Budget 2019 – Highlights
- PAN and Aadhaar to be made interchangeable for convenience of tax payers; Income Tax returns can now on be filed using Aadhaar number, if PAN card not available.
- Govt simplifying the GST processes. A simplified single monthly return will be rolled out to enable those with a Turnover of less than Taxpayers with annual turnover less than 5 crore will be required to file theirs returns only quarterly returns.
- Fully automated GST Refund module shall be implemented; multiple tax ledgers to be replaced by one; invoice details to be captured in a central system
- Surcharge on individuals having taxable income from 2 crore – 5 crore and 5 crore and above to be enhanced,- 2- so that effective tax rate will increase by around 3% and 7% respectively.
- Surcharge on individuals having taxable income above Rs 5 crore to be enhanced. Effective tax rate to increase by around 7%.
- Faceless income tax assessment in electronic mode involving no human interface to be launched this year in a phased manner, to reduce taxpayer harassment.
- To discourage business payments in cash, Tax Deduction at Source of 2% to be levied on cash withdrawal exceeding 1 crore rupees in a year from a bank account.
- Giving big boost to electric vehicles “Additional income tax deduction of 1.5 lakh rupees on the interest paid on the loans taken to purchase electric vehicles”
- To provide further impetus to affordable housing, additional deduction of 1.5 lakh rupees on interest paid on loans borrowed upto 31 Mar, 2020 for purchase of house up to 45 lakhs.
- Relief in levy of Securities Transaction tax to be provided.
- Business establishments with annual turnover more than 50 crore rupees may offer low-cost digital payments; no charges or merchant discount rates to be imposed on customers or merchants for these.
- Customs Duty on gold, precious metals hiked from 10% to 12.5%.
- 5% customs duty imposed on imported books.
Union FM #NirmalaSitharaman
“To resolve the angel tax issue, the startup’s and their investors who file requisite declaration & provide information in their return will not be subjected to any kind of scrutiny in respect of valuation of share premiums”#Budget2019 pic.twitter.com/u69wxroOUr
— PIB India (@PIB_India) July 5, 2019