Finance Bill 2023 passed in Lok Sabha with key amendments
- The Finance Bill, 2023 was passed in the Lok Sabha with some amendments, on March 24, 2023.
- Union Finance Minister Nirmala Sitharaman tabled ‘The Finance Bill, 2023’ in the lower house.
- Total 64 official amendments have been proposed to the Finance Bill which was tabled in Parliament on February 1, 2023.
List of some amendments in the Finance Bill 2023
- Mutual Funds (MFs) with less than 35% AUM (Assets under management) in domestic equity will be taxed as short-term capital gains.
- Enhanced tax benefits to offshore banking units operating in GIFT City (Gujarat International Finance Tec-City). Offshore banking units to get 100 percent deduction on income for 10 years.
- Tax on Royalty or technical fee earned by foreign (non-resident) Cos hiked from 10 percent to 20 percent.
- Tax Collection at Source (TCS) shall apply to all Liberalized Remittance Scheme (LRS) even if within India.
- All credit cards payments for foreign tours to be considered under LRS. The Reserve Bank of India (RBI) to look into the payments made through credit cards for foreign tours which escape tax at source.
- A committee to be set up under the finance secretary on the pension system to address the needs of employees and also maintain fiscal prudence.
- The Securities Transaction Tax on sale of options hiked to Rs 2,100 on a turnover of Rs 1 crore, compared to the earlier Rs 1,700.
- Setting up the GST Appellate Tribunal.