Beruflich Dokumente
Kultur Dokumente
TO SALARY
EMPLOYEES
IN LIEU OF
BUDGET
2018
WHAT IS BUDGET ?
It’s is a financial plan for a defined period of time,
usually a year. An estimate of costs, revenues,
and resources over a specific period, reflecting a
reading of future financial conditions and goals.
IMPORTANCE OF BUDGET ?
Plan a spending.
Ensure that enough funds are allocated all areas
needed and important
WHAT IS SALARY ?
Salary is a form of payment from an employer to
an employee, which may be specified in an
employment contract.
It includes wages, any annuity or pension, any
fee or commission, advance of salary, salary in
lieu of leave, taxable portion from all recognized
or unrecognized funds and contribution made by
the central government or any employer under
pension scheme.
BUDGET 2018
Finance Minister ArunJaitley in Budget 2018
introduced a standard deduction of Rs. 40,000for
the salaried class. This additional deduction has been
proposed in lieu of existing deductions of Rs. 15,000
for medical reimbursement and Rs. 19,200 for
transport allowance. The finance minister said the
move will benefit 2.5 crore salaried employees and
pensioners who normally do not enjoy any allowance
for transport and medical expenses. The revenue cost
for the government will be about Rs. 8,000 crore, Mr
Jaitley said. However, the finance minister also
raised cess on income tax to 4 per cent from 3 per cent
for individual taxpayers.
CONTT…
Budget 2018 proposes several tax benefits for the
senior citizens. These include: increase in tax
exemption limit for interest income from banks
and post offices from Rs 10,000 to Rs 50,000 and
increase in tax break on health insurance and
medical expenditure under sections 80D and
80DDB. Both these would give a big relief to this
category of tax payers as most senior citizens
derive most of their income from bank FDs and
post office schemes.
CONTT.
The government has raised the limit of deduction
for health insurance premium or medical
expenditure from Rs 30,000 to Rs 50,000 under
Section 80D. All senior citizens will now be able
to claim the Rs 50,000 per annum in respect of
any health insurance premium or any general
medical expenditure incurred.
FM Jaitley announced raising the limit of
deduction for medical expenditure in respect of
certain critical illness from, Rs 60,000 in case of
senior citizens and from Rs 80,000 in case of very
senior citizens, to Rs 1 lakh in respect of all
senior citizens, under section 80DDB.
INCREASE IN CESS
STANDARD
PREVIOUS DEDECTION
YEAR RUPEES
19,200 + 15,000
THANK YOU…