a. The rate of tax on income between Rs. 2.5-5 lakhs has been reduced to 5% from earlier rate of 10%.
b. Penalty of Rs.10,000 shall be imposed on those taxpayers who fails to file their returns on time.
c. Individuals making rental payments above Rs.50,000 per month shall be required to deduct tax at source @ 5% w.e.f. June 1, 2017.
d. Quoting Aadhaar Number has been made mandatory for filing of Income Tax Returns and while applying for PAN as well w.e.f. July 1, 2017.
e. Limit on cash transactions has been set at Rs. 2 lakhs from proposed Rs. 3 lakhs.
2. GST Migration date has been extended to 30.04.2017. Now provisional IDs which were not used till 31.03.2017 can be used up to 30.04.2017. Unused provisional IDs till such extended date shall be cancelled after that date as not needed.
3. Commodities that are kept outside the purview of GST are Alcohol for human consumption, Petroleum products namely petroleum crude, motor spirit (petrol), high speed diesel, natural gas aviation turbine fuel & Electricity.
4. Under GST, to amend the Registration Certificate, permission of the proper officer shall be required for only certain core fields of information, whereas for the other fields the registrant can himself carry out the amendments.
5. Under final GST Bill, Supplies of specified Goods & Services from Unregistered person to Registered person to be taxable under Reverse Charge.
6. GST paid on Reverse Charge can be considered as Input Tax. Hence, if such goods or services are used, or intended to be used, in the furtherance or course of his business, in that case credit can be availed against such tax.
7. Under reverse charge, supply will be considered on the date whichever is earlier –
a. Date of receipt of services
b. Date on which payment is made
c. Date of receipt of invoice
d. Date of debit in the books of accounts by supplier
8. New ITR forms has been released by Income Tax Department –
a. Form ITR – 1 SAHAJ: For Individuals having Income from Salaries, one house property, other sources (Interest etc.) and having total income up to Rs.50 lakhs (1 Page Return)
b. Form ITR – 2: For Individuals and HUFs not carrying out business or profession under any proprietorship
c. Form ITR – 3: For individuals and HUFs having income from proprietorship business or profession.
d. Form ITR – 4 (SUGAM): For presumptive income from business & profession.
e. Form ITR – 5: For persons other than (i) individual (ii) HUF (iii) company and (iv) person filing ITR form
f. Form ITR – 6: For Companies other than companies claiming exemption under section 11.
g. Form ITR – 7: For persons including companies required to furnish return under sections 139(4A) or 139(4B) or 139(4C) or 139(4D) or 139(4E) or 139(4F).
Have a great day ahead!