New Delhi: Generally, the changes in the budget come into effect from the first day of the first month of the new financial year i.e. April 1. This time this change will be from September 01, because this time the budget for the financial year 2019-20 was presented in July after the general election. Because of this, some changes related to income tax in the budget will be effective from September 01, 2019. Apart from this, the government has made several changes in the traffic rules, which will come into effect from Sunday 1 September. How much effect will this change have on the common man.
New rules related to traffic rules violations across the country are also coming into effect from September 01, 2019. After the new rules come into force, a penalty of 10 times will have to be paid for their violation. The Central Government has changed a number of rules under the Motor Vehicles Amendment Act-2019 to make people’s travel safer. Breaking the driving rule will cost 10 times the fine.
LIC i.e non-exempt portion of life insurance will attract TDS. If the amount of life insurance maturity you get is taxable, then TDS will be deducted at the rate of five per cent on the net income portion. Actually, net income is the amount that is received by subtracting the total insurance premium payment from the total amount received
From September 1, if a person or a undivided family makes a total payment of more than Rs 50 lakh to contractors or professionals in a year, then TDS will be deducted at the rate of 5%.State Bank of India (SBI) will link home and auto loans to repo rate for its customers from September 1. The advantage will be that customers will get immediate benefit if RBI cuts the repo rate. However, the Finance Minister said on Friday that a total of eight banks have linked their home and auto loans to the repo rate, which will be beneficial to the customer.From now on September 1, if you buy a property, then the expenses of other facilities such as car parking, electric-water facilities and club memberships will also come under the purview of TDS.
Apart from this, the most important change is going to be from September 1 that the Income Tax Department will issue a new PAN to those who have not yet linked their Aadhaar number with PAN. According to the announcement of the budget presented in July, if the PAN card is not linked to Aadhaar by the scheduled time, it will be considered invalid.
