Name: Budget 2020: Huge Relief For Tax Payers Announced By Finance Minister Nirmala Sitharaman
Uploaded: 2020-03-17T04:37:26.000Z
Duration: 7 min 30 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

personal income packed on simplification of practice.

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So in the interim budget of 2019 our government exempted individuals having income upto five lack rupees from paying any income tax presently on individual based 20% on income between five black and 10 black and 30% on income between 10 bucks.

Currently the in compact tractors riddled with various exemptions and deductions which make compliance by the taxpayer on administration Off in compacts act by the tax authorities a burden, some process.

It is almost impossible for a taxpayer toe comply with income tax law without taking the help from professions.

In order to provide significant relief to the individual taxpayers and simplify the income pacts Law, I proposed to bring a new simplified personal income tax regime where in income tax rates will be significantly reduced for the individual taxpayers forego certain deductions and exemptions under the new regime, on individual shall be required to pay tax at the reduced rate, or 10% for income between 5 to 7.5 against the pervading 20%.

So anyone who's earning between 5 to 7.5 max today 20% we are now reducing it in the new regime, which is devoid of exemptions, toe 10% on lease, so 20% comes down to 10%.

The next example for income between 7.5 lacks toe 10 next earlier said about 5 to 7.5.

So for income between 7.5 to 10 max, he or she will pay at the reduced rate of 15% only against the current prevailing 20% Melanie for the income between 10 to 12.5 left.

Presently, the tax people for income between 10 black toe 20.5 let the present prevailing rate this 30% that is now being brought down to my paper.

Between income between, I spoke about 10 to 12.5 lex, now 12 55 blacks to 15.

That person now door turning between 12.5 to 15 lacks will be charged at 25%.

Only incomes about 15 black will be continued after 3% but no exemptions.

That thought does learning upto five max shall not pay any tax either in the world regime or in the new regime.

Proposed a tax structure will provide significant relief to taxpayers and more so to those in the middle class.

I just want to very clearly Riedel's 25022.5 last exempt now will be exempted.

The new scheme, also 2.525 left 5% now will be 5% in the new factory.

57.5 20% now will become 10% in the new review, 7.5 10 20% now will be 15% in the new 10 to 12.5 30%.

Next 30% 25% in the new rig, about 15 continues at 30%.

In the new back, to redeem substantial tax benefit will accrue to a taxpayer depending upon the exemptions and deductions claimed by him.

For example to make it, for example, a person earning 15 lack of rupees in a year and not abating any deductions whatsoever will pay one last 95,000 as confessed to like 73,000 that is paying now in the old regime.

So this this tax burden shall be reduced by 78,000.

That would be the reduction in the attacks that he has to.

Otherwise then this is the example or somebody who weren't for being back.

He would still be again a in the new regime, even if he waas taking deduction off 1.5 black under various sections off tractor succeed off the income backtracked under the wound.

The new tax region, sir, shall be optional for taxpayers, so there's no compass.

Those who want to be in the wall regime can continue to be in the world raising in the world rates in the whole set off exemptions and its directions.

But those rich to come into the new will come to come into the new on individual who's currently a railing.

More deductions and exemptions under the income tax tax may choose to await them and continue to pay the tax in the old regime.

Income tax rates will entail estimated revenue for born or 40,000 clothes for you, they have also initiated measures toe refill in compact return so that an individual who opt for the new regime would need no assistance from an expert to find his return and stay in contact.

I will have to put this observation here in order to simplify in compact systems.

I have revealed all exemptions and deductions which got incorporated in the income tax legislation for the past several decades.

In fact, have that list with Mrs Come in.

I have reviewed all the exemptions and deductions which got incorporated in the in compact registration over the past several decades.

It was surprising to know that currently more than 100 exemptions and deductions of a different nature are provided in the income tax Act.