Taxable Year 2016 Alternative Minimum Tax And Credit Limitations: Fill & Download for Free

Key Features of Budget 2016-2017INTRODUCTIONGrowth of Economy accelerated to 7.6% in 2015-16.India hailed as a ‘bright spot’ amidst a slowing global economy by IMF.Robust growth achieved despite very unfavourable global conditionsand two consecutive years shortfall in monsoon by 13%Foreign exchange reserves touched highest ever level of about 350 billion US dollars.Despite increased devolution to States by 55% as a result of the 14thFinance Commission award, plan expenditure increased at RE stage in2015-16 – in contrast to earlier years.CHALLENGES IN 2016-17Risks of further global slowdown and turbulence.Additional fiscal burden due to 7th Central Pay Commissionrecommendations and OROP.ROADMAP & PRIORITIES'Transform India' to have a significant impact on economy and lives ofpeople.Government to focus on –ensuring macro-economic stability and prudent fiscalmanagement.boosting on domestic demandcontinuing with the pace of economic reforms and policyinitiatives to change the lives of our people for the better.Focus on enhancing expenditure in priority areas of - farm and ruralsector, social sector, infrastructure sector employment generation andrecapitalisation of the banks.Focus on Vulnerable sections through:Pradhan Mantri Fasal Bima YojanaNew health insurance scheme to protect against hospitalisationexpenditurefacility of cooking gas connection for BPL familiesContinue with the ongoing reform programme and ensure passage ofthe Goods and Service Tax bill and Insolvency and Bankruptcy lawUndertake important reforms by:giving a statutory backing to AADHAR platform to ensure benefits reach the deserving.freeing the transport sector from constraints and restrictionsincentivising gas discovery and exploration by providingcalibrated marketing freedomenactment of a comprehensive law to deal with resolution offinancial firmsprovide legal framework for dispute resolution andre-negotiations in PPP projects and public utility contractsundertake important banking sector reforms and public listing ofgeneral insurance companies undertake significant changes in FDIpolicy.AGRICULTURE AND FARMERS’ WELFAREAllocation for Agriculture and Farmers’ welfare is ₹ 35,984 crore‘Pradhan Mantri Krishi Sinchai Yojana’ to be implemented in missionmode. 28.5 lakh hectares will be brought under irrigation.Implementation of 89 irrigation projects under AIBP, which arelanguishing for a long time, will be fast trackedA dedicated Long Term Irrigation Fund will be created in NABARD withan initial corpus of about ₹ 20,000 croreProgramme for sustainable management of ground water resourceswith an estimated cost of ₹ 6,000 crore will be implemented through multilateral funding5 lakh farm ponds and dug wells in rain fed areas and 10 lakh compostpits for production of organic manure will be taken up under MGNREGASoil Health Card scheme will cover all 14 crore farm holdings by March2017.2,000 model retail outlets of Fertilizer companies will be provided withsoil and seed testing facilities during the next three yearsPromote organic farming through ‘Parmparagat Krishi Vikas Yojana’ and 'Organic Value Chain Development in North East Region'.Unified Agricultural Marketing ePlatform to provide a common e- market platform for wholesale marketsAllocation under Pradhan Mantri Gram Sadak Yojana increased to `19,000 crore. Will connect remaining 65,000 eligible habitations by2019.To reduce the burden of loan repayment on farmers, a provision of ₹15,000 crore has been made in the BE 2016-17 towards interestsubventionAllocation under Prime Minister Fasal Bima Yojana ₹ 5,500 crore.850 crore for four dairying projects - ‘Pashudhan Sanjivani’, ‘NakulSwasthya Patra’, ‘E-Pashudhan Haat’ and National Genomic Centre forindigenous breedsRURAL SECTORAllocation for rural sector - ₹ 87,765 crore.