From October 1, 10 percent TDS will be applicable on the interest of certain bonds of the central and state governments. These will also include floating rate bonds. This was announced by the government in the Union Budget this year. Till now government bonds were outside the purview of TDS
In the Union Budget presented on July 23 this year, the government had announced many new rules. Most of these are related to income tax. These rules are going to be implemented from next month i.e. October 1. You will not have any problem if you know about them in advance. Let us know about them in detail.
Higher STT on F&O trades
Securities Transaction Tax (STT) on Futures and Options (F&O) trades will increase from October 1. This was announced by Finance Minister Nirmala Sitharaman in the Union Budget on July 23. The government has decided to increase STT to curb the participation of retail investors in F&O trading. STT is a tax that is levied on buying and selling securities. Securities include shares, futures and options. STT on options premium will increase to 0.1 per cent. STT on futures will increase to 0.02 per cent of the trade price.
TDS on interest from government bonds
From October 1, 10 per cent TDS will be applicable on interest on certain bonds of the central and state governments. These will also include floating rate bonds. This was announced by the government in the Union Budget this year. Till now government bonds were outside the purview of TDS. Experts say that government bonds coming under the purview of TDS will affect their returns. However, there is a limit of Rs 10,000 for TDS. This means that if the amount of interest from government bonds in a year is less than Rs 10,000, then it will not come under the purview of TDS.
New rules for tax on share buyback
New rules for tax on share buyback will come into effect from October 1. Now investors participating in share buyback will have to pay tax on capital gains. Earlier, investors did not have to pay tax on capital gains on participating in share buyback. Experts say that this may affect the participation of investors in the share buyback program.
New rules of Aadhaar
From October 1, the use of Aadhaar enrolment IT will not be allowed to apply for Permanent Account Number (PAN) or to file income tax returns. The government has taken this decision to stop cases of misuse of PAN.
Also read: Keep these 5 things in mind while shopping for festive season, otherwise you will regret later
Direct Dispute to Vishwas Scheme 2024
Direct Dispute to Vishwas Scheme 2024 of Income Tax Department will open from 1st of next month. Under this scheme, taxpayers will get the facility to settle pending tax cases by paying less penalty and less interest. The benefit of this scheme will be available to those taxpayers whose tax cases are pending in the appellate authorities, High Court or Supreme Court till July 22, 2024.
Related Articles-
Dell also started ending work from home, saying- office environment is necessary to improve skills
All recharge plans with free Netflix: Jio, Airtel and VI all part of this list
