Cost accountants hold workshop on Interim Budget 2019

Source: The Hitavada      Date: 06 Feb 2019 09:19:50


 

Business Bureau,

The Nagpur Chapter of the Institute of Cost Accountants of India conducted a workshop on “Interim Budget-2019” here recently wherein CA Naresh Jakhotia and CMA N P Vishwanathan were the key note speakers. At the outset, Chairman of the session CMA Anan Sahastrabudhe and Secretary CMA Anil B Verma welcomed the guest speakers.
On the occasion, Jakhotia deliberated on proposed amendments in Direct Tax in the Interim Budget. He elaborated on all major amendments proposed in Interim Budget-2019 under the provisions of Income Tax Act, 1961.


He made a detailed analysis of the provisions with regard to Direct Taxes in the Budget and pointed out that existing rate and slab of Income Tax shall  continue. “The basic exemption limit of Rs 2.50 lakh has  not been increased nor the rate of taxes have been changed.  Apart from this, rebate U/s 87A has been extended for the taxable income up to Rs 5 lakh and no tax is payable by the assessee if his annual income is upto Rs 5 lakh. Indirectly because of enhancement in the 87A Rebate, the tax payers will be eligible for Tax Rebate Maximum of Rs 12,500,” he said.


He also pointed out that the amendments in Standard Deduction Limit under salary head is enhanced from existing Rs 40,000 to Rs 50,000 which will benefit salary class tax payers. With regard to changes made in income from house property, he said that the deemed rent provision for self occupied property is dropped in the Budget and if the assessee is owning two residential house properties then both will be treated as self occupied and will be eligible for claiming deduction for interest on borrowed capital which will be restricted to Rs 2 lakh.


For housing and real estate sector he explained the two years period after the date of completion of the scheme shall be allowed with regard to unsold stock for charging it’s income as a rent on notional basis.
He also spoke out amendments in TDS under section 194A. “Limit of interest on deposits in bank and post office has been increased from Rs 10,000 to Rs 40,000. Besides, threshold of TDS on rent U/s 194I increased has been increased from Rs 1,80,000 to  Rs 2,40,000.


He then explained the benefit of capital gains U/s 54. “ Earlier Long Term Capital Gain (LTCG) was available for exemption in one residential house property. But now it is proposed to extend the benefit by investing LTCG in two residential house properties for capital gains up to Rs 2 crore. Second speaker Vishwanathan highlighted Budget with  regard to Indirect Taxes  and major amendments
under GST Act.


He said that GST collection is increasing in every month and Finance Minister recommended to GST Council to further reduce rate of GST on home  buyers. It is proposed that businesses comprising over 90 per cent of GST payers to  be allowed to file quarterly return. Later on members raised queries with regard to Direct and Indirect Tax and both the speakers tried to resolve them. The workshop was well attended by the members in industry and practicing members. Prominently present on the occasion were Regional Council Member and Secretary WIRC CMA Shriram Mahankaliwar; CMA G R Paliwal, Renu Kulkarni, P S Patil, Vivek Chavan, Kailash Kalyani ,V M Rao and Kasivishwanthan.


CMA Sonal Bakshi Member - Nagpur Chapter, conducted the proceedings of the event and also proposed the vote of thanks.