There are going to be many changes related to your money and tax from April 1, so you should know this today. In the budget, finance minister Nirmala Sitharaman has made several announcements for the middle class and salaried class. These rules will come into effect from 1 April 2021.
New Delhi: From April 1, many changes related to your money and tax are going to happen, then you should know this today. In the budget, finance minister Nirmala Sitharaman has made several announcements for the middle class and salaried class. These rules will come into effect from 1 April 2021. However, all those who are more than 75 years of age have been given tax relief this time, i.e. those people will not have to file tax returns. Let us tell you about these changes-
1. Tax on EPF
According to the new rule issued by the Income Tax Department, from April 1, 2021, you will have to pay tax on the interest that will accrue if you make a PF contribution of more than 2.5 lakh rupees. The Finance Minister has taken this decision keeping in view the employees with higher salary. However, this will affect the monthly salary of only 2 lakh rupees.
2. Will have to pay double TDS
The central government is promoting ITR filing. The government has made a new rule that those who do not file ITR will have to pay double TDS. The government has added section 206AB to the Income Tax Act. According to this section, if you do not file ITR now, you will have to pay double TDS from April 1, 2021.
Let us tell you that according to the new rules, from 1 July 2021, the Penal TDS and TCL rates will be 10-20 per cent, which is usually 5-10 per cent. For those not filing ITR, the rate of TDS and TCS will be doubled to 5 per cent or fixed rate, whichever is higher.
3. LTC scheme will get benefit
Let us tell you that the government is expanding the LTC scheme. This scheme will be implemented in the new financial year. Explain that the scheme will benefit those employees who did not take advantage of LTC tax benefit due to the ban due to Corona epidemic.
4. You will get pre-field ITR form
Keeping in mind the employees, the government has made the process of filing tax returns easy. A pre-field ITR form will be provided to individual taxpayers from 1 April 2021. This will make it easier to file ITR.
5. Tax relief to people above 75 years
In the budget, the Finance Minister announced that people over 75 years have been given relief from tax. That is, from 1 April 2021, people above 75 years of age will not have to file tax. Explain that this exemption has been given to those senior citizens who are dependent on pension or interest on fixed deposits.
