Understanding Direct Tax Vivad Se Vishwas Scheme and October Financial Changes

Thursday, 26 September 2024, 20:54

Direct Tax Vivad Se Vishwas Scheme starts on October 1 alongside other critical financial changes, impacting tax regulations and financial mechanisms. The new rules include the waiver of 20% TDS on mutual fund repurchases and adjustments in health insurance waiting periods. Other modifications include clarity on loan costs via Key Fact Statements and revised rules for bonus shares and endowment policy payouts.
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Understanding Direct Tax Vivad Se Vishwas Scheme and October Financial Changes

Direct Tax Vivad Se Vishwas Scheme Launch

The Direct Tax Vivad Se Vishwas Scheme will come into effect from October 1, allowing taxpayers to resolve disputes transparently and cost-effectively. Introduced to reduce litigation, this scheme offers reduced settlement amounts for newcomers and existing appellants alike.

Significant Financial Adjustments Starting October 1

  • 20% TDS waived on mutual fund repurchase to ease tax burden for investors.
  • HDFC Bank's Infinia card now restricts rewards redemption.
  • Key Fact Statement (KFS) introduced for clearer loan costs.
  • Health insurance waiting periods reduced significantly.
  • Adjusted taxation framework for company buybacks now treats proceeds as dividend income.
  • Improved trading timelines for bonus shares.

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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