Finance Bill 2023 passed in Lok Sabha with THESE major amendments
Mar 24, 2023
A committee will be set up under Finance Secretary on the pension system to address the needs of employees and also maintain fiscal prudence, said FM Nirmala Sitharaman while proposing The Finance Bill 2023.
The Lok Sabha on Friday, March 24, passed the Finance Bill, 2023 with some amendments. Union Finance Minister Nirmala Sitharaman tabled ‘The Finance Bill, 2023’ in the lower house amid sloganeering by Opposition MPs demanding a JPC inquiry into the Adani Group issue.
She introduced 64 official amendments to the Finance Bill which was tabled in Parliament on February 1 along with the Budget proposals.
FM Sitharaman said that a committee will be set up under Finance Secretary on the pension system to address the needs of employees and also maintain fiscal prudence, according to the news agency ANI.
While moving the Finance Bill 2023 in the Lok Sabha for consideration and passage, the minister also said the RBI will look into the issues related to credit card payments for foreign tours not being captured under Liberalised Remittances Scheme (LRS).
Representations have been received that the national pension system for government employees needs to be improved, Sitharaman said.
The minister further said it has come to notice that payment for foreign tours through credit cards are not being captured under LRS and such payments escape tax collection at source.
"RBI is being requested to look into this with a view to bringing credit card payments for foreign tours within the ambit of LRS and tax collection at the source there on," she announced.
Check amendments made in The Finance Bill 2023 below:
- Mutual funds having less than 35% AUM in domestic equity to lose indexation benefit, to be taxed as short-term capital gains.
- Enhanced tax benefits to offshore banking units operating in GIFT city, offshore banking units to get 100% deduction on income for 10 years.
- Tax on royalty or technical fee earned by foreign (non-resident) companies hiked from 10% to 20%.
- No change in tax on non-par savings insurance products ( ₹5 lakh cap remains).
- No change in taxation of REITS/InviTs despite representation (Income from REITS to be taxed as ‘income from other sources’ and not as capital gains).
(With inputs from agencies)