Discuss budget 2012-13 here !!

Page no : 5

CA Vanamala Phani Kumar (Proprietor of M/s Vanamala and Co) (972 Points)
Replied 16 March 2012

Originally posted by : Rahul Goyal

Service Tax -12& increase effective date?

01-04-2012

Shewta (Accountant) (117 Points)
Replied 16 March 2012

@ Vijayalakshmi.K: It will be applicable for 2012-13.

Rest you can see important highlights on:

https://indiabudget.nic.in/index.asp

Poonam Arun Sharma (student) (103 Points)
Replied 16 March 2012

Gold Jewellery cost increased in order to make people invest more in shares and bonds which will lead to more circulation of money in economy....

Service tax and excise uty hiked to 12% in order to increase its share in GDP..

vipulupara (student) (139 Points)
Replied 16 March 2012

Basic Exciese duty has been increase 10% to 12%

suchit shah (Dy. Manager(Finance & Accounts)) (208 Points)
Replied 16 March 2012

Budget Highlights 2012-13

Direct Taxes

	Income tax exemption limit raised from Rs.1,80,000 to Rs.2,00,000; upper limit of 20 per cent tax slab raised from Rs.8 lakh to Rs.10 lakh
	Interest from savings bank accounts deductible upto Rs.10,000; deduction of upto Rs.5,000 for preventive health check-up
	Turnover limit for compulsory tax audit for SMEs raised from Rs.60 lakh to Rs.1 crore
	STT reduced from 0.125% to 0.1%
	Senior citizens without business income exempt from advance tax
	15% rate for dividends from foreign companies extended for FY 2012-13
	TCS on cash purchase of bullion and jewellery
	TCS on cash purchase of immovable property above specified limit
	Withholding tax rate on interest on ECB reduced from 20% to 5% for 3 years for specified sectors
	General Anti Avoidance Rule being introduced to counter aggressive tax avoidance
	Re-opening of tax assessments upto 16 years in case of overseas assets
	White paper on Black Money to be introduced in the current session of Parliament
	Tax @ 30% on unexplained credit or investment (slab rate benefit not available)
	No change in corporate tax rate and tax structures
	Cascading effect of DDT in a multi-layer corporate structure removed
	82 Double Taxation Avoidance Agreements and 19 Tax Informationā?< Exchange Agreements finalised: FM
	A number of measures proposed to deter generation and use of unaccounted money

Indirect Taxes

	Service tax rate increased from 10% to 12%
	All services to attract service tax except those in the negative list
	General excise rate to be increased from 10% to 12%
	Common tax code for Excise and Service tax
	Relief in indirect taxes to sectors under stress; agriculture, infrastructure, mining, railways, roads, civil aviation, manufacturing, health and nutrition, and environment get duty relief

(Guest)

very bad budget.....

Manish Mehta (Sr Sup) (96 Points)
Replied 16 March 2012

whether benefit of below mention will be available to cement company who are importing coal for mfg of cement

Steam Coal classified under CTH 2701 19 20 is being fully exempted from basic customs duty alongwith 1% CVD. This dispensation would be valid upto 31st March, 2014. [S. No123 of notification No.12x/2012-Customs dated 17.03.2012 refers]

satya (Executive Excise) (1839 Points)
Replied 17 March 2012

Dear Experts, Previously our product comes under 130 items list , effective duty is 1% without Cenvat, with Cenvat 5%, now let me know the current effective duty with Cenvat facility either 5% or 6%, because cexexplanatory.pdf, it is appering for 47020000 there is no change. Please give urgent reply with relevent notification. Thanks in advance.

CA Parul Saxena (CA) (8438 Points)
Replied 17 March 2012

What about the Basic tax exemtion limit of Women and Senior citizens?

suchit shah (Dy. Manager(Finance & Accounts)) (208 Points)
Replied 17 March 2012

For women its 200000/- and for senior citizens its 250000/- (No change)

Phalgun (Audit Manager) (327 Points)
Replied 17 March 2012

At this point of inflation , budget sould have been more people friendly rather than be a cause to inflation. Increase in duties have added more to the common man pocket. Deductions or interest on housing loan limit for SOP have remained unchanged, a change in this could have certainly helped layman at this time.

Dinesh V (Audit Assistant) (131 Points)
Replied 17 March 2012

CAN ANYONE SOLVE MY QUERY PLEASE !!!

/forum/small-service-provider-exemption-increased--194500.asp

CS Ankur Srivastava (Company Secretary & Compliance Officer) (17848 Points)
Replied 17 March 2012

Budget Highlights:

Service tax increased, effective rate will be 12.36
GST wef August 2012
standard excise duty increased to 12 %
large cars duty raised from 22% to 24% and 27%
STT reduced by 20% - only on delivery transactions
Personal income tax- no tax upto 2 lacs, 10% from 2-5 lacs, 20% from 5-10 lacs
No discrimination between men and women in income tax- same tax limits
Infrastructure bond investment doubled to Rs 40000/-
no duty on branded jewelleries, import duty on gold increased from 1.5 to 3%.
allow ECB for low cost housing projects
EPF Rate reduced to 8.25%
No advance tax for senior citizens
Tax audit u/s 44AN limit raised to 1 Crore.

2 Like

Valerian Dsouza (Manager Audit & Taxation) (405 Points)
Replied 17 March 2012

AUDIT

Turnover limit for compulsory tax audit of account and presumptive taxation of SMEs to be raised from Rs.60 lakhs

to Rs.1 crore.

This scheme is not applicable to persons earning income in the nature of commission or brokerage or carrying on any agency business. Proposed to amend this scheme which will take retrospective effect from 1^st April, 2011.

TDS

It is proposed that in order to have reporting mechanism in Real Estate transactions, every transferee shall deduct TDS @ 1% and pay to Income tax and provide TDS challan to transferor for transfer of such property exceeding :-