Starting, 1st April 2017, there will a lot of changes in the financial policies. Here is a quick overview.
- 1-page tax form for individuals with taxable income up to ₹5 Lacks (excluding business income)
- 5% reduction in tax for total income between ₹2.5 lacks and ₹5 lacks.
- ₹2500 per year Tax rebate for taxpayers with income up to ₹3.5 lacks, reduced from ₹5000 earlier.
- 10% surcharge for taxpayers with income between ₹50 lacks and ₹1 crore a year.
- 2 years will be the holding period for calculating long term capital gains on the immovable property instead of 3 years.
- 2001: New base year for adjusting prices for inflation of assets instead of 1981.
- ₹2 lacks cap on cash transactions.
- 2% price hike for 875 drugs including those for treating diabetes, cancer, hypertension & hepatitis, that are on the list of National List of Essential Medicines.
- 5% change in premium rates on general insurance in addition to the advanced third party motor insurance rate.