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Provident fund of high salaries will also be taxed

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The Trend government has made a major announcement in the budget. This is going to affect the employees with a high salary. According to the proposal of Finance Minister Nirmala Sitharaman, three investment schemes EPF, National Pension Scheme (NPS) and Retirement Fund can now be taxed, as the maximum investment limit of Rs 7.5 lakh has been fixed.


Highlights

  • Provident fund of people with a high salary package can come under the tax net
  • There was a maximum investment limit of Rs 7.5 lakh.
  • This proposal made by the Finance Minister in the budget will come into effect from 1 April 2021
  • This proposal will not affect people with low salary package

New Delhi

Union Finance Minister Nirmala Sitharaman has proposed an alternative tax regime with low tax rates on the one hand in the Budget 2020, and on the other hand has also fixed the maximum limit for investment in some tax saving schemes. According to the budget proposal, the three investment schemes that offer tax benefits EPF, National Pension Scheme ( NPS ) and retirement funds can now come under the tax net, as a maximum investment limit of Rs 7.5 lakh has been set. However, this will only affect the employees with high salary package.
April 1, 2021 , the maximum limit for total investment in NPS , Retirement Fund and Provident Fund in a year will be Rs 7.5 lakh and taxable if invested above it. It has also been proposed in the budget that the interest and dividend amount earned last year will also be taxable.
Read: If you choose the new option of income tax, then there can be a big loss. We understand the
mathematics of tax by
an example. Suppose the basic salary of a person is Rs 30 lakh, then the total contribution made by the employer will be …
Employer’s contribution to PF – Rs 3.60 lakh NPS –
Rs 3 lakh
retirement fund – Rs 1.50 lakh
Total investment – Rs 8.10 lakh
Taxable amount – Rs 60,000
There was no upper limit
till now, the contribution by the employer to PF and NPS was taxfree and there was no upper limit also. Employers have to contribute 12% of basic salary in EPF and 10% in NPS to employees. Tax exemption can also be availed in this.
Read: If you are bothered by two income tax options, then this calculator will
have an impact on those with high salary packages, those
who have less salary, this proposal will not have any effect. Whereas, the salary package of people with high salary income is designed in such a way that a major part of their salary can be put in these three funds, so that this part of salary does not come under the tax net.
Budget 2020: Advantage or disadvantage in new income tax option?
Budget 2020: Advantage or disadvantage in new income tax option?
In the budget presented on Saturday, Union Finance Minister Nirmala Sitharaman has given two options to the taxpayers to pay income tax. In the new option, tax rates are kept low, but in this, taxpayers are denied all tax exemptions. This means that if you opted for a new tax option, you would lose the benefits of section 80C, section 80D, tax exemption on HRA and tax exemption on housing loan. Hence taxpayers are confused about which option will be beneficial for them, old or new.


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“If the government parties do not want to sit in the street, then”;

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The central government has decided to reduce excise taxes on gasoline and diesel in the wake of the increased policy. On Saturday, Union Finance Minister Nirmala Sitharaman tweeted about it. “We are reducing the central excise duty by Rs 8 per liter on petrol and Rs 6 per liter on diesel. This will reduce petrol by Rs 9.5 per litre, and diesel by Rs 7 per litre, Sitharaman said. After this, the leader of The Devendra opposition has attacked the Thackeray government following this decision.

Many thanks to Prime Minister Narendra Modi and Union Finance Minister Nirmala Sitharaman for the decision to reduce the central tax on petrol and diesel by Rs 8 and Rs 6 per litre, respectively! For this, the central government will bear a charge of Rs 1 lakh crore every year. Prime Minister Narendra Modi’s government has also decided to give a subsidy of Rs 200 per cylinder to recipients of Pradhan Mantri Ujwala Yojana, thus a financial burden of Rs 6,100 crore will be incurred,” said Devendra Fadnavis.

Prime Minister Narendra Modi has once again shown that the Modi government at the Center is the common man’s government in this country. The welfare of the poor is a very important issue for them and they constantly fight for it. He has given the same answer once again from these decisions. Now, I once again request the Chief Minister and the Government of Maharashtra to take the initiative to reduce the taxes on gasoline and diesel and provide more relief to the common man. Because the rates in Maharashtra are the highest. The ruling parties do not want to sit in the streets, they want to give relief to the people,” Fadnavis said.


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“This government belongs to dishonest children, they are in the sea…”, offensive statement from the BJP MLA! | …

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A few days ago, the Supreme Court ordered the state government to declare local body elections in the state within 15 days. Thus, while expressing a strong feeling that the OBC reserve is gone, the Opposition has targeted the Maharashtra Government. BJP has criticized the state government for killing the OBC reserve. In this regard, BJP MLA Babanrao Lonikar’s tongue slipped as he spoke to citizens in the Mantha city of Jalna. He criticized the state government in offensive language. Reactions to his statement are now beginning to surface.

“Government Thieves, Lafange Ministers”

“If this information had been delivered to the Supreme Court by collecting Imperial data and conducting a triple test, an OBC reservation of one thousand percent would have been read. But this government and its ministers, liars, scoundrels, scoundrels should be drowned in the sea. These liars were constantly saying that Modi, the central government should give us the data,” said Babanrao Lonikar.

“Data collected during Manmohan Singh’s rule”

“Manmohan Singh was the prime minister of the country. In Delhi, Maharashtra was ruled by the Congress. The whole country was under the control of the Congress. That was when the survey was done. There were 69,000 errors in it. The Manmohan Singh government never has not released that data to any state. Congress hasn’t released that data in its 50 years of existence. But the OBC ministers in the state are making the scene. They’re giving speeches with scarves around their necks. They’re speaking in the media.” Lonikar said.

“Go to the villages and tell them…”

Speaking at the occasion, Lonikar called on those present to speak about government from town to town. “Go to the villages and tell them that this is a dishonest child. The snake is not visible in the vegetation. We have to explain to the villagers how poisonous this three-winged snake is in Maharashtra,” Lonikar said.


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Aurangabad was rocked by two murders; One Sided College Girl All Day…

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The city of Aurangabad was shaken by the killings that took place in the morning and around noon. Two days ago, a man murdered his girlfriend and committed suicide in Aurangabad. While the incident was fresh, a 19-year-old girl was killed near the university on Saturday (May 21) out of one-sided love. The defendants in both cases have been acquitted. The deceased 19-year-old student and her killer were both from the same community, police said.

In another incident, Sabir Shah Qasim Shah (36) and Farhan Khan Nizam Khan (19, both Cuttackgate water tank residents) got into an argument at the Jinsi police station on Friday over a minor altercation. Farhan hit Sabir Shah in the stomach with a sharp object near him, seriously injuring him. Sabir Shah is receiving treatment at Ghati Hospital. However, the doctors pronounced him dead in the morning.

The police arrived at the scene in a case of one-sided love

One case has been recorded in this regard, said Jinsi Police Inspector V. METRO. Kendra gave. Senior officials including API Magare from Kendra visited the site. Tangde Criminal Investigation Squad Deputy Inspector Sunil Jadhav has been dispatched to Naregaon to search for the accused. A forensic team has been called to the scene. Panchnama was also performed by Sub-Inspector Harun Sheikh’s team.

Also read: Two murders at midnight in Aurangabad, murder of a woman along with a young man

Meanwhile, the defendant has a large gang that includes all minors and children up to 18 years of age. Many of them are in the business of only selling buttons at night. The police are investigating in that direction.


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