Debt Mulund Fund :
In Finance bill 2023, it was proposed to insert a new section, to treat the capital gains arising from the transfer or redemption or maturity of these securities as short-term capital gains at the applicable rates.However, in the Finance Bill 2023 passed in Lok Sabha, it is proposed that the above provision will be applicable even on debt mutual funds acquired on or after 1.4.2023. Accordingly, a debt mutual fund which was redeemed after holding for 3 years was taxable at 20% after taking benefit of indexation, will now be taxable at slab rate for individuals and at applicable rates for Corporates from FY 2023-24.
FTS for NR :
As per existing Income tax provisions, if a non-resident does not have a permanent establishment in India, royalty and fees for technical services is taxed at 10%. It is now increased to 20%
Payments for foreign tours through credit card will now be covered under the regime for LRS and TCS @20% will be applicable.
Individual Taxation :
Person earning Income up to Rs 7 Lakh would be eligible tax rebate upto Rs.22,500 under the new regime.The amendment provides marginal relief so that the additional tax would not be more than the amount by which income exceeds Rs 7 lakh. So for e.g. if income is Rs.7,00,005, tax as per new tax regime slab rate will be Rs.26000. Therefore, as per amendment, marginal relief of 25,095 will be available.
TCS for no PAN/non ITR filers:
If the buyer fails to provide their PAN or non filing ITR then a higher TCS rate will be applicable. As per amendment, higher rate can not exceed 20%