As the new financial year is all set to begin, Union Finance Minister Nirmala Sitharaman
presented the 2019 budget in Parliament on Friday, 5th of July. The budget was announced with a lot of exemptions and benefits for the tax payers, along with a few convenience benefits like the PAN and Aadhaar will now function as alternative modes of identification.
All the more, we witnessed for the very first time a lady minister presenting the annual finance budget. BramhaCorp congratulates her for this great accomplishment. A proud moment indeed for her and the entire nation!
As the budget details are out in the open, you need to understand how it will affect your finances and more importantly, what are the underlying vs direct benefits for you. So we have simplified all the complexities for you to properly understand the positive consequences and implement them to your advantage.
Here are 5 important takeaways from the 2019 finance budget.
PAN and Aadhaar have been made interchangeable, allowing those who do not have PAN to file income tax returns or prepare property documents, to use their Aadhar card to do so. And for those who do not have their Aadhar can use their PAN for the same.
- Home Loans
Home owners can breathe a sigh of relief as Minister Sitharaman said that Modi government is proposing additional tax deduction of INR 1.50 lakh on interest paid on home loans, taken up to March 2020.
- Entrepreneurs remain protected
Entrepreneurs who have planned on selling their homes to bootstrap their start-up ideas will remain shielded from paying tax on the gains made through sale of the property. Minister Nirmala announced an extension of benefits for a period of 2 years, under the Section 54GB of the Income-Tax Act, which was announced by the government in FY13.
- Tenants shall rejoice!
Minister Nirmala stated that the government will introduce a new model for the tenancy law to revamp the rental housing market and has proposed further tax incentives for the same with its continued effort to achieve the ‘Housing for All’ target by 2022.
- Tax-exemption on property sale proceeds.
During the budget presentation by Minister Nirmala the, it was announced that the tax exemption on capital gained from the sale of house property was extended to re-investment of the proceeds in two residential properties, instead of just a single house property which was available prior to the budget.