SAG Infotech: Need Tax Software (Call 0141-4072000)

Budget 2020 Provided the option for taxpayers to choose payment of taxes either as per the existing tax structure or forgo most tax exemptions and reductions to pay as per a new lower income tax rate structure. So After this new option, let’s find out, How can a salaried individual earning more than Rs 15 lakh, say Rs 20 lakh, decide if he/she should continue with the old or ongoing tax regime or opt for the new tax regime? We will start by providing a table that showcases the total deductions and tax-exemptions an individual with a total salary income of Rs 20 lakh in an FY should claim so that their tax-liability remains the same in both tax structures. Particulars Tax Payable in Existing Regime Tax payable in New Regime Basic Salary + DA 7,77,200 7,77,200 Other Taxable Allowances 12,22,800 12,22,800 Gross Salary 20,00,000 20,00,000 Standard Deduction -50,000 - Income under the head salary 19,50,000 20,00,000 Chapter VIA deductions -2,00,000 - Income under...

Introduced by Finance Minister Nirmala Sitharaman through Union Budget 2020, 'Vivad se Vishwas' is the scheme meant to settle the entire disputed tax cases. Under this tax dispute settlement scheme (Vivad se Vishwas) , the government is urging the taxpayers to pay off the less or discounted amount of their pending tax amounted till 31 January 2020. Taxpayers are requested to clear their dues before the end of Financial Year 2019-20. Tax Experts Statements Related to the commencement of this provision, the finance tax expert at Deloitte said that this was the long-awaited provision that will lead to sort most of the pending tax cases. However, the limited time frame allotted by the government could prove to be a hurdle for some taxpayers. The government here is expected to extend the deadline for tax payments if any trouble arises in the near future. The ending version of this provision is yet to be introduced and will be done soon along with the procedural aspects Anot...