Budget 2020: Key Takeaways

Tax Regime Comparison: Two tax regimes unveiled with varying slab rates and deductions, offering taxpayers flexibility and reduced rates under the new regime. Changes in Deductions: Removals of exemptions and deductions reshaped tax benefits, impacting home loan interest claims and first-time homebuyer reliefs.

Dividend Distribution Tax (DDT): DDT abolished, shifting taxation directly to shareholders at 15%, affecting corporate dividend distributions. Corporate Tax Amendments: Tax rates for co-operative societies reduced to 22% without exemptions, and manufacturing startups benefit from a lowered rate of 15%.

Foreign Portfolio Investment (FPI): Corporate bond investment limit for FPI increased to 15%, aiming to boost liquidity and attract foreign investment.

Residential Status Revision: Threshold for tax residency reduced from 182 to 120 days, impacting individuals' tax obligations based on their presence in India.