g BUDGET UPDATES (Amendments in Income Tax) 1) Individual tax slab raised. 0% tax upto 2.5 lac (Senior citizens upto 3 lac) 2) Deduction u/s 80C raised to 1.5 lac from 1 lac (PPF raised to 1.5 lacs from 1 lac) 3) Deduction u/s 24 for interest on loan for Self occupied property increased to 2 lacs from 1.5 lac. 4) Companies to get 15 % investment allowance for fresh investments above Rs 25 crore. 5) Non deduction of TDS -disallowance of expenditure reduced from 100% of expenditure to 30% of expenditure. 6) Presumptive income under section 44AE increased to Rs 7500 per vehicle 7) Enabling provisions for TDS/TCS survey introduced 8) companies will not get deduction for money spent on CSR u/s 135 of companies act 2013 9) Charitable trust cannot claim both depreciation on assets the cost of which is claimed as application of income. Lissie Medical institutions upheld Tiny and tots case reversed 10) Deduction under section 54 and 54F restricted to one house. 11) Limit of investment unde setion 54EC capped at 50 Lkahs in both finacial years. Decision in case of Shri Aspi Ginwala , Sriram Indubal and vivek jairazbhoy reversed. Decision in case of Rajkumar Jain upheld. 12) Advance forfeited on proposed sale of capital asset to be taxed as other sources income and no deduction from cost will be allowed These changes have been made effective w.e.f. AY 2015-16. Thu · Edited
Posted on: Sat, 19 Jul 2014 05:07:05 +0000