Cash withdrawals over Rs 1 crore a year from a bank account will attract a 2% TDS now.
By TNN |
Getty Images
NEW DELHI: Have you filed your tax returns? If you don’t do it by tonight, you run the risk of paying up to Rs 10,000 as penalty, not being allowed to carry forward your losses or get interest on refunds from the tax department. A bigger headache, though, may be in store for you starting tomorrow as some income tax-related changes announced in the budget and other modifications come into effect. Keep these changes in mind if you...
BUY A HOUSE
The amount of TDS (tax deducted at source) when you buy property will go up as you will now have to include payment made for amenities like club membership and car parking to arrive at the cost of the property for deducting the tax.
WITHDRAW A LOT OF CASH Cash withdrawals over Rs 1 crore a year from a bank account will attract a 2% TDS now. RENOVATE YOUR HOUSE
While making payments exceeding Rs 50 lakh a year to contractors or professionals (like for wedding functions), you will have to deduct 5% TDS.
If life insurance maturity proceeds are taxable in your hands, a 5% TDS will be deducted from the net income (total sum received - total insurance premium paid).
BOOK TICKETS ON IRCTC
The Indian railways’ ticket booking portal is bringing back service charge on online bookings. HAVE SERVICE TAX DUES
A new amnesty scheme meant to clear pending tax dispute cases and provide partial relief to those with service and central excise tax dues goes live.
ADVERTISEMENT
VIOLATE TRAFFIC RULES
The new Motor Vehicles Act with updated traffic fines (that have gone up by up to 10 times) comes into effect.
ADVERTISEMENT
GO SHOPPING
Till now, your bank was only required to report your transactions of over Rs 50,000 to the income tax department. From September 1, that threshold goes, which means banks can be asked to report even small transactions to verify your tax returns.
