New tax regime under Section 115BAC
The Finance Minister
Smt. Nirmala Sitharaman has introduced her second Budget on first February,
2020. A new optional individual tax conspire has been proposed to vide a recently
embedded section i.e., 115BAC for the Individuals and HUF.
From the evaluation
the year 2021-22 (FY 2020-21), individual and HUF taxpayers have an option to
select taxation under the section 115BAC of the Act gave them choose to forego
the predefined deductions and exceptions.
The option to pay tax
at lower rates will be accessible just if the all-out income of the assessee is
registered without guaranteeing following exceptions or deductions:
a) Leave Travel
concession [Section 10(5)]
b) House rent allowance [Section 10(13A)]
c) Official and
individual stipends (other than those as might be recommended) [Section 10(14)]
d) Allowances to
MPs/MLAs [Section 10(17)]
e) Allowances for
the income of minor [Section 10(32)]
f) Deduction for
units built up in Special Economic Zones (SEZ) [Section 10AA];
g) Standard Deduction
[Section 16(ia)]
h) Entertainment
Allowance [Section 16((ii)]
I) Professional Tax
[Section 16(iii)]
j) Interest on
lodging advance [Section 24(b)]
k) Additional
devaluation in respect of new plant and hardware [Section 32(1)(iia)];
l) Deduction for
interest in new plant and apparatus in told in reverse regions [Section 32AD];
m) Deduction in
respect of tea, espresso or elastic business [Section 33AB];
n) Deduction in
respect of business comprising of prospecting or extraction or creation of oil
or flammable gas in India
[Section 33ABA];
o) Deduction for gift
made to affirmed logical research affiliation, college school or other
establishments for doing logical research which could conceivably be identified
with business [Section 35(1)(ii)];
p) Deduction for instalment made to an Indian organization for doing logical research which
might be identified with business [Section 35(1)(iia)];
q) Deduction for gift
made to the college, school, or other organization for doing research in sociology
or factual research [Section 35(1)(iii)];
r) Deduction for gift
made for or use on logical research [Section 35(2AA)];
s) Deduction in
respect of capital consumption brought about in respect of certain predefined
businesses, i.e., cold chain office, warehousing office, and so forth. [Section
35AD];
t) Deduction for use
on farming expansion venture [Section 35CCC];
u) Deduction for
family Pension [Section 57(iia)]
v) Deduction in
respect of specific incomes other than indicated under Section 80JJAA, 80CCD(2)
and deduction under section 80LA for Unit situated in IFSC [Part C of Chapter
VI-A].
Furthermore, on
the off chance that the assessee has business income, this option will be practised
prior to the due date for outfitting the profits of income. When the assessee
has practised the option for an earlier year, it can't be hence pulled back
for the equivalent or some other earlier year. The option once practised for
any earlier year can be pulled back just a single time in ensuing earlier year
(other than the year in which it was worked out) and from there on, he will
never be qualified to practice this option again aside from where such
individual stops to have any business income.
Notwithstanding, if
the assessee doesn't have business income, the option must be practised alongside
the arrival of income for each earlier year. On the off chance that an
assessee, in the wake of choosing Section 115BAC, guarantees any of recommended
deduction or remittance in an earlier year, at that point the option to pay
tax at concessional rate will get invalid for that year.
Feature of this Excel
Utility:-
1) This
Excel Utility Prepare Your Income Tax as per your option U/s 115BAC perfectly.
2) This
Excel Utility has the all amended Income Tax Section as per Budget 2020
3)
Automated Calculation Income Tax House Rent Exemption U/s 10(13A)
4)
Individual Salary Structure as per the Non-Govt (Private) Employees Salary
Pattern
5)
Individual Salary Sheet
6)
Individual Tax Computed Sheet
7)
Automated Income Tax Revised Form 16 Part A&B for the F.Y.2020-21
8)
Automated Income Tax Revised Form 16 Part B for the F.Y.2020-21
10)
Automatic Convert the amount in to the in-words without any Excel Formula
