Minster Nirmala Sitharama Present New Income Tax List Budget 2020

Budget 2020 Speech LIVE Minster Nirmala Sitharama Finanice Minister Budget 2020

Nirmala Sitharaman's Budget Live Updates:

• Govt intends to remove all I-T exemptions in long run
• Abolishment of DDT will make equity investment more attractive, Frank D’Souza, partner and leader, Corporate & International Tax, PwC India, said.
• The tax imposed on Indian citizens abroad if they are not taxable in their home country could have serious ramifications in the hands of UAE residents, Dinesh Kanabar, CEO, Dhruva Advisors LLP said.
• Individuals opting for taxation under new rates will not be entitled to exemption/deductions including under Section 80C and 80D, LTC, housing rent allowance, deduction for entertainment allowance, professional tax, and interest on self occupied/vacant property.
• Goodwill Developers' promoter Hakim Lakdawala said the new tax regime and extension of the date to sanction housing loans by a year will ensure surplus funds in the hands of potential home-buyers, acting as a positive tool in recuperating consumer confidence and prompt investments. "Further to this, reduced taxation of 5% to diminish adversities in real estate transactions and the extended affordable housing approval date for developers to claim the tax holiday will attract more builders to actively participate and develop more affordable projects thereby fueling the momentum of "Housing for All by 2022"," he said.
• To maximise their benefits from the new tax regime, taxpayers must understand what it means to claim or not claim deductions, since the new benefits are available only to those who don’t claim deductions. Under the new regime, the 30% slab, which was stuck for nearly a decade at Rs. 10 lakh, has finally moved to Rs. 15 lakh – an increase of a whopping 50%. Also, income up to Rs. 5 lakh is now exempted from tax, and lower tax rates apply on income between Rs. 5 lakh and 15 lakh if you don’t claim deductions. The move to increase tax-exempted income through the introduction of new tax slabs, as well as through the reported rationalization of deductions and exemptions, may be welcomed by taxpayers seeking simplicity in taxation. However, tax-payers own and want to continue with their tax-saving investments. Therefore, they must calculate whether they benefit by moving to the new regime without deductions or remaining in the old regime to continue claiming deductions," Adhil Shetty, CEO, BankBazaar.com, said.
• Gouri Puri, Partner, Shardul Amarchand Mangaldas & Co, said the budget offers some bold tax proposals. "For long the Government has favored the dividend distribution tax because of ease in tax recovery. Return to classical dividend tax is indeed welcome as it would increase returns for foreign investors, who can now enjoy tax treaty relief. Recovery hurdles are likely to be addressed through the TDS provisions".

• Congress chief spokesperson Randeep Surjewala said the last budget led to crashing consumption levels, soaring unemployment and falling GDP.
• India's GDP is expected to rebound and grow at a rate of 6 to 6.5% in the next financial year 2020-21, according to the Economic Survey released yesterday.
• Nirmala Sitharaman is India's second woman finance minister.
• The Modi government could defer the earlier target of cutting fiscal deficit to 3% of GDP in 2020-21 by at least two years, Reuters reported.
• Economists in a Reuters poll predicted the government would set a deficit target of 3.6% of GDP for 2020-21, up from 3.3% targeted for the current year.
• Dressed in a crisp yellow silk sari, Nirmala Sitharaman came to the Parliament carrying the Budget documents wrapped in a red silk cloth, adorned with the Indian emblem in golden.
• Even as the stock markets and commodity exchanges are open today, bank unions are sitting on a two-day bank strike from yesterday on wage-related issues.
• Share market traders are cautious ahead of Budget as the Sensex slumped over 200 points in opening trade but rebounded later on. At 10:10 am, Sensex was at 40,775.00, up by 51.51 points or 0.13%, while the NSE Nifty was at 11,969.90, up 7.80 points or 0.07%.
• Before Budget presentation, the Union Cabinet will meet in the Parliament.
• Nirmala Sitharaman presents her Budget speech at 11 am. Usually, the duration of the presentation ranges from 90 to 120 minutes.
• As per tradition, Sitharaman went to meet President Ram Nath Kovind at the Rashtrapati Bhavan before presenting the Union Budget.

Finance  Minster Nirmala Sitharama New Income Tax 

0 to 2.5 lakhs  (no tax 'zero')

2.5 to 7.5 lakhs  (5%present---5% now)

5 to 7.5 lakhs  (20% present-------10% now)

7.5 to 10 lakhs  (20%present------15%now)

10 to 12.5 lakhs  (30%present-----20%now)

12.5 to 15 lakhs (30%present-----25%now)

above 15 lakhs  (30%) present-now