{"id":7722,"date":"2017-02-09T08:15:50","date_gmt":"2017-02-09T02:45:50","guid":{"rendered":"http:\/\/www.apnaplan.com\/?p=7722"},"modified":"2018-04-08T22:32:21","modified_gmt":"2018-04-08T17:02:21","slug":"budget-2017-tax-payers-high-income-tax","status":"publish","type":"post","link":"https:\/\/www.apnaplan.com\/budget-2017-tax-payers-high-income-tax\/","title":{"rendered":"3 Tax Payers Who would Pay Higher Income Tax after Budget 2017"},"content":{"rendered":"<p style=\"text-align: justify;\">The only thing most taxpayers look forward in <span style=\"text-decoration: underline;\"><strong>Budget is income tax changes<\/strong><\/span> and how it would impact them. Budget 2017 has been a mixed bag as far as income tax is concerned. During the budget speech Finance Minister announced lowering of taxes for income between Rs 2.5 lakhs to Rs 5 lakhs to 5% from existing 10%. <strong>This meant lower taxes but unfortunately \u201cDevil lies in Details\u201d.<\/strong><\/p>\n<p style=\"text-align: justify;\">We tell you about <strong>3 set of people who would be paying more taxes in FY 2017-18 than in FY 2016-17.<\/strong><\/p>\n<ol>\n<li style=\"text-align: justify;\"><strong><span style=\"color: #003366;\">Senior Citizens with income between Rs 3.5 Lakhs to Rs 4 lakhs<\/span><\/strong><\/li>\n<li style=\"text-align: justify;\"><strong><span style=\"color: #003366;\">Taxpayers who have \u201cLoss from House\/Property\u201d of more than Rs 2 Lakhs<\/span><\/strong><\/li>\n<li style=\"text-align: justify;\"><strong><span style=\"color: #003366;\">People with Income between Rs 50 lakh to Rs 1 crore<\/span><\/strong><\/li>\n<\/ol>\n<p style=\"text-align: justify;\">Below is\u00a0the maths and reasons for each case listed above:<\/p>\n<h2 style=\"text-align: justify;\">1. Senior Citizens with income between Rs 3.5 Lakhs to Rs 4 lakhs<\/h2>\n<ul>\n<li style=\"text-align: justify;\">For Senior Citizens there is NO income tax up to income of Rs 3 lakhs<\/li>\n<li style=\"text-align: justify;\">The <a href=\"http:\/\/www.apnaplan.com\/income-tax-slabs-fy2017-18\/\">tax slab for income between Rs 3 to 5 lakhs<\/a> has been reduced to 5% from 10%<\/li>\n<li style=\"text-align: justify;\">Rebate under Section 87A has been reduced from Rs 5,000 to Rs 2,500 for income up to Rs 3.5 Lakhs (earlier this limit was Rs 5 lakhs)<\/li>\n<\/ul>\n<p style=\"text-align: justify;\">Let\u2019s see the impact:<\/p>\n<figure id=\"attachment_7726\" aria-describedby=\"caption-attachment-7726\" style=\"width: 803px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-7726\" src=\"http:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-More-Income-Tax-for-Senior-Citizens.png\" alt=\"Budget 2017 - More Income Tax for Senior Citizens\" width=\"803\" height=\"380\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-More-Income-Tax-for-Senior-Citizens.png 803w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-More-Income-Tax-for-Senior-Citizens-300x142.png 300w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-More-Income-Tax-for-Senior-Citizens-768x363.png 768w\" sizes=\"(max-width: 803px) 100vw, 803px\" \/><figcaption id=\"caption-attachment-7726\" class=\"wp-caption-text\"><strong>Budget 2017 &#8211; More Income Tax for Senior Citizens<\/strong><\/figcaption><\/figure>\n<p style=\"text-align: justify;\">As can be seen in the tables above <strong>Senior citizens with Income between Rs 3.5 to 4 Lakhs have to pay more Income Tax<\/strong>\u00a0mainly due to reduction in Section 87A.<\/p>\n<blockquote>\n<p style=\"text-align: justify;\"><strong>Also Read:\u00a0<\/strong><a href=\"http:\/\/www.apnaplan.com\/budget-2017-impact-taxes-investments\/\">25 Ways Budget 2017 Impacts Your Taxes and Investments<\/a><\/p>\n<\/blockquote>\n<h2 style=\"text-align: justify;\">2. Taxpayers who have \u201cLoss from House\/Property\u201d of more than Rs 2 Lakhs<\/h2>\n<p style=\"text-align: justify;\">Many people especially with high income had bought multiple homes on loan to save tax. This \u201ctax saving\u201d technique had become very popular in recent times. <strong>Unfortunately this tax benefit is gone as the limit from \u201cLoss from House\/Property\u201d that can be deducted against salary, business or other income has been capped at Rs 2 lakh.<\/strong> This is irrespective of the house is rented out or self-occupied.<\/p>\n<p style=\"text-align: justify;\">Below is the impact:<\/p>\n<figure id=\"attachment_7723\" aria-describedby=\"caption-attachment-7723\" style=\"width: 329px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-7723\" src=\"http:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Higher-Income-Tax-for-Home-Loan-Borrowers.png\" alt=\"Budget 2017 - Higher Income Tax for Home Loan Borrowers\" width=\"329\" height=\"359\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Higher-Income-Tax-for-Home-Loan-Borrowers.png 329w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Higher-Income-Tax-for-Home-Loan-Borrowers-275x300.png 275w\" sizes=\"(max-width: 329px) 100vw, 329px\" \/><figcaption id=\"caption-attachment-7723\" class=\"wp-caption-text\"><strong>Budget 2017 &#8211; Higher Income Tax for Home Loan Borrowers<\/strong><\/figcaption><\/figure>\n<blockquote>\n<p style=\"text-align: justify;\"><strong>Download:<\/strong>\u00a0<a href=\"http:\/\/www.apnaplan.com\/income-tax-calculator-fy-2017-18-ay-2018-19-excel-download\/\">New Income Tax Calculator for FY 2017-18 [AY 2018-19]<\/a><\/p>\n<\/blockquote>\n<h2 style=\"text-align: justify;\">3. People with Income between Rs 50 lakh to Rs 1 crore<\/h2>\n<p style=\"text-align: justify;\">Budget 2017 announced surcharge of 10% on income tax for people with income between Rs 50 lakh to Rs 1 crore.