From 1st April 2023
Investors can also opt for the Old Regime. TDS will be based on tax rates under the New regime. Thus, choose wisely between the Old and New tax regime while declaring investments
₹0 - ₹3 lakh - No Tax ₹3 - ₹6 lakh - 5% ₹6 - ₹9 lakh - 10% ₹9 - ₹12 lakh - 15% ₹12 - ₹15 lakh - 20% Above ₹15 lakh - 30%
Tax rebate limit increased from ₹5 lakh to ₹7 lakh.
No change under the old regime. SD of ₹50,000 is now available under the new tax regime.
LTA for non government employees is now increased to ₹25 lakh.
No LTCG benefit for debt mutual funds, hybrid funds, gold funds (Gold ETFs), international funds, and funds of funds (FoFs) that do not invest more than 35% in equity.
Investments in MLDs will be considered as short term capital assets.
Senior Citizen Savings Scheme (SCSS): Maximum deposit limit increased from ₹15 lakh to ₹30 lakh. Monthly Income Scheme (MIS): Maximum deposit limit increased from ₹4.5 lakh to 9 lakh and ₹7.5 lakh to ₹15 lakh for single and joint accounts respectively.
No capital gains tax when converting physical gold to Electronic Gold Receipt (EGR) and vice versa.
Any amount received from life insurance premium above ₹5 lakh per annum will be subject to taxation.
New section 115BBJ imposes a 30% tax on all types of online gaming winnings (cash, vouchers, kind, or benefits). This is deducted at source upon receipt.
Sections 54 and 54F provide tax incentives to taxpayers who sell their property and invest the sale amount in a new property. From April 1st, incentives will be limited to Rs 10 crore. Any gains exceeding this amount will be taxed at 20% with indexation benefit.
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