Finance Ministry has announced that salaried employees earning less than Rs 5 lakh in a year will need not file Income Tax returns. However, to claim refund, an individual must file ITR.
This will come as a relief for nearly 85 lakh salaried persons earning less than Rs 5 lakh in a year. The decision will reduce the burden on tax authorities as the number of returns to be processed will decrease.
The finance ministry statement said that the income tax returns are not needed for employees earning less than Rs 5 lakh and if the annual interest income from savings account is less than Rs 10 thousand. The last date for filing income tax return is 31, July 2012.
The currently applicable tax slabs in the earning bracket of Rs 2-5 lakh is 10%. Rs 5-10 lakh yearly income attracts 20% tax and above Rs 10 lakh, the tax rate is 30%.
- Decision on gas price revision taken under RIL’s coercion: Dasgupta
- Government to pay $8.1 billion fuel subsidy in fourth quarter
- Oil firms falls as government considers export parity pricing model
- Essar Oil to sign $1 billion financing co-operation deal with CDB
- ONGC may sell stakes in deep-water blocks to Shell