Union Budget 2019: Nirmala Sitharaman Proposes to Deduct 2% TDS on Withdrawal of More Than Rs 1 Crore a Year To Promote Cashless Transactions
Representational Image Photo Credits: PTI)

New Delhi, July 5: Finance Minister Nirmala Sithraman on Friday presented her maiden Union Budget 2019 in the Lok Sabha. The Finance Minister during her speech proposed that two percent TDS will be deducted on the withdrawal of more than Rs 1 crore. Sitharaman said, “To discourage the practice of making business payments in cash I propose to levy TDS of two percent on cash withdrawal exceeding Rs 1 crore in a year from a bank account.”

No changes have been made in the income tax slab. Sitharaman stated, “As I stated earlier, we have taken a slew of measures to ease burden on small and medium earners. Those having annual income up to Rs five lakhs are not required to pay any income tax. We are thankful to tax payers who play an important role in nation building.” Aadhaar Card for NRIs: Nirmala Sitharaman in Her Budget 2019 Speech Proposes to Ease 180 Days Waiting Period.

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Meanwhile, all companies having annual turnover of 400 crores, will now be under the 25 tax bracket. This will cover 99.3 percent of the all the companies. The Narendra Modi government also eased the waiting time for getting Aadhaar card for non-resident Indians (NRIs). Presenting her first Union Budget, Sitharaman on Friday said that India will become a $3 trillion economy in the financial year 2019-2020.