Rachana holds talk on Union Budget 2020 during All Members Meet
Mangaluru: Rachana Catholic Chamber of Commerce and Industry held a talk on “Highlights of the Union Budget 2020”, during the All members meet held at Chefs Restuarant, Kadri Toll Gate here on March 1.
The programme began with an invocation. President of Rachana Elias Sanctis welcomed the gathering. Secretary Nelson Monteiro introduced the speaker C A Nitin J Shetty to the gathering.
Addressing the gathering C A Nitin Shetty said, “Our finance minister started the budget with aspirational India, Economic development and caring society. These three broad chapters are connected to the economy of the country. The budget is good but the timing of the budget is very bad because the GDP is at the lowest, there is unemployment, export and manufacture is at its lowest. To pull up the economy there are two ways either Consumption or investment. Consumption is to put the money in the hands of the public so that it circulates in the market. The second one is an investment, the government should invest in projects and that money should be in circulation. The budget emphasized on the investment part which is a good part.”
Nitin further said, “I am more aware of the taxation part and I am apolitical person. The finance minister has proposed a new set of income tax rates for those earning up to Rs 15 lakh per year. For those who earn less than Rs 5 lakh have no tax but for those who earn more than Rs 5 lakh to Rs 7.5 lakh per year will have to pay the tax. Income between Rs 7.5 lakh to Rs 10 lakh will have to pay a tax of 15% and for an annual between Rs 10 to 12.5 lakh will pay 20% tax. If we talk about Dividend Distribution Tax (DDT) to be removed, companies will not be required to pay DDT, dividend to be taxed only at the hands of recipients at applicable rates.”
Briefing on TCS and TDS audit trail Nitin said, “The Tax Collected at Source (TCS) is the tax payable by a seller which he collects from the purchaser or buyer at the time of sale. At present, the TCS is required to be collected in respect of the business of trading in alcohol, liquor, forest produce and scrap. There are three new categories in TCS, they are details of Transaction, rate and threshold limit. TCS provision on above transactions is not applicable if remitter or purchaser has deducted TDS under the act. Clarity is required from CBDT if TCS is applicable on both capital and current account transaction remitted under LRS. LRS is applicable to individuals.”
Nitin also said, “The period of stay in India is also reduced to 120 days from 181 days. Those who are staying for more than 245 days in other countries will get the NRI status. Many organizations have opposed the change in the income tax act in the 2020 Budget for NRIs who are not paying tax anywhere in the world. This is the fifth budget in 2 years. The budget should be fixed for 5 years. Changing the budget every six months will put the people in confusion.”
There was a question and answer session and many of them clarified their doubts about taxation.
Secretary Nelson Montiero delivered the vote of thanks. Treasurer Felix compered the programme. Former MLA J R Lobo, former President of Konkani Sahitya Academy Roy Castelino, former Presidents of Rachana and members were also present.
