Proposed Changes under Income tax – Union Budget 2021
FM Nirmala Sitharaman proposes the following changes with respect to Income-tax– UNION BUDGET 2021
- Tax Audit limit to increase from Rs. 5 Crores to Rs. 10 Crores.
- ITR filing relief for Senior Citizens above 75.
- Dispute Resolution Committee to further reduce litigation for small taxpayers. Which will be faceless to ensure efficiency, transparency. Person with a taxable income up to Rs 50 Lakhs & disputed income up to Rs 10 Lakhs.
- Pre-filled information in ITR: Details of capital gains, Income from List Securities, Dividend Income, Income from Interest on Bank Deposits.
- Reduce the time limit for Reopening of assessments (tax assessments) to 3 years from the present time limit of 6 years.
- Extend exemption available for the purchase of affordable houses & to provide tax exemption for affordable rental housing projects.
- Non-resident individuals are now enabled to set up One Person Companies (OPC) with no paid-up capital and turnover restrictions
- Late deposit of Employee Contribution shall be disallowed.
- Infrastructure Debt Funds shall be allowed to issue Zero Coupon Bond.
