Nagpur: A slew of additional taxes announced in the Budget will kick in from Wednesday. The 0.5 per cent Krishi Kalyan Cess (KKC) on all services increases the total tax chargeable on services to 15 per cent, making it expensive to dine out or travel.
The equalisation levy of 6 per cent on cross-border digital transactions is aimed at foreign multinational digital companies without a permanent establishment in India, such as Facebook, Google, Yahoo and Twitter, making them liable to be taxed in India for their earnings from local advertisers
Payment in cash for buying goods and services worth more than Rs 2 lakh, excluding jewellery, will attract 1% extra tax at source
The sale of options will also attract increased Securities Transaction Tax of 0.05 per cent from Wednesday. Currently, STT is 0.017 per cent.
A one-time settlement tax scheme for resolving disputes emanating from retrospective amendments to the Income Tax Act will also come into effect from Wednesday.
Four-month window under the Income Declaration Scheme
The Direct Tax Dispute Resolution Scheme, which seeks to resolve cases pending in various courts, tribunals, arbitrations or are in mediation under the Bilateral Investment Protection Agreement (BIPA)