Budget 2017: Income Tax Rate Reduced To 5% For Income Between Rs 2.5L To Rs 5, Cash Transactions Above 3L Banned
Finance Minister Arun Jaitley has announced that the personal Income Tax Rate will be reduced from 10% to 5% for those earning between Rs 2.5 to Rs 5.
He also announced 10% surcharge on individual income above Rs 50 lakh and upto Rs 1 Cr. 15% surcharge on incomes above Rs 1 crore will continue
Income tax for smaller companies with turnover up to Rs 50 cr reduced to 25%
Some Important Announcements in the Budget Speech:
- All cash transactions above Rs 3 lakh banned from April 1
- Zero tax libality for people earning upto 3L per annum
- Maximum amount of cash donation a political party can receive will be Rs 2000 from any one source.
- Political parties will be entitled to receive donations by cheque or in the digital mode from their donors.
- Basic customs duty on LNG reduced from 5% to 2.5% in 2017-18
- Cash limit of charitable donation proposed to be reduced to Rs. 5000/- from existing 10000
- Maximum amount of cash donation for political parties cut to Rs 2,000 cr
- Government will amend the Multi-state Cooperative Act to protect the poor and gullible investors.
- Government will amend Negotiable Instruments Act to protect payees of dis-honoured cheques
- Service charge on e-tickets booked through IRCTC to be withdrawn
Read Key Highlights Of Budget 2017 here
Read the Full Text Of Budget Speech here
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