India Tax Latest News And Updates
The north Indian states of Delhi, Punjab, Haryana and Himachal Pradesh on Thursday agreed on achieveing uniformity in tax rates, a Delhi government statement said. The consensus was brought in a meeting of finance ministers of these states at the Delhi Secretariat on Thursday. "There should be uniformity in rates of VAT on all goods, especially the goods in which trade diversion takes place, with minimum difference in the sale price," the statement said. Delhi's Deputy Chief Minister Manish Sisodia, who also holds the finance portfolio, his Punjab counterpart Sukhbir Singh Badal along with the finance ministers of Punjab, Haryana and Himanchal Pradesh took part in the meeting. Source: IANS
Tamil Nadu's commercial tax department is investigating into tax suppression and evasion to the tune of Rs.1,522 crore, an official statement said on Monday. The government is also taking action based on the result of audit and inspection with a total revenue effect of Rs.5,178 crore. In a statement issued in Chennai on Monday, the government 315 files have been opened with prima facie tax suppression of Rs.894 crore during 2014-15. The figure is based on the data collected from other states. In addition, verification of inter-state data by territorial circle offices resulted in detection of tax evasion of Rs.628 crore in 205 cases (in terms of tax dues and penalty), thus reaching the amount of Rs.1,522 crore. Source: IANS
The government has decided to modify the new Income Tax Return (ITR) forms following concerns raised over them last month, Finance Minister Arun Jaitley told parliament on Tuesday. "The government has received representation on the new return forms notified on April 15, 2015 and taking into account concerns raised, the government has decided to modify the return forms," Jaitley told the Rajya Sabha in a written reply. The Central Board of Direct Taxes had notified new norms and the attendant forms that, among other issues, requires an assessee to furnish all bank details, accounts opened or closed in the year with the closing balance, as also the sources of funds for expenses in an overseas travel. Source: IANS
The government is set to bring on Monday the Goods and Services Tax (GST) bill, aimed at reforming of India's indirect tax regime, before the Rajya Sabha, where some opposition parties led by the Congress want its vetting by the Select Committee. Three days remain for the budget session of parliament comes to an end. The bill was last week passed by the Lok Sabha with a two-thirds majority of the members present and voting as required for a constitutional amendment. If approved by the Rajya Sabha, the legislation has to be ratified by at least half the number of 29 Indian states, before the President can put his seal of approval for it to take effect. Source: IANS
Electronic toll plazas in India will not be removed although the government is considering ways to provide some relief, Road Transport and Highways Minister Nitin Gadkari said on Friday. "If you want good services, you have to pay for it. Toll will not be abolished. But we are looking at ways to provide some relief," Gadkari said at an event New Delhi organised by All India Transporter's Welfare Association. He said that the government is converting tolls into e-tolls to help reduce time and fuel cost. Source: IANS
About India Tax
This country has got a well structured and simplified taxation system, wherein an authoritative segregation has been done among the Central Government, the different State Governments as well as the Local Bodies. The Department of Revenue under the
Income Tax Slab 2015-16
Individual resident aged below 60 years (i.e. born on or after 1st April 1955) or any NRI/ HUF/ AOP/ BOI/ AJP*
|Sno.||Income Slabs||Tax Rates|
|i.||Where the taxable income does not exceed Rs. 2,50,000/-.||NIL|
|ii.||Where the taxable income exceeds Rs. 2,50,000/- but does not exceed Rs. 5,00,000/-.||10% of amount by which the taxable income exceeds Rs. 2,50,000/-. Less ( in case of Resident Individuals only ) : Tax Credit u/s 87A - 10% of taxable income upto a maximum of Rs. 2000/-.|
|iii.||Where the taxable income exceeds Rs. 5,00,000/- but does not exceed Rs. 10,00,000/-.||Rs. 25,000/- + 20% of the amount by which the taxable income exceeds Rs. 5,00,000/-.|
|iv.||Where the taxable income exceeds Rs. 10,00,000/-.||Rs. 125,000/- + 30% of the amount by which the taxable income exceeds Rs. 10,00,000/-.|
Surcharge:10% of the Income Tax, where taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)
Education Cess: 3% of the total of Income Tax and Surcharge.
* Abbreviations used:NRI - Non Resident Individual; HUF - Hindu Undivided Family; AOP - Association of Persons; BOI - Body of Individuals; AJP - Artificial Judicial Person
For the individuals, who are residents of India and of the age of sixty years or more but less than eighty years at any time during the previous year,—
|S.NO.||Income Slabs||Tax Rates|
|i.||Where the total income does not exceed Rs. 3,00,000/-.||NIL|
|ii.||Where the total income exceeds Rs. 3,00,000/- but does not exceed Rs. 5,00,000/-||10% of the amount by which the total income exceeds Rs. 3,00,000/|
|iii.||Where the total income exceeds Rs. 5,00,000/- but does not exceed Rs. 10,00,000/-||Rs. 20,000/- + 20% of the amount by which the total income exceeds Rs. 5,00,000/-.|
|iv.||Where the total income exceeds Rs. 10,00,000/-||Rs. 120,000/- + 30% of the amount by which the total income exceeds Rs. 10,00,000/-.|
For the individuals, who are residents of India and of the age of eighty years or more at anytime during the previous year,—
|S.NO.||Income Slabs||Tax Rates|
|i.||Where the total income does not exceed Rs. 5,00,000/-.||NIL|
|ii.||Where the total income exceeds Rs. 5,00,000/- but does not exceed Rs. 10,00,000/-||20% of the amount by which the total income exceeds Rs. 5,00,000/-.|
|iii.||Where the total income exceeds Rs. 10,00,000/-||Rs. 100,000/- + 30% of the amount by which the total income exceeds Rs. 10,00,000/-.|
Types of Tax
There are different kinds of taxes, which are prevalent in the nation. The computation of those taxes varies from one tax to another, depending on the nature of a particular tax. Following are some of the major taxes in India:
Capital Gains Tax:
Payable on the capital gains that are received after the asset sales, this tax is a direct tax levied by the Central Government of India.
Levied by the India Government, this type of direct tax involves the payment of tax by the companies based within the Indian Republic on their worldwide income.
This tax is computed on some specific services, which are provided in the country. The tax is levied at 10 % rate with an additional education cess at the rate of 2 %.
Governed as per the Customs Act, 1962 as well as the Customs Tariff Act, 1975, the imported goods in this nation attract basic and additional custom duty.
Excise Duty:According to 1944's Central Excise Act and 1985's Central Excise Tariff Act, this duty is levied on the manufacturing of goods.
Personal Income Tax:This tax in the Indian Republic includes every kind of income, which is computed and levied by the Union Government. The income from agriculture is not levied or collected by the India Government though.
Value Added Tax:Value Added Tax or V. A. T. has been implemented in most of the states in place of the Sales Tax from 1st April, 2005. Such a tax is levied while selling movable goods.
Wealth Tax:Applicable on all the Indian citizens, this tax is levied as per the Wealth Tax Act, 1957.
Apart from the ones mentioned above, there are many other taxes, names of some of which are as follows. Among them, some taxes are even solely levied by the State Governments or Local Bodies:
- Asset Transfer Tax or Stamp Duty
- Building Tax or Property Tax
- Dividend Tax
- Entry Tax or Octroi Tax
- Fringe Benefit Tax
- Fuel Tax
- Poll Tax
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