Know the changes from April 1 which are going to affect your finances
Financial Changes frm 1st April....affordable housing, medicines to cost more, crypto taxed-
Fiscal year 2022-23 is due to start on 1st April and there are a few changes which are going to affect your finances. Let us talk about the seven major changes to affect your pocket :
1. Provident Fund
Employee Provident Fund contribution in excess of INR 2.5 Lacs will be taxable from now. EPF Contribution will be divided into two parts for tax calculations. The first one will be 2.5lacs which eill be exempted and second one anything in excess if that which will be taxed. For Governmrnt employee’s this can not exceed INR 5 lacs.
2. Affordable House:
First time buyers of affordable house of up-to INR 45 Lacs were entitled for A n additional rebate of INR 1.5 Lacs under section 80EEA in addition to INR 2 Lacs rebate under section 24B on interest paid on home loan which has now been withdrawn. This scheme was for taxpayers who took home loan between 1st April 2019 and 31st march 2022.
Any Virtual or Crypto asset will have clear regulations now onwards. Virtual or Crypto assets will be charged 30% tax. Any profit out of sales of Crypto currency will be taxable and 1% TDS will be charged from 1st July on any such transaction.
800 lifesaving drugs will cost up-to 10% more from 1st April
5. PAN AADHAR LINK:
PAN and Aadhar Card were have to be linked on or before 31st March 2022. Taxwill have to pay a fine of INR 500/ if he links up-tp 30th June 2022 and 1000/ if he does so up-to 31t March 2023. If he fails to link PAN and Aadhar after 31ST March 2023, his PAN will stand cancelled.
Anyone with turnover over INR 20 Crores will be covered under e-invoicing. Every B-to-B Transaction has to be done through e-invoicing failing which goods may be confiscated during transit and input tax credit of the buyer may fall in danger.
7. Audit Trai:
Every company will have to add Audit Trail feature in their Accounting software to record any after transaction changes, This Audit trail will have to be furnished on demand.
Also Read: Know the features of the green hydrogen-powered Toyota Mirai car in which Nitin Gadkari reaches the parliament
There are some NPS and Mutual Fund related changes too like:
1. State Employee may claim more on contribution towards NPS
2. Any amount up-to INR 10 Lacs withdrawn for COVID-19 Treatment will be tax free.
3. Investments in Mutual Funds can only be done through UPI or Net Banking transactions.
4. Senio Citizens aged 75 or above have been exempted from filing IT returns