The financial minister is expected to present this new tax framework during the upcoming budget on February 1, 2025,
A comprehensive review of the new Direct Tax Code reveals significant changes to the Income Tax Act. Key points include increased tax rates, elimination of deductions, and potential impacts on capital gains and the stock market. The code aims to simplify tax processes but may lead to higher burdens for taxpayers.
– What are the main changes in the Direct Tax Code? – How will the new tax code affect capital gains? – What are the implications for the stock market?
The new Direct Tax Code will eliminate exemptions and deductions, potentially raising the tax rate from 30% to 35% for capital gains. This change could impact investments significantly.
The financial minister is expected to present this new tax framework during the upcoming budget on February 1, 2025, aiming to address existing tax complexities.
The timeline for the Direct Tax Code's development began in 2009, but its implementation was delayed until after the introduction of GST in July 2017.
The new direct tax code will impose a flat 5% tax on maturity amounts from LIC policies, affecting many individuals financially. This change is a significant shift from the previous tax exemptions that policyholders enjoyed.
Proposed tax changes on capital gains could negatively impact the stock market by increasing tax rates significantly. Investors may face higher tax liabilities, which could deter market participation.
Changes in tax regulations can significantly impact the stock market. Increasing capital gains tax while removing STT could lead to negative outcomes for investors and market stability.
The upcoming Direct Tax Code is set to change tax filing procedures, allowing professionals like CS and CMA to conduct audits previously exclusive to chartered accountants. This change is significant for students and professionals preparing for future exams and compliance
There are concerns about the changes, as not all adjustments may be beneficial. The government will likely present a positive image while implementing these changes.
The Direct Tax Code will be applicable from February 2025, impacting how taxes are filed and audited. It's crucial for students studying this new system.
The video encourages viewers to share their opinions on the Direct Tax Code and its implications, aiming to raise awareness about the upcoming changes in income tax legislation.