Non Friendly Provisions of Budget for Middle Class

Non friendly provisions of budget for middle class

by  CA.Satish Badve  on  11 March 2015

Some of harassment & non friendly provisions of the Budget 2015 for middle class

Reassessment​ U/S 148

Notice of reassessment u/s148 can be issued by Assessing Officer, after the expiry of four years from the end of relevant assessment year. Though,  It requires the permission of the higher authority of specific rank, the assessee never know whether such permission is obtained and the prima facie basis of  on which the permission is given.

Evidence to be obtain by the employer for TDS for salary employee.

Sub Sec. (2C), inserted provide that the employer should obtain the evidence of the declaration of deductions/ claims etc  submitted by the employee.

TDS to be  deducted by the Cooperative Banks on payment to the members.

The cooperative banks to deduct the TDS from the payments made to its members whenever applicable. This provision being inserted this year will open a numerous questions on payment to members.

Time Deposits includes Recurring Deposits for TDS.

The flexi deposits and different category of deposits brought by the market on attractive options all such deposits to be looked in to whether they  come under Deposits where TDS is applicable.

Penalty for Furnishing inaccurate information u/s 195.

A very Harsh penalty of Rs.100000/- has been inserted u/s271 for non furnishing or furnishing of inaccurate information in Form 15CA. A This Form is  also used for remittances to Foreign University on account of   fees by majority of middle class persons.

TDS on Compensation by Motor Accident Claim Tribunal.

It a very difficult and time  consuming process to obtain the claim from the Motor Accident Claim Tribunal. The claims are not  to the tune of the losses suffer, inspite of that the TDS on whatever the amount received as claim is harsh, As the said TDS will be adjusted or refunded after at least one year, however, the expenses were already incurred on repairs.

CA.Satish C Badve.

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