Income tax department sent notice to 5 thousand people

Income Tax Department: In the year 2020, there was a terrible wave of Corona all over the world, during which patients died on a large scale in many countries including India and many people got infected with Corona. Meanwhile, many financial transactions also took place, although now the Income Tax Department has started taking major action in this matter, there is anger among the taxpayers due to the issuance of 5 thousand notices in Rajkot, Saurashtra-Kutch.
According to the information received, in view of the transactions during the Corona period, 5 thousand notices have been issued simultaneously by the Income Tax Department in Saurashtra-Kutch. The issuance of such a large number of notices by the Income Tax Department has created panic among the people. The Income Tax Department has also issued a notice to doctors regarding earnings during the Corona period. Apart from doctors, industrialists, Sony businessmen and other people are included in this list, notice has been issued to all these people and clarification has been sought. The special thing is that in this action of the IT department, notices have been sent to more than one thousand doctors. The issuance of such absurd notices by the Income Tax Department has created panic among the taxpayers.
Good news for income tax payers, now they will have to pay less tax
The Central Board of Direct Taxes (CBDT) has given big relief to salaried people for rent free houses. Under this, employees who have been provided rent-free accommodation by their company will now be able to earn higher salaries with more savings. Because, the IT Department has made changes in the rules related to rent-free housing, which has come into effect from September 1. The Central Board of Direct Taxes has already notified amendments to the income tax rules. According to CBDT, there has been a change in the assessment of employees living in company-owned houses other than central or state government employees.
What are the new rules?
The Income Tax Department has changed the rules for assessment of rent-free accommodation provided by a company to its employees. As per the new rules, where unfurnished accommodation is provided by the employer to the employees, and such accommodation is owned by the company, it will now be assessed differently under the new rules in urban areas with a population of more than 40 lakhs. . According to 2011 census, HRA will be 10 percent of salary. Earlier it was 15 percent according to 2001 census. AKM Global Tax Partner Amit Maheshwari said, “Employees who earn a substantial salary and live in employer-provided accommodation will now be able to save more as their taxable base is now going to be lower with the revised rates. , In such a situation, the value of their house will decrease and their salary will also increase. According to Gaurav Mohan, CEO of AMRG & Associates, the taxable salary of employees receiving HRA will be reduced. This will increase the net take home salary. On one hand this will increase the savings of the employees and on the other hand the revenue of the government will decrease.