New Delhi: The central government has given a big relief to the employed people today. Finance Minister Nirmala Sitharaman has also announced a package in the Corona era for the convenience of taxpayers. While on one hand, the government itself will contribute the PF of the employees themselves, on the other hand, they have extended the date by three months to file their income tax returns for the financial year 2019-20.
Contribution of serviceman’s PF
The Finance Minister announced that he will contribute the PF of employees with a salary up to Rs 15,000 for the next three months. July, August and September 2020 will contribute 10 per cent of the PF of employees and 12 per cent of the PF contribution of companies.
Take-home salary will increase
This step of the government has also increased the take-home salary to the employees. 2500 crore help will be provided by the government. PF contribution is being reduced for the next three months, it has been done for employers. Government and PSU companies will have to pay 12 per cent only. PSUs will pay only 12 per cent of PF, but employees will have to pay 10 per cent PF. 72 lakh 22 thousand employees will get the benefit. Companies and employees will have to pay 10-10% in EPF.
The breakup of 12 lakh crore rupees package
About 8 lakh crore rupees had already been released by the RBI and the government for the Rs 20 lakh crore package. Now a breakup of 12 lakh crore rupees package is being given.
This exemption in income tax
Finance Minister Nirmala Sitharaman has given a big relief to those filing income tax returns. The date of filing of Income Tax Return (ITR) has been increased from 31 July to 30 November 2020. The income tax return for the financial year spent every year was filed until 31 July 2020. Finance Minister Nirmala Sitharaman said that companies whose tax disputes are pending under the trust scheme from the dispute can pay tax without interest till 31 December 2020. At the same time, TDS-TCS rates will be cut by 25 per cent by March 2021.
TDS for non-salary payment, TCS rate for specified receipts
is being reduced by 25% from the current rate till 31 March 2021. With this,
the liquidity of 50000 crore rupees will remain in the hands of the people. TDS
is deducted at various sources of income. This includes salary, interest or
commission on any investment.
The assessment date, which ends on 30 September
2020, has been extended to 31 December 2020. The assessment date ending on 31
March 2021 is being extended to 30 September 2021. Due to the dispute, the
payment period is being extended to 31 December 2020 without additional amount
in the trust scheme.