Latest News
-
HDFC Bank Q4 Preview: Net Profit Likely To Grow 56% YoY; Credila Stake Sale To Fuel Earnings -
1:10 Split, Rs 299/Sh Dividend: Tata's Steel Stock Up 11% In 30-Days, Better Than Nifty; PL Says Accumulate -
625% Dividend, 1:10 Split, 3 Bonus; FMCG ITC Makes Big Acquisition Announcement; Stock Target Prices In April -
2:1 Bonus Issue: IT Penny Stock Turned; 1,600 Shares Market Lot Size Revised To 4,800 Shares -
FREE, FREE, FREE! 3:1 Bonus: Pharma Stock Hits Back-To-Back Upper Circuits; 500 Shares To Earn Rs 1,69,500 -
1:10 Stock Split: Below Rs 10, Fertilizer Sector Turned Ex-Split; 8,282% Returns In 5 Years -
Rs 17/Share Dividend: Record Date On April 26; Buy The ICICI Group Stock To Be Eligible? -
Honasa Consumer to Strengthen Operations by Merging Fusion Cosmeceutics and Just4Kids -
Wipro Reports 7.8% Decline in Q4 Net Profit; CEO Highlights Economic Challenges -
IREDA Hits Record Annual PAT of Rs 1,252 Cr in FY24; Q4 Profits Up by 33%
Planning To Opt For New Tax Regime? Notify Your Employer Says CBDT
Providing clarification to taxpayers, the Central Board of Direct Taxes (CBDT) said that those who wise to opt for the concessional income tax rates proposed in the Union Budget 2020 will need to notify their respective employers. It also said that once the intimation has been applied for the year, it cannot be modified but one can make changes while filing ITR.
In its circular, dated 13 April 2020, the CBDT said, "In order to avoid genuine hardships, the Board clarifies that an employee having income other than the income under the head of 'profit and gains of business or profession' and intending to opt for the concessional rate under section 115BAC of the Act, may intimate the employer, of such intention for each previous year and upon such intimation, the deductor shall compute his total income, and make TDS thereon in accordance with the provisions of section 115BAC of the Act."
(2/2)Employee to intimate employer of intention to opt for new concessional rates.Intimation so given will be applicable for the year &can't be modified.However,employee will continue to have the right to exercise such option or continue with earlier scheme at time of filing ITR.
— Income Tax India (@IncomeTaxIndia) April 13, 2020
"If such intimation is not made by the employee, the employer shall make TDS without considering the provision of section 115BAC of the Act," it said.
"It is also clarified that the intimation so made to the deductor shall be only for purposes of TDS during the previous year and cannot be modified during that year," it added.
But one will be able to change the option at the time of filing the tax returns for that year as the circular also said, "However, the intimation would not amount to exercising option in terms of sub-section (5) of section 115BAC of the Act and the person shall be required to do so along with the return to be furnished under sub-section (1) of section 139 of the Act could be different from the intimation made by such employee to the employer for the previous year.
