Finance Act 2025 receives assent of the President on the 29th March, 2025
The Union Finance Minister MS Sitharaman had presented Union Budget 2025-26 on 1st February 2025. The Finance Act 2025 has received the assent of the President on the 29th March, 2025 and has been notified.
Major Highlights of Income Tax and other Proposals in Union Budget 2025-26 were as under:
1. Investment and turnover limit for classification of MSME increased.
2. Startups – New Funds of Funds to be setup
3. New Income Tax Bill to come next week
4. Trust first, Scrutinize later – commitment of ITD
5. Special focus on Middle class, TDS/TCS reforms
6. TDS rationalising. Rates and threshold reduced
7. Limit for TDS on interest for senior citizens increased
8. TDS limit on rent increased to 6 lakhs
9. TCS threshold on LRS increased to 10 lakhs. No TCS for LRS for education
10. Higher TDS to apply only to Non PAN cases
11. Decriminilisation of late filing of TCS
12. Extension of time limit for updated return to 4 years
13. Small charitable trust etc. – Period of registration extended to seven years
14. Nil Annual Value of self occupied property – Benefit extended to two self occupied house property
15. Safe Harbour Rules extended
16. NSS withdrawal exempted for seniors citizens
17. Presumptive tax / Safe Harbour Rules for Non resident
18. Tonnage Tax scheme extended to inland vessels
19. Extension for incorporation period of startups to 5 years
20. Section 87A rebate for AY 2025-26 – No income tax payable up to income of Rs 12 lakhs with rebate.
New Personal Income Tax Slab for AY 2026-27 under New Tax Regime are as under
0 to 4 lakhs : Nil
4 to 8 lakh : 5%
8-12 lakhs : 10%
12-16 lakhs : 15%
16-20 Lakhs: 20%
20-24 Lakhs : 25%
above 24 Lakhs : 30%
When prior period expenses are not admissible as deduction, following the same principle the prior period income also cannot be…
Supreme Court condoned delay of 972 days in filing appeal due to restructuring in Income Tax Department In a recent…
Addition can not be made relying on the valuation report of property when the stamp duty valuation is also available…
Wrong claim of deduction u/s 54F/54B was not a case of concealment of particulars of income or furnishing inaccurate particulars…
CBIC notifies GST rates and value of taxable supply for Biris, Pan Masala / tobacco products Ministry of Finance(Department of…
CBIC has issued a Standard Operating Procedure (SoP) for wearing Body Cam by Custom officers responsible for Baggage Clearance According…