Finance Minister Nirmala Sitharaman declared the incorporation of a new section in the Union Budget 2020, known as 115BAC, in the Income Tax Act. Section 115 BAC, successful from FY 2020-21, identifies with the new and discretionary income tax framework for people and Hindu Undivided Families (HUFs).
Let us comprehend the new slab rate, the qualification measures for the new system and the concessions permitted or dismissed under section 114 BAC. Moreover, we will contrast the two frameworks with assistance you pick the more proper one.
What is Section 115 BAC?
Section 115 BAC is a newly embedded section in the Income Tax Act, 1961 which ensures the new income tax discipline. This section and the elective tax discipline were presented in the Union Budget 2020 and are pertinent to people and Hindu Undivided Families (HUFs). A vital component of this new system is that the rate of income tax slabs has been essentially diminished. Nonetheless, the new rates come at the expense of different fundamental income tax exceptions and discounts, which are as of now accessible under the old (existing) income tax framework. The accompanying table shows the new slab rate as per section 115BAC.
As per the New Income Tax Section 115 BAC
introduced in Budget 2020. As per the Section 115 BAC you should give your
option as you opt-in as New Tax Regime or Old Tax Regime in the newly
prescribed Form 10-IE. If you choose the New Tax Regime you can not avail this
exemption U/s 80 TTA or if you choose the Old Tax Regime then you can avail
this Exemption U/s 80 TTA.
Feature of this Excel Utility:-
1) This
Excel utility prepares and calculates your income tax as per the New Section
115 BAC (New and Old Tax Regime)
2) This
Excel Utility has an option where you can choose your option as New or Old Tax
Regime.
3) This
Excel Utility has a unique Salary Structure for Non-Government Employee’s
Salary Structure.
4) Automated
Income Tax Form 12 BA
5) Automated
Income Tax Revised Form 16 Part A&B for the F.Y.2020-21
6) Automated
Income Tax Revised Form 16 Part B for the F.Y.2020-21
