rs. 5000/-.
Amendments with respect to
Charitable Trust and Societies
There is various amendment with respect to charitable trust and
societies which will be increasing more compliances on their part. Certain
major points out of the same are as under:
·
an entity approved, registered or
notified under clause (23C) of section 10, section 12AA or section 35 of the
Act, as the case may be, shall be required to apply for approval or
registration or intimate regarding it being approved, as the case may be, and
on doing so, the approval, registration or notification in respect of the
entity shall be valid for a period not exceeding five previous years at one
time calculated from 1st April, 2020.
·
an entity already approved under
section 80G shall also be required to apply for approval and on doing so, the
approval, registration or notification in respect of the entity shall be valid
for a period not exceeding five years at one time.
·
an entity making fresh application
for approval under clause (23C) of section 10, for registration under section
12AA, for approval under section 80G shall be provisionally approved or
registered for three years on the basis of application without detailed
enquiry even in the cases where activities of the entity are yet to begin and
then it has to apply again for approval or registration which, if granted,
shall be valid from the date of such provisional registration. The application
of registration subsequent to provisional registration should be at least six
months prior to expiry of provisional registration or within six months of start
of activities, whichever is earlier.
·
deduction under section 80G/ 80GGA
to a donor shall be allowed only if a statement is furnished by the donee who shall be required to furnish a statement in respect of donations
received and in the event of failure to do so, fee and penalty shall be levied.
·
similar to section 80G of the Act,
deduction of cash donation under section 80GGA shall be restricted to Rs
2,000/- only.
Start-ups
· ESOP is a significant component of compensation for start-up employees.
Currently, ESOPs are taxable as perquisites at the time of exercise. This leads
to cash-flow problem for the employees who do not sell the shares immediately
and continue to hold the same for the long-term. Under Proposed budget the
burden of taxation on the employees eases by deferring the tax payment by five
years or till they leave the company or when they sell their shares, whichever
is earliest
· The existing provisions of section 80-IAC of the Act provide for a
deduction of an amount equal to 100% of the profits and gains derived from an
eligible business by an eligible start-up for 3 consecutive years out of 7 years, at their option,
subject to the condition that the eligible start-up is incorporated on or after
1st April, 2016 but before 1st April, 2021 and the total turnover of its
business does not exceed 25 crore rupees. Under proposed budget
(i) the deduction under the said section 80-IAC shall be available to an
eligible start-up for a period 3 out of 10 Years
(ii) Turnover limit increase to 100 Crores from 25 Crores
Other Amendments
·
Penalty for Fake Invoices (Section
271AAD) : In past few months since introduction of GST law
several cases of fraudulent input tax credit (ITC) claim have been caught by
the GST authorities wherein invoices issued without actual supply of goods or
services. In order to deal with such nuisance’s New penalty provision inserted
under the law which will levy penalty of sum equal to the aggregate amount of
such false entries or omitted entries which will be caught during proceeding
under the Act. This section enables AO to levy penalty on such person also who
causes such person to make such entry in any manner. For an example, If Mr. A
who runs roadside shop takes GST no. and issued fake invoice of Rs. 1 Crore
then under this section penalty of Rs. 1 Crore will be levied on him. I am
wondering that how government will collect penalty of a Crore from person who
doesn’t have actual amount of transaction entry reflecting in books.
·
Provisions of Section 143(3A)
provides for scheme of E-assessment for greater efficiency and transparency.
Under proposed budget the word “Section 144” also now inserted under this
section which means now Best Judgement Assessment can also be done by way of
E-assessment. It is surprising to note that last year various Tax Officers
already did E-assessment in cases of demonetisation under Section 144 by way of
E-assessment. Will such E-assessment be held null and void since there was no
provision under act at that time which enables officers to do e-assessments.
·
FM further proposed to announced
Faceless appeals in terms of Faceless assessment. (Section 253)
·
Under existing provisions of the
Act there is no condition on deposit of 20% of Tax demand before proceeding for
appeal before Income Tax Appellate Tribunal (ITAT). This is now amended that
ITAT may grant stay of demand based on merits of the case subject to the
condition that the assessee deposits not less than 20% of the Tax Demand.
(Section 254)
Conclusion
Amidst all these challenges, the government has to deliver a path-
breaking budget that can help the economy fall back on track and follow a path
of sustainable growth to be able to realise the dream of $5 trillion economy.
In my view FM honoured the commitment of reviving the economy in her best ways.
From the Income Tax Front, FM truly deserves huge round of applause for
removing DDT and taking some bold reforms, however I expected that this budget
could be more focussed towards “Making me Easy” and not on “Making
me Busy”. There are certain amendments made in GST law in last budget
which is not notified yet, I hope after finishing this Budget Government will
look into those amendments to save people from further harassment of Tax
Officers. I hope anomalies in the GST law would be redressed soon and not
ignored by the similar kind of statement which she made on Onion Prices crises
by stating that “I don’t
eat onions and garlic that much. So, don’t worry. I come from a family that doesn’t care much about onions”.
Disclaimer: The Contents of the document are solely for information purpose. It does not constitute professional advice or a formal recommendation. While due care has been taken in preparing this document, the existence of mistakes and omissions herein is not ruled out. Comments on misinterpretation and mistakes are wholeheartedly invited.
Disclaimer: The Contents of the document are solely for information purpose. It does not constitute professional advice or a formal recommendation. While due care has been taken in preparing this document, the existence of mistakes and omissions herein is not ruled out. Comments on misinterpretation and mistakes are wholeheartedly invited.
Analysis by:
CA. Animesh Singi
+91-9098589691
animeshsingi@gmail.com
www.animeshsingi.blogspot.com
