Budget 2022 : Income Tax Updates Summary

  1. To provide an opportunity to correct an error, taxpayers can now file an updated return within 2 years from the relevant assessment year
  2. Both Centre and States govt employees’ tax deduction limit to be increased from 10% to 14% to help the social security benefits of state government employees and bring them at par with the Central govt employees
  3. Income from transfer of digital assets to be charged 30% tax, plus 1% TDS on transaction and Loss from the transfer of virtual digital assets cannot be set off against any other income.
  4. Corporate surcharge to be reduced from 12% to 7%
  5. Income from Long Term Capital Gains will be taxed at 15%
  6. Tax incentives for startups to be incorporated until March 31, 2023