Standard Deduction u/s 16(ia)
Amount of Standard deduction u/s 16(ia) increase from Rs. 40,000/- to Rs. 50,000/- for the AY 2020-21.
Notional Rent on second self occupied house property exempt from tax u/s 23
Homeowners will not be required to pay tax on notional rent if they have more than one self-occupied property. According to the budget proposals, exemption has been proposed on the income tax from the notional rent on second –self-occupied house. This benefit is applicable for a person occupy two self occupied house property.
TDS threshold limit raised
To benefit small depositors and non-working spouses, TDS threshold limit has been proposed to be hiked to Rs 40,000 from the current of Rs 10,000 u/s 194A wef 01.04.2019
TDS threshold limit on rent paid or payable has been proposed to be hiked to Rs 2,40,000/- from Rs. 1,80,000/- in a financial year u/s 194I.
Sell 1, buy two houses
Currently capital gain arising from transfer of house property is exempt u/s 54 on purchase or construction of one residential house property within the stipulated time.
From the AY 2020-21 in order to save tax on long-term capital gains on the sale of house property one can invest capital gains in two house properties instead of one but this benefit is available once in a lifetime only if capital gains do not exceed Rs 2 crore.
Tag:11 commerce, 11th commerce, 12 commerce, 12th commerce, bba, bcom, ca, ca cpt, ca final, ca inter, commerce, commerce achiever, commerce optional, cs, cs final, cs inter, income tax, Income Tax Amendment For Assessment Year 2020-2021, mba, mcom, ugc net, ugc net commerce, ugc net commerce optional, upsc commerce optional, upsc commerce optional paper, upsc commerce optional previous year paper, upsc commerce optional syllabus, upsc optional