A daily newsletter & articles from Mumbai Multimedia Studio www.multimediastudio.net is about how the finance is getting supercharged by tech in India, and how you can make pluto crat work for you by review, read, look, achieve it on our BLOGS and FORUM
A couple of weeks ago, I had already wrote about an old- versus-new dilemma facing the Indian government. There have been a veritably many takers for the new simplified income duty governance rolled out in Union Budget 2020 21 - An inviting maturity of taxpayers have cleaved on to the old governance.
An unhappy government wants to change this, but it’s prove deasier said than done.
With Union Budget 2023- 24, still, presented on 1 February, the government has given the new duty governance a potent shot in the arm. And the old governance, it seems, is fated to be-retrograded by an old but effective tactic — neglect.
Now, all this may have some unintended consequences. But first, it’s time for a bit of environment- setting.
Until history, this was the situation
The old tax regime has advanced duty rates but also a plethora of duty deductions and immunity that reduce taxable income. The new tax reforms has lower duty rates but without the benefit of utmost duty breaks down.
The nearly 70-odd deductions and immunity in the old tax regime can reduce the taxable income of an individual taxpayer significantly.
So, indeed if the duty rates are advanced, the old tax regime means lower duty outgo for utmost taxpayers. Ergo the new tax regime is being given a wide situation.
Perhaps the government could candy the deal for the new tax regime, to try and blandish some to shift. But there’s a lot of distance to be covered by the government before utmost taxpayers will indeed consider budging.
Well, turns out the finance minister did just that this week.
A lot of distance has been covered for the new tax regime and the old one has been fully ignored. Enough that numerous will probably shift over now, including some veritably rich folk. But numerous also probably won’t, because it still won’t be worthwhile.
And which group you find yourself in will depend a lot on whether you find the following changes seductive enough.
Let's dive into www.multiediastudio.net for more details:
Comments