₹ 2.87 lakh crore will be given as Grant in Aid to Gram Panchayats andMunicipalities as per the recommendations of the 14th FinanceCommissionEvery block under drought and rural distress will be taken up as anintensive Block under the Deen Dayal Antyodaya MissionA sum of ₹ 38,500 crore allocated for MGNREGS.300 Rurban Clusters will be developed under the Shyama Prasad Mukherjee Rurban Mission100% village electrification by 1st May, 2018.District Level Committees under Chairmanship of senior most Lok SabhaMP from the district for monitoring and implementation of designatedCentral Sector and Centrally Sponsored Schemes.Priority allocation from Centrally Sponsored Schemes to be made toreward villages that have become free from open defecation.A new Digital Literacy Mission Scheme for rural India to cover around 6 crore additional household within the next 3 years.National Land Record Modernisation Programme has been revamped.New scheme Rashtriya Gram Swaraj Abhiyan proposed with allocationof ₹ 655 crore.SOCIAL SECTOR INCLUDING HEALTH CAREAllocation for social sector including education and health care –₹1,51,581 crore.₹ 2,000 crore allocated for initial cost of providing LPG connections toBPL families.New health protection scheme will provide health cover up to ` Onelakh per family. For senior citizens an additional top-up package up to `30,000 will be provided.3,000 Stores under Prime Minister’s Jan Aushadhi Yojana will beopened during 2016-17.‘National Dialysis Services Programme’ to be started under National Health Mission through PPP mode“Stand Up India Scheme” to facilitate at least two projects per bankbranch. This will benefit at least 2.5 lakh entrepreneurs.National Scheduled Caste and Scheduled Tribe Hub to be set up inpartnership with industry associationsAllocation of ₹ 100 crore each for celebrating the Birth Centenary ofPandit Deen Dayal Upadhyay and the 350th Birth Anniversary of GuruGobind Singh.EDUCATION, SKILLS AND JOB CREATION62 new Navodaya Vidyalayas will be openedSarva Shiksha Abhiyan to increasing focus on quality of educationRegulatory architecture to be provided to ten public and ten privateinstitutions to emerge as world-class Teaching and Research InstitutionsHigher Education Financing Agency to be set-up with initial capital baseof ₹ 1000 CroresDigital Depository for School Leaving Certificates, College Degrees,Academic Awards and Mark sheets to be set-up.SKILL DEVELOPMENTAllocation for skill development – ₹ 1804. crore.1500 Multi Skill Training Institutes to be set-up.National Board for Skill Development Certification to be setup inpartnership with the industry and academiaEntrepreneurship Education and Training through Massive Open OnlineCoursesJOB CREATIONGoI will pay contribution of 8.33% for of all new employees enrolling inEPFO for the first three years of their employment. Budget provision of₹ 1000 crore for this scheme.Deduction under Section 80JJAA of the Income Tax Act will be availableto all assesses who are subject to statutory audit under the Act100 Model Career Centres to operational by the end of 2016-17 underNational Career Service.Model Shops and Establishments Bill to be circulated to States.INFRASTRUCTURE AND INVESTMENTTotal investment in the road sector, including PMGSY allocation, wouldbe ₹ 97,000 crore during 2016-17.India’s highest ever kilometres of new highways were awarded in 2015.To approve nearly 10,000 kms of National Highways in 2016-17.Allocation of ₹ 55,000 crore in the Budget for Roads. Additional `15,000 crore to be raised by NHAI through bonds.Total outlay for infrastructure - ₹ 2,21,246 crore.Amendments to be made in Motor Vehicles Act to open up the roadtransport sector in the passenger segmentAction plan for revival of unserved and underserved airports to bedrawn up in partnership with State Governments.To provide calibrated marketing freedom in order to incentivise gasproduction from deep-water, ultra deep-water and high pressure-hightemperature areasComprehensive plan, spanning next 15 to 20 years, to augment theinvestment in nuclear power generation to be drawn up.Steps to re-vitalise PPPs:Public Utility (Resolution of Disputes) Bill will be introduced during2016-17Guidelines for renegotiation of PPP Concession Agreements will beissuedNew credit rating system for infrastructure projects to beintroducedReforms in FDI policy in the areas of Insurance and Pension, AssetReconstruction Companies, Stock Exchanges.100% FDI to be allowed through