Winning Bizness Desk
Mumbai. The new financial year 2023-24 will start from April 1 and lots of rules will change in this financial year as compared to the last financial year. Some change every month and some have changed for the first time.
The Ministry of Consumer Affairs is changing the rules for the sale of gold jewelry from April 1 and according to the new rule, jewelry with the four-digit Hallmark Unique Identification (HUID) cannot be sold after March 31, 2023. From April 1, 2023, only hallmarked jewelry with six digits will be sold. This will guarantee the purity and quality of the jewellery. This will make it easier to gather all the information.
Changes at taxation front
Tax will have to be paid on income from traditional insurance policies issued from April 1 for an annual premium of more than five lakh rupees. However, this will not affect ULIP (Unit Linked Plan Insurance) plans. In such a situation, the effect of this change will be on the policy holder paying more premium. Under the new rule, if the loan is paid in REIT and InvIT, then it will be taxed. Under this, the companies give the amount to the unit holders in the form of loan repayment. REIT is a scheme that collects money from investors and invests it in real estate. Similarly, InvIT is a scheme under which companies invest in infra by raising money. No matter how much is earned from online gaming, now 30 percent tax will have to be paid. Earlier, tax was applicable only on income of Rs 10,000 or more. But from April 1, it has been brought under the tax net on all types of income.
Old Vs new tax regime
If you do not choose either the old or new tax regime to file income tax from the next financial year, you will automatically be selected in the new regime. It was introduced by the Finance Minister in the budget. In the new tax regime, you will have to pay a tax of Rs 25,000 on an annual income of Rs 7.27 lakh. There is no exemption other than the standard deduction of Rs 50,000. In the old tax regime, income up to Rs 2.5 lakh is tax free. However, there are many exemptions included in this. The tax limit under the new regime will also now be Rs 7 lakh, which was earlier Rs 5 lakh.
New rules for Mutual Funds too
From April 1, the rules for investing in debt mutual funds will change. Under this, the definition of long term capital gain tax will change. The new rules will apply to debt mutual funds that have invested less than 35 per cent in the stock market. Under this, short term capital gains tax will be levied on the return on investment. Due to this, investors will have to pay more tax than before. Besides, several car companies are going to change the pricing module.
From April 1, investment in Senior Citizen Savings Scheme (SCSS) and Post Office Monthly Scheme (POMIS) will be doubled. The limit of Rs 15 lakh per annum in SCSS will now be Rs 30 lakh. That is, if someone had invested a maximum of Rs 15 lakh in it earlier, then he would have got an interest of Rs 6 lakh in 5 years at 8 percent interest rate. Now he will get an interest of Rs 12 lakh on the maximum investment limit of Rs 30 lakh.
The individual investment limit in POMIS was earlier Rs 4.5 lakh, which has now been increased to Rs 9 lakh. In joint account, this limit has increased from Rs 9 lakh to Rs 15 lakh. This scheme has been started for the first time. In this, women or girls can invest a maximum of two lakh rupees. Fixed interest will be given at the rate of 7.5 percent on this. This scheme will be for two years only. That is, a total interest of Rs 30,000 will be received in this period. It as the facility of partial withdrawal.
Relaxations for non-government employees
Some relaxations have been given for non-government employees from the new financial year. Under this, the limit of leave encashment has now been increased to Rs 25 lakh. Earlier it was only three lakh rupees. In the year 2002, it was increased to three lakh rupees and it has changed for the first time in 20 years.
No capital gains tax on conversion from physical gold to e-gold
To encourage buying of electronic gold, now there will be no capital gains tax on conversion from physical gold to e-gold. Also, there will be no capital gains tax on conversion of physical gold from e-gold.New prices of petrol-diesel and gas will be released from April 1. In such a situation, it is expected that there will be no increase or any change in them. However, last month domestic gas cylinder was increased by Rs 50. Similarly, now there is relief for nominees in demat, trading and mutual funds. These too had to be completed by March 31. But now you can complete it by 30 September.
