01 Feb 2021: Senior citizens with only pension, interest income exempted from ITR
In her third union budget, Finance Minister Nirmala Sitharaman announced that senior citizens above 75, who rely only on pension and interests for income, will be exempted from filing Income Tax Return.
"In the 75th year of Independence of our country, we shall reduce the compliance burden on senior citizens," she said.
The Finance Minister assured steps will be undertaken to ease tax compliance.
NRIs: Separately, NRIs will be exempted from double taxation
Sitharaman also proposed changes to exempt Non-Resident Indians (NRIs) from double taxation on foreign retirement funds.
The government also reduced the timeline of reopening tax evasion cases from six years to three years. The tax evasion cases, where the income of Rs. 50 lakh or more has been concealed, can be reopened after 10 years.
Meanwhile, no changes in income tax slabs were announced.
Details: Tax holiday for start-ups extended till March 31, 2022
Sitharaman also extended the tax holiday for start-ups and affordable housing projects till March 31, 2022.
Furthermore, the relief provided to charitable trusts running hospitals and educational institutions was increased to Rs. 5 crore from the existing Rs. 1 crore.
In another move to help individuals, Sitharaman said employers can no longer delay depositing their share in the Provident Fund (PF) account of employees.
Also see: Nirmala Sitharaman to present 'budget like never before' shortly
Sitharaman unveils details of PM Garib Kalyan Rojgar Abhiyaan
Sitharaman fifth tranche announcements: All sectors open to private firms
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