CBDT further extends the timeline for Linking PAN with Aadhaar from 31st December,2019 to 31st March, 2020.
With a view to provide relief to the taxpayers and tax professionals and to facilitate the compliance with respect to e-Assessment proceedings under E-assessment Scheme,2019, the time limit for filing of response to notices under section 142(1) of the Income-tax Act issued up to 24.12.2019 by the National e-Assessment Center is extended up to 10.01.2020 or time given in such notices, whichever is later.
The Central Government hereby specifies that the persons who have made a declaration under sub-section (1) of section 183, but have not made payment of the tax and surcharge payable under section 184 and penalty payable under section 185 of the said Act, in respect of the undisclosed income, on or before the due date notified by the Central Government vide notification number S.O. 1830 (E), dated the 19th May, 2016, (as subsequently amended vide notification number S.O. 2476 (E), dated the 20th July, 2016), may make the payment of such amount on or before the 31st day of January, 2020, along with interest on such amount, at the rate of one percent for every month or part of a month comprised in the period commencing on the date immediately following the said due date as so notified and ending on the date of such payment.
Standard Deduction from taxable salary- Standard Deduction for salaried persons raised from 40,000 rupees to 50,000 rupees.
Rebate under section 87A has increased from 2500 to 12500 rupees up to the income of 5 lakh rupees, hence individual taxpayers with annual income up to 5 lakh rupees to get full tax rebate. Tax payers whose taxable income cross the limit of 5 Lakh need to have a smart way here!.
Currently, income tax on notional rent is payable if one has more than one self-occupied house. No tax on notional rent on Second Self occupied house has been proposed. So, you can now hold 2 Self-occupied properties and don’t have to show the rental income from second SOP as notional rent.
The benefit of rollover of capital gains under section 54 of the Income Tax Act will be increased from investment in one residential house to two residential houses for a tax payer having capital gains up to Rs 2 crore. This benefit can be availed once in a life time.
TDS threshold for home rent paid by non-individuals has been increased from Rs 1.8 lakh to Rs 2.4 lakh p.a.
All income tax returns to be processed within 24 hours and refunds to be issued simultaneously.
Tax scrutiny will also now be done electronically and there will be no interaction between the tax authority and the taxpayer.
