Ban on BS-III vehicles, easier I-T returns & more: Rules that changed today

With effect from today i.e. 1 April, 2017, many new rules have come in to effect

The financial year 2016-17 has ended and the announcement made in the last financial year to bring some major changes in the financial rules that were to take place in the current financial year i.e. financial year 2017-18 has come in to play.

With effect from today i.e. 1st April, 2017, many new rules have come in to effect. Starting today, here are a few things you'll have to keep in mind.

India adopts Bharat Stage IV emission norms to curb pollution menace

Earlier this week on Wednesday, 29 March, 2017, Supreme Court of India, taking in to consideration the health concerns of citizens, banned the sale and registration of Bharat Stage III vehicles.

“The health of the people is far, far more important than the commercial interests of manufacturers or the loss that they are likely to suffer,” said the court.

ALSO READ: Explained: Bharat Stage IV emission norms and the history behind it

SBI to levy charges for not maintaining minimum balance

From 1st April, 2017 onwards, failing to maintain a monthly average balance (MAB) in your State Bank of India (SBI) savings accounts will attract a charge. 

SBI had suspended this charge in July 2012 to expand its customer base and generate low-cost deposits, as those in savings account earn interest rate of only 4 per cent. The bank said it is resuming the charge to partly cover costs for maintaining systems and operations of savings accounts. The charge will be calculated based on the gap between the MAB and the actual balance in the accounts.

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New income tax rules come in to effect

For salaried person

1. For a salaried person with income up to Rs 5 lakh, the income tax has been halved to 5 per cent from 10 per cent.

2. For those earning above Rs 50 lakh and up to Rs one crore, the new income tax rules impose an additional surcharge of 10 per cent.

3. For those earning more than Rs one crore, a surcharge of 15 per cent will be charged

Small and medium enterprises

For small and medium enterprises, the corporate tax rate is brought to 25 per cent from the previous 30 per cent for annual turnover up to Rs 50 crore

ALSO READ: Income tax for small firms slashed to 25%
 

Filing income tax returns becomes easier

To encourage more individuals to file returns and widen the tax net, the government is set to introduce a single-page income tax (I-T) return form.

“This will be for those with annual salaried income up to Rs 50 lakh, much higher than Rs 5-lakh limit proposed in the Union Budget”, Revenue Secretary Hasmukh Adhia told Business Standard.

Individuals with salary and interest income will have to fill fewer columns as some of these for claiming income deductions have been clubbed in ITR1 form called 'Sahaj'.

In the form for Assessment Year 2017-18, deductions claimed under different sections of Chapter VIA have been removed and only mostly used ones have been included.

Airports to do away with handbag stamping

Stamping and tagging of the hand baggage of fliers at seven major airports, including Delhi and Mumbai, will be done away with from April 1, the Central Industrial Security Force (CISF) said on Thursday.

The other airports which will see the new system of baggage security coming in include the ones in Bengaluru, Hyderabad, Kolkata, Cochin and Ahmedabad.

Health, car, motorcycle insurance premium go up

The car, motorcycle and health insurance will cost more will cost more from today onward.

The change in premium after modification will be limited to +/- 5 per cent of the existing rates.

The increase will be in addition to the enhanced third party motor insurance rates, which too will come in to affect from today.