India Budget 2015. Summary on Tax proposal

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SN	Sec	Changes
1		No change in tax rates. Surcharge increased to 12%
2	80D	Health Insurance– to Rs. 25K from 15K.  Senior citizen – 30K from 20K- Senior citizen – Rs. 30 K for Medical Treatment
3	80DDB	Ease the norms – now any doctor will work – dediction 40K/ 60K/ 80K.
4	80DD/ 80U	Increase the limit in section 80DD/ 80U – Rs. 75K from 50K.
5		Addl Deduction – 50K  - 80CCD -  National Pension Scheme
6		Transport Allowance – Rs. 1600 from Rs. 800
7		Abolished Wealth Tax and 2% additional surcharge on super rich.    Details of assets will be captured in Income tax return
8	6	Amendment in section 6- residence stay of ship crew.
9	269SS	Include im-movable property
10	11A	Interest income exempt on Sukanya Samriddhi Account Scheme
		Direct Tax
1		Reduce tax rate to 25% Increase in surcharge from 7% / 12% from 5/10%.
2	92BA	Domestic Transfer pricing increased to 20 Cr.
3	47	Demerger -
4	80G	100% deduction to Swach Bharat & Clean Ganga other than CSR./ Drug abuse/
5	9A	Section 9A - Presence of fund manager not create a PE In India.
6		GAAR – defer by 2 years.- prospectively 1.4. 2017.
7	115A	FTS – 10% from 25%.
8	80JJA.	New employment deduction   - reduced to 50.
9	9	Amendment in section 9 – Assets located outside India -
10	9A(5)	Section 9A – furnishing of statement.
11	11	Procedural changes for charitable institution.
12	35	Procedural changes
13	80DDB	Procedural changes
14	115UB	New section. -  new forms.
15	192	Collect documents from Employee.
16	195	New form – in case no TDS.
17	285A	Reporting of benefit provided to foreign
18	32D	Additional Investment Allowance for Capital investment in Telengana./ AP.
19	32(i)(iia)	Additional Depreciation at the rate of 35%  only in  Tel/ AP.
20	194LD	WHT @ 5% on foreign interest – June 30, 2017.
21	32(1)	20% additional depreciation allowable fully even when used for less than 180 days.
22	2(15)	Definition of charity includes Yoga.
23	255	Raising the income-limit of the cases that may be decided by single member bench of ITAT -  Rs. 15 Lakhs.
24	158AA	Appeal pending in SC, Assessee win in HC – no further adjustment.
25	295	Enabling the Board to notify rules for giving foreign tax credit
26	195	Deduction of TDS on payment from HO to Branch / vice versa.
27	115JB	Include AOP & FII.
28	147	Simplification of obtaining approval for re-assessment.
29	194C	Exemption to Transporter from TDS- only 44AE with PAN.
20	194A	TDS on all kind of interest
21	200A	Penalty u/s 234E
22	6	Companies having place of management in India.
23	271	Tax payable u/s 234E.
24		Surcharge @ 12% on DDT
		Indirect Tax
1		Service tax flat rate of 14%
2		Swach Bharat cess 2% ( 14.28%)
3		Include amusement facility.
4		Entertainment events with cost Rs. 500/- above. – included.
5		Contract job on production on  liquor – included.
6		Number of exemption withdrawn.
7		New exemption added.
8		Valuation include reimbursement
9		Rationalization of penalty.
10		Uniform abatement of 30% on goods carriage by all means.
11		Air transport -  higher class – 60% from 40%  abatement.
12		Digital signed invoices.
13		Reverse charge – Manpower supply/ security services – full 100%.
14		Cenvat Credit is being extended from six months from the date of invoice to one year from the date of invoice