FIPB route in marketing of foodproducts produced and manufactured in India.A new policy for management of Government investment in PublicSector Enterprises, including disinvestment and strategic sale, approved.FINANCIAL SECTOR REFORMSA comprehensive Code on Resolution of Financial Firms to beintroduced.Statutory basis for a Monetary Policy framework and a Monetary PolicyCommittee through the Finance Bill 2016.A Financial Data Management Centre to be set up.RBI to facilitate retail participation in Government securities.New derivative products will be developed by SEBI in the CommodityDerivatives market.Amendments in the SARFAESI Act 2002 to enable the sponsor of an ARCto hold up to 100% stake in the ARC and permit non institutionalinvestors to invest in Securitization Receipts.Comprehensive Central Legislation to be bought to deal with themenace of illicit deposit taking schemes.Increasing members and benches of the Securities Appellate Tribunal.Allocation of ₹ 25,000 crore towards recapitalisation of Public SectorBanks.Target of amount sanctioned under Pradhan Mantri Mudra Yojanaincreased to ₹ 1,80,000 crore.General Insurance Companies owned by the Government to be listed inthe stock exchanges.GOVERNANCE AND EASE OF DOING BUSINESSA Task Force has been constituted for rationalisation of human resources in various Ministries.Comprehensive review and rationalisation of Autonomous Bodies.Bill for Targeted Delivery of Financial and Other Subsidies, Benefits and Services by using the Aadhar framework to be introduced.Introduce DBT on pilot basis for fertilizer.Automation facilities will be provided in 3 lakh fair price shops byMarch 2017.Amendments in Companies Act to improve enabling environment for start-ups.Price Stabilisation Fund with a corpus of ₹ 900 crore to help maintainstable prices of Pulses.“Ek Bharat Shreshtha Bharat” programme will be launched to linkStates and Districts in an annual programme that connects peoplethrough exchanges in areas of language, trade, culture, travel andtourism.FISCAL DISCIPLINEFiscal deficit in RE 2015-16 and BE 2016-17 retained at 3.9% and 3.5%.Revenue Deficit target from 2.8% to 2.5% in RE 2015-16Total expenditure projected at ₹ 19.78 lakh crorePlan expenditure pegged at ₹ 5.50 lakh crore under Plan, increase of15.3%Non-Plan expenditure kept at ₹ 14.28 lakh croresSpecial emphasis to sectors such as agriculture, irrigation, social sectorincluding health, women and child development, welfare of ScheduledCastes and Scheduled Tribes, minorities, infrastructure.Mobilisation of additional finances to the extent of ₹ 31,300 crore byNHAI, PFC, REC, IREDA, NABARD and Inland Water Authority by raisingBonds.Plan / Non-Plan classification to be done away with from 2017-18.Every new scheme sanctioned will have a sunset date and outcomereview.Rationalised and restructured more than 1500 Central Plan Schemesinto about 300 Central Sector and 30 Centrally Sponsored Schemes.Committee to review the implementation of the FRBM Act.RELIEF TO SMALL TAX PAYERSRaise the ceiling of tax rebate under section 87A from ₹2000 to ₹5000to lessen tax burden on individuals with income upto `5 laks.Increase the limit of deduction of rent paid under section 80GG from₹24000 per annum to ₹60000, to provide relief to those who live inrented houses.BOOST EMPLOYMENT AND GROWTHIncrease the turnover limit under Presumptive taxation scheme undersection 44AD of the Income Tax Act to ₹ 2 crores to bring big relief to alarge number of assessees in the MSME category.Extend the presumptive taxation scheme with profit deemed to be 50%,to professionals with gross receipts up to ₹50 lakh.Phasing out deduction under Income Tax:Accelerated depreciation wherever provided in IT Act will belimited to maximum 40% from 1.4.2017Benefit of deductions for Research would be limited to 150% from1.4.2017 and 100% from 1.4.2020Benefit of section 10AA to new SEZ units will be available to thoseunits which commence activity before 31.3.2020.The weighted deduction under section 35CCD for skill developmentwill continue up to 1.4.2020Corporate Tax rate proposals:New manufacturing companies incorporated on or after 1.3.2016to be given an option