Filed Income Tax Return? TDS rules to change from THIS month

In order to identify the non-filers of ITR, the tax department has made a list of these people at the start of the financial year 2021-22, which includes previous years 2018-19 and 2019-20. This particular list includes the names of taxpayers who did not file returns of income for both assessment years 2019-20 and 2020-21 and have an aggregate TDS of Rs 50,000 or more in each of these two previous years.

The finance ministry has come up with a new rule to cut Tax Deducted At Source (TDS) at higher rates for non-filers. By non-filers, we mean those taxpayers who didn’t bother to file an income tax return (ITR) in the last two years, and the total amount TDS goes beyond Rs 50,000 each year. They will be forced to pay TDS at a much higher rate from July. New TDS Rate The new TDS rate will be either twice the rate mentioned under the relevant section or provision or five percent, whichever is higher, the Central Board of Direct Taxes (CBDT) said.