The Hon’ble President of India gave his assent to finance bill 2019 thereby making it as Finance Act 2019. The proposals in the Finance bill 2019 including the tax changes now become law.
Income Tax Exemption of Gratuity Increased
The Central Board of Direct Taxes (CBDT) has enhanced the Income Tax exemption limit u/s Section 10(10)(iii) of the Income Tax Act, 1961 to INR 20 lakhs from existing limit of INR 10 Lakhs in relation to the employees who retire or become incapacitated prior to such retirement or die or terminated on or after 29 March 2018. This move will benefit employees of Public Sector Undertakings and other employees not covered by Payment of Gratuity Act, 1972.
[Notification No. 16/2019 dated 8th March, 2019]
Last Updated: 14th March 2019
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