Money Excel - Personal Finance Blog

Menu
MENUMENU
MENUMENU
  • Home
  • Business Ideas
    • 225 Small Business Ideas
    • 40 Online Business Ideas
    • 20 Business Ideas for Beginners
    • 20 small manufacturing business
    • 30 Food Business Ideas
    • 100 Business Ideas low investment
  • Stock Market
    • Best Demat & Trading Accounts 2020
    • Best Stocks 2020 by Experts
    • Best Virtual Trading Apps
    • Best Stock Screener
    • Best Discount Brokers in India
    • Multibagger Stocks of LockDown
    • Rakesh Jhunjhunwala Portfolio
  • Mutual Funds
    • Best Mutual Funds 2020-21
    • Best Direct Mutual Fund Platform
    • Best Mutual Fund Mobile Apps
  • Incometax
    • Income Tax Slab FY 2020-21
    • Income Tax Calculator FY 2020-21
    • Income Tax Refund Request
    • Pay Advance Tax Online
    • Download New 15G -15 H Forms
  • Investment
    • Best Investment Ideas 2020
    • Long Term Investment Options
    • Best Investment Regular Income
    • Best Investment Options NRI
  • Credit Card
    • Best Credit Cards 2020-21
    • Best credit card for online shopping
    • Best Forex Card in India
    • Best Business Credit Cards
    • Credit Cards against Fixed Deposit
  • Insurance
    • Best Term Insurance Plans 2020
    • Best Health Insurance 2020
    • Best LIC Policy 2020
    • Best Car Insurance Companies
    • Best Mobile Insurance Companies
  • Downloads
Home
Incometax
Budget 2015- Wish list of Salaried People

Budget 2015- Wish list of Salaried People

Raviraj Parekh February 23, 2015

Budget 2015

Budget 2015 will be second budget of new government. Last year few expectations of salaried people were addressed in budget. This year expectation from upcoming Union Budget 2015 is very high. It is expected that government will propose investment friendly budget which will lead to economic growth.

Budget 2105 is nearby and I am herewith – Wish list of Salaried People from Budget 2015:

Budget 2015 – Wish List

Tax Benefit

Do not miss below posts -
  • Save More Tax – Use these less known Income Tax …
  • 10 Tax Evasion practice you should always avoid
  • Best Tax Saving Investment options

All salaried people are expecting relaxation in tax this year. Current Tax limit is 2.5 Lac. It is expected that tax limit should be enhanced to 3 Lac.

Income group between 3 Lac to 6 Lac can be taxed at 10%; between 6 Lac to 12 Lac taxes can be 20% and above 12 Lac tax can be 30%.

Tax slab budget 2015

Increase in 80C Investment limit

Current 80 C investment limit is 1.5 Lac. This limit was enhanced last year from 1 Lac. Going further 80C investment limit should be enhanced to at least 2 Lac. We have multiple investment options under 80C but investment limit is very low.

Education Expense Limit

Two types of dedications are allowed under education expense category. First deduction is on the tuition fees paid for depended children. This deduction is under 80C limit currently 1.5 Lac.  As education expense is sky rocketing, it is expected that separate deduction limit of 50,000 Rs/- should be allowed for education expense.

Second type of deduction is for interest payment on education loan. One can deduct entire interest amount from your taxable income. This deduction is under 80E. Apart from interest payment principal payment should be allowed for deduction under this category.

Do not miss below posts -
  • New 26AS – Check New 26AS changes before filing ITR
  • GST Slab Rate – 4 Slabs from 5% to 28%
  • How to update profile on Income Tax Site?

Medical Expense Reimbursement

As per current Income Tax rules tax exemption up to 15,000 Rs/- is allowed for you and your family members towards medical expenses. This medical expense reimbursement should be supported by prescription and medical bills.

Looking at increasing medical expense salaried people are expecting that government should double current limit. Exemption up to 30,000 Rs/- per annum must be allowed towards medical expenses.

Tax on Interest

Under section 80TTA Interest earned on saving bank account or fixed deposits to the extent of 10,000 Rs/- (per annum) is tax-free.

To encourage investments by middle class salaried people it is expected that this limit should be enhanced to 25,000 Rs/-

Equity Investment Benefit

Earlier RGESS was introduced to boost investment in equity but this scheme was not successful as it was for first time equity investor.