to be taxed at 25% + surcharge and cessprovided they do not claim profit linked or investment linkeddeductions and do not avail of investment allowance andaccelerated depreciation.Lower the corporate tax rate for the next financial year forrelatively small enterprises i.e companies with turnover notexceeding ₹ 5 crore (in the financial year ending March 2015), to29% plus surcharge and cess.100% deduction of profits for 3 out of 5 years for startups setup during April, 2016 to March, 2019. MAT will apply in such cases.10% rate of tax on income from worldwide exploitation of patentsdeveloped and registered in India by a resident.Complete pass through of income-tax to securitization trusts includingtrusts of ARCs. Securitisation trusts required to deduct tax at source.Period for getting benefit of long term capital gain regime in case ofunlisted companies is proposed to be reduced from three to two years.Non-banking financial companies shall be eligible for deduction to theextent of 5% of its income in respect of provision for bad and doubtfuldebts. .Determination of residency of foreign company on the basis of Place ofEffective Management (POEM) is proposed to be deferred by one year.Commitment to implement General Anti Avoidance Rules (GAAR) from1.4.2017.Exemption of service tax on services provided under Deen DayalUpadhyay Grameen Kaushalya Yojana and services provided byAssessing Bodies empanelled by Ministry of Skill Development &Entrepreneurship.Exemption of Service tax on general insurance services provided under‘Niramaya’ Health Insurance Scheme launched by National Trust for theWelfare of Persons with Autism, Cerebral Palsy, Mental Retardation andMultiple Disability.Basic custom and excise duty on refrigerated containers reduced to 5%and 6%.MAKE IN INDIAChanges in customs and excise duty rates on certain inputs to reducecosts and improve competitiveness of domestic industry in sectors likeInformation technology hardware, capital goods, defence production,textiles, mineral fuels & mineral oils, chemicals & petrochemicals,paper, paperboard & newsprint, Maintenance repair and overhauling[MRO] of aircrafts and ship repair.MOVING TOWARDS A PENSIONED SOCIETYWithdrawal up to 40% of the corpus at the time of retirement to be taxexempt in the case of National Pension Scheme (NPS). Annuity fundwhich goes to legal heir will not be taxable.In case of superannuation funds and recognized provident funds,including EPF, the same norm of 40% of corpus to be tax free will applyin respect of corpus created out of contributions made on or from1.4.2016.Limit for contribution of employer in recognized Provident andSuperannuation Fund of ₹ 1.5 lakh per annum for taking tax benefit. Exemption from service tax for Annuity services provided by NPS andServices provided by EPFO to employees.Reduce service tax on Single premium Annuity (Insurance) Policies from3.5% to 1.4% of the premium paid in certain cases.PROMOTING AFFORDABLE HOUSING100% deduction for profits to an undertaking in housing project for flatsupto 30 sq. metres in four metro cities and 60 sq. metres in other cities,approved during June 2016 to March 2019 and completed in threeyears. MAT to apply.Deduction for additional interest of ₹50,000 per annum for loans up to₹35 lakh sanctioned in 2016-17 for first time home buyers, wherehouse cost does not exceed ₹ 50 lakh.Distribution made out of income of SPV to the REITs and INVITs havingspecified shareholding will not be subjected to Dividend DistributionTax, in respect of dividend distributed after the specified date.Exemption from service tax on construction of affordable houses up to60 square metres under any scheme of the Central or StateGovernment including PPP Schemes.Extend excise duty exemption, presently available to Concrete Mixmanufactured at site for use in construction work to Ready MixConcrete.RESOURCE MOBILIZATION FOR AGRICULTURE, RURAL ECONOMY AND CLEAN ENVIRONMENTAdditional tax at the rate of 10% of gross amount of dividend will bepayable by the recipients receiving dividend in excess of ₹ 10 lakh perannum.Surcharge to be raised from 12% to 15% on persons, other thancompanies, firms and cooperative societies