Indian Budget Highlights of 2019

Indian Budget Highlights of  2019

Certainly flagging a second residency for itself, the Narendra Modi government proposes to graph its monetary reasoning in its financial plan for the year beginning 1 April, with spotlight on an aggressive use program. The fund service intends to exhibit a full spending plan on 1 February, a senior government official said. Financial plan 2019, which will be the last by the present government in front of the 2019 Lok Sabha races in May, passing by set up training ought to be a vote-on-account, with government looking for Parliament endorsement for consumption from the Consolidated Fund of India for the break time frame.

Lok Sabha races are planned for the main portion of one year from now as the occupant government will total its five-year residency in May.

On the off chance that in reality the legislature proceeds with its arrangements, not exclusively is it flagging its certainty about being re-chosen, it is additionally improving a built up point of reference. Prior, the administration had propelled the introduction of the Union spending plan to 1 February in order to give government offices a chance to embrace spending from the earliest starting point of the monetary. Presently it is affecting a comparable takeoff in light of the fact that an economy of the extent of India can't stand to lose heading in the interceding time frame till another administration assumes responsibility.

Budget Highlights 2019 

Tax Rates

Individual taxpayers with annual income of up to Rs. 5 lakh will get full tax rebate after all Deductions. (U/s 87A, rebate has been increased from Rs. 2,500 to Rs. 12,500 ie: from 3 lacs to 5 lacs.)

Example

Net Income Rs500000

First Rs 250000-Nil

Next Rs.250000-5% ie. Rs12500

Rebate u/s87A Rs.12500

Net Tax-Nil

Salary

1. Tax Gratuity Limit increased from Rs 10 lakh to Rs.20 Lakh

2. Standard deduction has been increased to  50,000 from Rs. 40,000 for salaried class

House Property

1. Income tax relief on Notional Rent from unsold houses extended to 2 years (Presently it is 1 year)

2. No tax as notional rent on unsold inventories, period increased from one year to two year.

3. Recommendations sent to GST Council for reducing GST rates for home buyers

Capital Gain Tax

1. Benefit of capital tax gains u/s 54 has increased from investment in one residential house to that in two residential houses, for a taxpayer having capital gains up to Rs. 2 Crore.

Deductions

1. Benefits under Sec 80-IBA (Affordable Housing Scheme) being extended for one more year i.e. housing projects approved till 31st March, 2020.

Assessment procedure

1. Tax Assessment will be done electronically and IT returns processing in just 24 hours

TDS and TCS

1. TDS threshold u/s 194I (rent) has increased from Rs 1,80,000 to Rs. 2,40,000.

2. TDS threshold u/s 194A (interest income from post office and bank) increased from Rs. 10,000 to Rs. 40,000.

However, estimate the need for income protect to farmers, we have provided Rs 20, 000 corer in the revised calculate of the current fiscal and Rs 75,000 corer in the budget estimates of 2019-20. Just upload your figure 16, claim your deductions and get your acknowledgment number online. Turning to macro resources in the budget, Goyal revised the fiscal deficit target for 2019-20 at 3.4 per cent of the GDP, up by 0.1 per cent targeted this year. "We would have affirmed financial deficit at 3.3 per cent for 2018-19 and take further steps to harden treasurer fiscal deficit in 2019-20. This would help families continue homes at two locations due to their jobs. The Interim Budget pegged the total expenditure for 2019-20 at Rs 27, 84,200 corers, up from Rs 24, 57,235 corers in the edit estimates of the current exchequer, which is a rise of around 13.3 per cent. Goyal also announced raising the Standard Deduction for the salaried classes and pensioners from Rs 40,000 to Rs 50,000 and proposed exemption from tax on notional rupture on second self-occupied tenement.