Well taxation has been made simpler with new Direct Tax Code Bill which is likely to come into effect wef 01 Apr 2011. It proposes that basic exemption limit for individual tax payers will be increased from Rs 1.6 lakh to Rs 2 lakh and same has got approval from the Union. Thus if you have an income per annum which is below 2 lakh than you can heave a sigh of relief as you need not pay any tax. Senior citizens, exemption limit have been raised from Rs 1.4 lakh to Rs 2.5 lakh. This Direct Tax Code will be introduced in Parliament and once it is introduced in passed; It will be put on the website as soon as it's introduced in Parliament. Surcharge removal and cess on corporate tax is also likely to be removed and business houses will also have good time with corporate tax rate being cut to 30 percent including all taxes, down from the existing 33 percent. Income between Rs 2-5 lakh is likely to attract a rate of 10 per cent, 20 per cent for Rs 5 -10 lakh bracket and 30 per cent above Rs 10 lakh.
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27 Aug 2010
Direct Tax Code Provides Relief to Income Tax payers
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