having income above ₹ 1crore.Tax to be deducted at source at the rate of 1 % on purchase of luxurycars exceeding value of ₹ 10 lakh and purchase of goods and services incash exceeding ₹ 2 lakh.Securities Transaction tax in case of ‘Options’ is proposed to beincreased from .017% to .05%.Equalization levy of 6% of gross amount for payment made to non- residents exceeding ₹1 lakh a year in case of B2B transactions.Krishi Kalyan Cess, @ 0.5% on all taxable services, w.e.f. 1 June 2016.Proceeds would be exclusively used for financing initiatives forimprovement of agriculture and welfare of farmers. Input tax credit ofthis cess will be available for payment of this cess.Infrastructure cess, of 1% on small petrol, LPG, CNG cars, 2.5% on dieselcars of certain capacity and 4% on other higher engine capacity vehicles and SUVs. No credit of this cess will be available nor credit of any othertax or duty be utilized for paying this cess.Excise duty of ‘1% without input tax credit or 12.5% with input taxcredit’ on articles of jewellery [excluding silver jewellery, other thanstudded with diamonds and some other precious stones], with a higherexemption and eligibility limits of ₹6 crores and ₹12 croresrespectively.Excise on readymade garments with retail price of ₹1000 or moreraised to 2% without input tax credit or 12.5% with input tax credit.‘Clean Energy Cess’ levied on coal, lignite and peat renamed to ‘CleanEnvironment Cess’ and rate increased from ₹200 per tonne to ₹400 pertonne.Excise duties on various tobacco products other than beedi raised byabout 10 to 15%.Assignment of right to use the spectrum and its transfers has beendeducted as a service leviable to service tax and not sale of intangiblegoods.PROVIDING CERTAINITY IN TAXATIONCommitted to providing a stable and predictable taxation regime andreduce black money.Domestic taxpayers can declare undisclosed income or such incomerepresented in the form of any asset by paying tax at 30%, andsurcharge at 7.5% and penalty at 7.5%, which is a total of 45% of theundisclosed income. Declarants will have immunity from prosecution.Surcharge levied at 7.5% of undisclosed income will be called KrishiKalyan surcharge to be used for agriculture and rural economy.New Dispute Resolution Scheme to be introduced. No penalty inrespect of cases with disputed tax up to ₹10 lakh. Cases with disputedtax exceeding ₹10 lakh to be subjected to 25% of the minimum of theimposable penalty. Any pending appeal against a penalty order can also be settled by paying 25% of the minimum of the imposable penalty andtax interest on quantum addition.High Level Committee chaired by Revenue Secretary to oversee freshcases where assessing officer applies the retrospective amendment.One-time scheme of Dispute Resolution for ongoing cases underretrospective amendment.Penalty rates to be 50% of tax in case of under reporting of income and200% of tax where there is misreporting of facts.Disallowance will be limited to 1% of the average monthly value ofinvestments yielding exempt income, but not exceeding the actualexpenditure claimed under rule 8D of Section 14A of Income Tax Act.Time limit of one year for disposing petitions of the tax payers seekingwaiver of interest and penalty.Mandatory for the assessing officer to grant stay of demand once theassesse pays 15% of the disputed demand, while the appeal is pendingbefore Commissioner of Income-tax (Appeals).Monetary limit for deciding an appeal by a single member Bench ofITAT enhanced from ₹15 lakhs to ₹50 lakhs.11 new benches of Customs, Excise and Service Tax Appellate Tribunal(CESTAT).SIMPLIFICATION AND RATIONALIZATION OF TAXES13 cesses, levied by various Ministries in which revenue collection isless than ₹50 crore in a year to be abolished.For non-residents providing alternative documents to PAN card, higherTDS not to apply.Revision of return extended to Central Excise assesses.Additional options to banking companies and financial institutions,including NBFCs, for reversal of input tax credits with respect to non- taxable services.Customs Act to provide for deferred payment of customs duties for importers and exporters with proven track record.Customs Single Window Project to be implemented at major ports andairports starting from beginning of next financial year.Increase in free baggage allowance for international passengers. Filingof baggage only for those carrying dutiable goods.TECHNOLOGY FOR ACCOUNTABILITYExpansion in the scope of e-assessments to all assessees in 7 megacities in the coming years.Interest at the rate of 9% p.a against normal rate of 6% p.a for delay ingiving effect to Appellate order beyond ninety days.‘e-Sahyog’ to be expanded to reduce compliance cost, especially forsmall taxpayers.

