Important point for F:Y 2019-20

For Individual Tax Payers-

1. No Income tax on income upto Rs.5 Lakhs
2. Including 80 C Exemption person earning Rs.6.5 lakhs may not be required to pay any Income Tax .
3. For salaried person Standard deduction of Rs.50,000/- has been allowed.
4. TDS Deduction on rental income raised to Rs. 2.4 lakhs from Rs.1.8 lakhs.
5. TDS deduction on interest on bank and post office deposit raised to Rs.40000 from Rs. 10000.
6.Gratuity limit increased from Rs.10 Lakhs to Rs.30 Lakhs
7. Exemption on capital gain tax u/s 54 of upto Rs.2 Crore on residential property now can claim up to Rs. 2 crore once in a lifetime.
8. Income Tax return and refund to be processed within 24 hours.

MSME Units

• Launch of 59 minute loan portal to enable easy access to credit for MSMEs for loans of up to Rs. 1 crore.
• GST registered MSMEs get a 2% interest subvention for loans up to Rs. 1 crore. The loan option will now be available on the GST portal itself.

Home Buyers

• Government to forward a proposal to GST council to reduce GST on residential property transactions.

Farm Sector

• Annual assured Income of Rs. 6000 for small and marginal farmers with upto 2 hectares of land holding. Applicable retrospectively from Dec 1, 2018, payable in three installments.

Unorganised Sector

• New Pension Scheme of Rs. 3000 per month for people earning upto Rs. 15,000 per month starting from the age of 60. Government to contribute an equal amount to contribution.

Real Estate Sector

• Notional Rent on unsold inventory of developers exempted from tax for 2 years changed from 1 year earlier.