Going ahead government should bring equity investment scheme for salaried people. New section must be introduced for investment in equity. Up to 50,000 Rs/- tax-free investment must be allowed under this scheme. This will increase retail investment in stock market.

Skill Enhancement Expense

Businessman gets advantage of deducting office running expense from income. No such deduction is allowed to salaried people who pay regular taxes.

Today it is necessary to enhance skills and specialization for every employee. In order to enhance skill one need to subscribe to magazines, journals or need to undergo training or certification. All these expenses as per me are office running expense of salaried people. I propose such expense should be deducted from income at par.

Home loan Interest deduction

Current income tax law says that maximum exemption limit of 200,000 Rs/- is allowed towards interest payment on home loan. This limit was enhanced last year only.

Although it was enhanced last year looking at increasing property rates for common man it is very difficult to purchase house without home loan. Looking at current circumstances this deduction limit should be increased to at least 300,000 Rs/- per annum.

Budget 2015

At last I just want to say at time of election when politicians requires vote they listen to every demand of people. But when time comes fulfilling it in budget, they simply refuse demand of common man by giving multiple excuse like fiscal deficit, economy etc.

Hope this year in Budget 2015 at least few demands mentioned above will be fulfilled by government.

If you are agree on suggestion given above just provide your agreement by sharing this post on facebook and Twitter.

Budget 2015 – Wish List

Prev Article
Next Article
Tags:budget 2015 Budget 2015 expectation Budget 2015 income tax budget 2015 wishlist Union budget 2015

About The Author

Raviraj Parekh

Raviraj is the man behind moneyexcel.com. He is PGDBA, engaged in blogging for 10 years. Moneyexcel blog is ranked as one of the Top 10 Personal Finance Blog in India. He is not affiliated with any financial product, service provider, agent or broker. The purpose of this blog is to spread financial awareness and help people in achieving excellence for money. Please note that the views expressed on this Blog/Comments are clarifications meant for reference and guidance of the readers to explore further on the topics. These should not be construed as investment advice or legal opinion.

3 Comments

  1. ARUN

    Limit for no deduction of tax on Interest income should be increased from Rs 10000/- to Rs 20000/-

    February 24, 2015
  2. Neetu

    Hi Raviraj,
    This is Neetu. My current salary is 10000 p.m. I get my salary in cash every month. My annual salary is 120000. So far there has not been any kind of deduction from our salary as we we are offrole employees & we used to sign on vouchers at the time of payment not even as the ‘SALARY for JANUARY” .Now my company is asking to deduct some amount from our salary like Rs.1500 p.m. out of 10,000 p.m. Is this deduction possible & said we would require to deposit one ITR form at the end of financial year & the whole deducted amount of the year will be deposited in our a/c. I could not see any valid reason for the same.Please suggest as i dont want to get this amount deducted from my salary.

    April 20, 2015
  3. Raviraj Parekh

    Neetu,

    If salary is not above taxable limit how TDS can be deducted.Please ask valid reason this deducted amount will be called what? It is not legally allowed.

    April 23, 2015

Leave a Reply

Cancel reply

IIFL Demat Account

Search

Top Posts & Pages

  • Income Tax Calculator FY 2020-21 (AY 2021-22) – Excel Download
  • Rakesh Jhunjhunwala Portfolio Holdings - January 2021
  • How to check Property Records and Land Records online in India?
  • LIC Premium Paid Certificate Download For Income Tax Purpose - Online
  • 20 small manufacturing business ideas with low cost
  • 225 Small Business Ideas with Low Investment in 2021-22
  • Cash Deposit Machine Locator – How to find CDM Near You?
  • Top 60 Manufacturing Business Ideas
  • Income Tax Calculator FY 2019-20 (AY 2020-21) - Excel Download
  • 10 ways to Convert Black Money to White

Subscribe to Blog via Email

Join 5,471 other subscribers

Follow MoneyExcel

Money Excel – Personal Finance Blog

Personal Finance Blog
Copyright © 2021 Money Excel - Personal Finance Blog
| About |Downloads | Contact Us | Sitemap | Disclaimer | Privacy Policy |