Finance Bill 2018

Finance Bill 2018: new tax rates and surcharges, digital nexus for non residents, 10% long term equity gains tax, customs digitisation. The Bill sets income tax rates and layered surcharges with education/health cesses; recognises significant economic presence to tax non resident digital transactions; imposes 10% tax on specified long term equity gains (section 112A) with FMV cost adjustments; introduces accounting based rules for foreign exchange gains, marked to market losses and contract revenue recognition; revises deductions and thresholds (senior citizen interest, health insurance, start up and producer company incentives); and modernises customs via electronic filing, an electronic cash ledger, a Customs Authority for Advance Rulings, new audit and controlled delivery powers, plus social welfare and infrastructure cesses.