New Income Tax Law Introduced to Simplify Filing and Offer Benefits

From April 1, the new income tax legislation introduces several changes aimed at making tax filing easier for the general public. Simplified forms will be available soon to facilitate smoother submissions.

Notably, tax exemption has been granted on interest earned from road accident compensation. The deadline for filing revised tax returns has been extended from December 31 to March 31, providing taxpayers with additional time.

There is also a reduction in tax on foreign travel expenses. TDS (Tax Deducted at Source) has been lowered from 5% to 2% on education and medical expenses, while manpower supply companies will now face a TDS rate of 1% or 2%.

Furthermore, a special scheme has been introduced to support small taxpayers, aiming to ease their tax compliance process.