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The country’s middle class can expect changes in tax slabs under the new income tax regime. The government may introduce an additional 25% tax rate for income levels between Rs 15,00,000 to Rs 18,00,000, while income above Rs 18,00,000 can be charged with a 30% tax rate, according to sources.
Sanitaryware players expect the government to focus on rationalising GST rates on sanitaryware products to make them more accessible and encourage sustainable construction practices through policy measures in the Union budget for the next fiscal.
The new Income Tax Return (ITR) filing portal 2.0 which was launched on June 7, 2021, is a simpler and user friendly than ITR portal 1.0 but like any new technology, this 2.0 portal is also experiencing many glitches. Moreover, chartered accountants say that there are certain problems in logical reasoning of the ITR portal. Sometimes a tax notice intimation is sent through email and SMS, but the said notice couldn’t be found on the ITR portal. Multiple such small issues collectively form a bigger grievance against the ITR portal.
“The 18 per cent GST on agrochemicals makes quality crop protection expensive for farmers. Reducing it to 5 per cent would make these products more accessible, boosting productivity and profitability. Additionally, India’s reliance on imports highlights the need for Production-Linked Incentive (PLI) benefits to encourage local manufacturing,” Vimal Kumar, Managing Director, Best Agrolife Ltd said.
Ahead of the budget, the ministry of heavy industries and auto companies have made a fresh pitch for concessions for CNG vehicles, once seen as a symbol of cleaner transport. One of the key demands is to slash GST on these vehicles from the current 28%, with auto industry representatives demanding that it should be comparable with electric vehicles, which attracts a 5% levy.
The mutual fund industry has presented its wishlist for Union Budget 2025-26, which includes proposals for earlier tax rates on capital gains, restoration of long-term indexation benefit for debt mutual funds, and mutual funds should be allowed to launch pension-oriented MF schemes (MFLRS) with uniform tax treatment as NPS.
OTU is conducting an Interactive session on Budget 2025 – Decoding the DT & IDT on 3rd Feb., 2025 at 4pm
The announcement of new income tax regime in India’s Union Budget 2020 was a progressive step by the Hon’ble Finance Minister Sitharaman towards simplification and moving away from administratively heavy tax exemption regime. This paved the way for taxpayers to pay income tax at a reduced slab rate in exchange for most of the exemptions and deductions otherwise available under the old income tax regime.
As the Union Budget 2025 draws near, there’s a growing buzz about potential changes in Income Tax policies for the common man. Experts have offered several recommendations focusing on significant changes to personal income tax, specific tax areas like EVs and crypto, housing benefits, savings incentives, and more. These proposed reforms aim to provide relief to the taxpayers.
With targeted reforms and incentives like the reduction of GST on Health insurance, we can unlock the true potential of insurance, ensuring wider coverage, encouraging innovation, and building a secure future for every individual and business, Universal Sompo General Insurance Managing Director and CEO Sharad Mathur said.
