Union Budget 2021 | 10 Proposals of Direct tax
The Union Budget 2021 was laid down in the parliament on 1st February 2021 by Finance Minister Smt. Nirmala Sitharaman and several changes were made. Thus, in this article, we will be discussing 10 major direct tax proposals which were made in this year’s budget. 1. Relief to Senior Citizens In order to ease the compliance burden on senior citizens, it is proposed to exempt pensioners who are of 75 years of age or above, from the requirement of filing of income tax if the full amount of tax payable has been deducted by the paying bank. 2. Reduction in Time for Income Tax Proceedings Presently an assessment can be re-opened in 6 years, and in serious tax fraud cases for up to 10 years. In this year’s budget the FM has proposed to revise this limit for reopening of assessments to 3 years from the present 6 years, and in serious fraud cases, only when there is evidence of concealment of income of 50 lakh or more in a year, can the assessment be reopened up to 10 years. This can only be