Union Budget 2022: On the income tax return, the Finance Minister said that now taxpayers will be able to file old IT returns for 2 years. While making a big announcement, the Finance Minister said that now instead of 10%, 14% contribution will be made in NPS. Let us know how this will affect your salary and savings.
Budget 2022 Updates: Finance Minister Nirmala Sitharaman presented the country’s budget in Parliament yesterday, in which she has made big announcements for the salaried class. On the income tax return, the Finance Minister said that now the taxpayers will be able to return the old IT returns for 2 years. While making a big announcement, the Finance Minister said that now instead of 10%, 14% contribution will be made in NPS. Let us know how it will affect the salary and tax deduction of the employee.
How much will be the tax savings after the new announcement
Know how the government’s budget announcement will affect the tax exemption given to the employee. For example, if the basic and DA of an employee is 50 thousand rupees, then his contribution in NPS will be 10 percent i.e. 5 thousand rupees. Now after this, there will be a contribution of 7,000 from the government.
If an employee falls in the tax slab of 20 percent, then till now only 10 percent of the employer i.e. 5 thousand was tax exempted. The remaining Rs 2,000 had to be taxed at 20 per cent i.e. Rs 400. But now after the new announcement of the Finance Minister, the employee will be able to claim tax exemption on the full 14 percent and he will save Rs 400 every month.
NPS tax exemption increased for government employees
The Finance Minister said that now instead of 10%, 14% contribution will be made in NPS. That is, the scope of tax exemption has been increased in the NPS scheme for government employees. Along with this, the Finance Minister announced a plan to bring a new tax reform. Employees will also get tax exemption on pension. At the same time, the contribution of the Center and the state in NPS will now be 14%.
Proposal to reduce corporate tax
During the budget speech, the Finance Minister said that it has been proposed to reduce the corporate tax from 18 percent to 15 percent. With this, the surcharge will be reduced from 12 percent to 7 percent. Co-operative institutions will also be promoted.
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