Union of India Budget 2018 Highlights

The key highlights of Union of India Budget for FY 2018 – 2019 presented by Finance Minister Arun Jaitley is listed below.

Changes in Income Tax rates

» No Change in Personal Income Tax Rates. However – an additional benefit of

» Rs 40000 Standard Deduction for Salaried  (An additional Deduction)

» Rs 50000 Interest Free Income from Fixed Deposit, Bank Deposit – Section 80D

» Rs 50000 as Deduction under Health Insurance Premium, Medical bills for Senior Citizen

» Income Tax for Smaller Companies with Annual Turnover upto 250 Crore is reduced to 25%. Almost 98% Companies in India will Benefit with this Lower Corporate Taxes. However – No Corporate Tax rate cut for Listed Companies

Direct Tax (Income Tax) Slabs FY 2018 – 19

Income Range Income Tax Slabs
Upto Rs. 3 Lakh Nil
Rs. 3 Lakh to Rs. 5 Lakh 5% / NIL for Very Senior Citizen (above 80 Years)
Rs. 5,00,001 to Rs. 10,00,000 Rs 12500 + 20% on income above 5 Lakh / 20% for Very Senior Citizen
Above Rs. 10 Lakh Rs 1,12,500  + 30% on income above 10 Lakh / Rs 1 Lakh + 30% on Income above 10 Lakh for Very Senior Citizens.

Additional Surcharge (for those in High Income Bracket)

1. 10% for Income in between Rs 50 Lakh to 1 Crore

2. 15% for Income above Rs 1 Crore

3. Education Cess of 2% Continues

Deductions
Additional Deduction Rs 5000 for People with income less than Rs 5 Lakh p.a. Exemption Limited u/s 80GG remained same as Rs 60000 /yr

Rest all other Standard deductions remains same

India: Capital Gain Tax on Sale of Shares

» Capital Gain for on Short Term Capital Gain on Sale of Shares at 15%

» Long Term Capital Gain on Sale of shares at 10%

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