FM Proposes To Decriminalise Delays In Payments Of TDS Up To Their Filing Due Date

Budget 2024 Update | In her Budget 2024 speech, Finance Minister Nirmala Sitharaman proposed several key reforms aimed at easing compliance for taxpayers. The TDS rate for e-commerce operators will be reduced from 1% to 0.1%. Additionally, the FM proposed decriminalizing delays in TDS payments provided they are made up to the filing due date. The process for reassessing and reopening returns will also be simplified: such actions can now only be taken after three years if the income involved is ₹50 lakh or more, with a maximum time limit of six years. These changes are designed to streamline tax administration and reduce administrative burdens on taxpayers.