India Budget 2015. Fast Summary on Tax proposal.

 

SN	Changes	Remark
Personal Tax.
1	No change in tax rates.	Neutral
2	Health Insurance – 80D – to Rs. 25K from 15K.  Senior citizen – 30K from 10K- Senior citizen – Rs. 30 K for Medical Treatment	Positive.
3	80DDB – 80 K from 60K in case of senior citizen	Positive.
4	Increase the limit in section 80DD/ 80U – Rs. 25K.	Positive.
5	Addl Deduction – 50K  - 80CCD -  National Pension Scheme	Positive
6	Transport Allowance – Rs. 1600 from Rs. 800	Positive.
7	Abolished Wealth Tax and 2% additional surcharge on super rich.    Details of assets will be captured in Income tax return	Neutral.
8
Corporates.
1	Reduce tax rate to 25%	Positive.
2	Domestic Transfer pricing increased to 20 Cr.	Positive.
3	Service tax flat rate of 14%	Negative.
4	100% deduction to Swach Bharat & Clean Ganga other than CSR.	Positive.
5	Presence of fund manager not create a PE In India.	Positive.
6	GAAR – defer by 2 years.- prospectively 1.4. 2017.	Positive.
7	FTS – 10% from 25%.	Positive.
8	New employment deduction   - reduced to 50.	Positive.