\u00a0For people with income of more than Rs 1 crore, the surcharge of 15% on income tax continues.<\/p>\n<figure id=\"attachment_7724\" aria-describedby=\"caption-attachment-7724\" style=\"width: 329px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-7724\" src=\"http:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Higher-Tax-for-Income-of-more-than-Rs-50-lakhs.png\" alt=\"Budget 2017 - Higher Tax for Income of more than Rs 50 lakhs\" width=\"329\" height=\"313\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Higher-Tax-for-Income-of-more-than-Rs-50-lakhs.png 329w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Higher-Tax-for-Income-of-more-than-Rs-50-lakhs-300x285.png 300w\" sizes=\"(max-width: 329px) 100vw, 329px\" \/><figcaption id=\"caption-attachment-7724\" class=\"wp-caption-text\"><strong>Budget 2017 &#8211; Higher Tax for Income of more than Rs 50 lakhs<\/strong><\/figcaption><\/figure>\n<h2 style=\"text-align: justify;\">Budget 2017: Who Pays Less\u00a0Income Tax?<\/h2>\n<p style=\"text-align: justify;\">In terms of <strong>who saves the maximum in Income Tax outgo<\/strong>\u00a0Next year, its people with income of Rs 1 crore or more. <strong>They would pay Rs 14,806 less in taxes.<\/strong> This is fair\u00a0because they were the ones who were paying highest taxes!<\/p>\n<figure id=\"attachment_7725\" aria-describedby=\"caption-attachment-7725\" style=\"width: 329px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-7725\" src=\"http:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Less-Taxes-for-Income-of-more-than-Rs-1-crore.png\" alt=\"Budget 2017 - Less Taxes for Income of more than Rs 1 crore\" width=\"329\" height=\"306\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Less-Taxes-for-Income-of-more-than-Rs-1-crore.png 329w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Budget-2017-Less-Taxes-for-Income-of-more-than-Rs-1-crore-300x279.png 300w\" sizes=\"(max-width: 329px) 100vw, 329px\" \/><figcaption id=\"caption-attachment-7725\" class=\"wp-caption-text\"><strong>Budget 2017 &#8211; Less Taxes for Income of more than Rs 1 crore<\/strong><\/figcaption><\/figure>\n<blockquote>\n<p style=\"text-align: justify;\"><strong>Download:\u00a0<\/strong><a href=\"http:\/\/www.apnaplan.com\/tax-planning-fy2017\/\">Tax Planning Guide for FY 2016-17<\/a><\/p>\n<\/blockquote>\n<h2 style=\"text-align: justify;\">To conclude:<\/h2>\n<p style=\"text-align: justify;\"><strong>Penalizing senior citizens with more tax is bad move.<\/strong> My guess is government has not done all its calculation and hence changed Section 87A limit without thinking of senior citizens. This move would hardly garner much tax but call for bad publicity.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The only thing most taxpayers look forward in Budget is income tax changes and how it would impact them. Budget 2017 has been a mixed bag as far as income tax is concerned. During the budget speech Finance Minister announced lowering of taxes for income between Rs 2.5 lakhs to Rs 5 lakhs to 5% [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7735,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[480,3193,37,6],"tags":[2993,3201,479,3211],"uagb_featured_image_src":{"full":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Senior-Citizens-to-Pay-Higher-Tax-Next-Year1.png",1341,820,false],"thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Senior-Citizens-to-Pay-Higher-Tax-Next-Year1-150x150.png",150,150,true],"medium":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Senior-Citizens-to-Pay-Higher-Tax-Next-Year1-300x183.png",300,183,true],"medium_large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Senior-Citizens-to-Pay-Higher-Tax-Next-Year1-768x470.png",768,470,true],"large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Senior-Citizens-to-Pay-Higher-Tax-Next-Year1-1024x626.png",1024,626,true],"1536x1536":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Senior-Citizens-to-Pay-Higher-Tax-Next-Year1.png",1341,820,false],"2048x2048":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Senior-Citizens-to-Pay-Higher-Tax-Next-Year1.png",1341,820,false],"yarpp-thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2017\/02\/Senior-Citizens-to-Pay-Higher-Tax-Next-Year1.png",120,73,false]},"uagb_author_info":{"display_name":"Amit","author_link":"https:\/\/www.apnaplan.com\/author\/admin\/"},"uagb_comment_info":1,"uagb_excerpt":"The only thing most taxpayers look forward in Budget is income tax changes and how it would impact them. Budget 2017 has been a mixed bag as far as income tax is concerned. During the budget speech Finance Minister announced lowering of taxes for income between Rs 2.5 lakhs to Rs 5 lakhs to 5%&hellip;","_links":{"self":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/7722"}],"collection":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/comments?post=7722"}],"version-history":[{"count":0,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/7722\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media\/7735"}],"wp:attachment":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media?parent=7722"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/categories?post=7722"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/tags?post=7722"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}