Yes, you can - here is their FAQWhat types of accounts does Wealthfront currently support?We often get this question at Hedgeable. We have over 20 account types offered -As our clients needs expand, the number of accounts they have with Hedgeable often grows as well. There are many different types of accounts that clients can open (listed below) to serve various goals and objectives: retirement, general wealth accumulation, gifting to a minor, and more.Benefits of Having More than One AccountWith multiple accounts, it can be hard to keep track of. How is one account being managed versus the other? Is one hand washing the other? Many of our clients open up all of their accounts with Hedgeable to ensure that strategies and investment holdings aren't duplicated across their overall financial picture. By doing this, they allow us to manage their full financial picture, to mitigate risk across all account types.Beyond that, it's helpful to have all accounts on one platform. Instead of needing to log on to separate sites to view account analytics, performance, or even remembering separate logins, Hedgeable brings everything into one simple picture. You can even manage recurring contributions into each of your account, to be taken out of your checking at a frequency of your choosing.Types of AccountsIndividual - TaxableYour bread and butter for first investment account at Hedgeable. Do you have a big chunk of money earning 0% interest in your savings account? Do you only have a couple bucks to spare until you win the Powerball? Either way, we have you covered. With no account minimum, you can open up a regular taxable account to grow and preserve your nest egg.Joint Account - TaxableSometimes, it might be appropriate to open up an account with more than one person. Some spouses decide to open up joint accounts once they get married, family members own certain accounts in joint title, or anything in between. These joint accounts can be formed in different ways: Joint Tenant with Rights of Survivorship, Joint Tenants in Common, Joint Tenants with Community Property, and Joint Tenants by Entirety. Please consult your legal advisor to determine which of these is appropriate for your circumstances and if each account type is allowed in your state of residence.Traditional IRATraditional IRA's have become as ubiquitous as commercials with older balding gentlemen telling you how important it is to save for retirement. Through our platform, you can easily start saving for retirement by making contributions from your checking account. Per the Internal Revenue Service (IRS), you can contribute $5,500 to your account per year (or $6,500 if you are older than 50). The funds that you put into the account are tax-deductible; so, the IRS will grant a credit to you, making your IRA contributions effectively before-tax. Your account will grow tax-deferred--that is, you will not pay taxes on any earnings. Once you make a retirement withdrawal after age 591/2, they are taxed as ordinary income without penalty.Rollover IRADo you have 401(k)'s scattered across previous employers? Rollover IRA's allow you to combine 401(k)'s that you may have had at previous employers into one account. By doing this, it allows you to maintain the tax-deferred status from your 401(k), without a penalty. In addition, as your continue to save for retirement and your account size grows, you can take advantage of our fee breakpoints. From an account management and logistics standpoint, the Rollover IRA is essentially the same thing as a Traditional IRA.ROTH IRAMany Hedgeable clients take advantage of a Roth IRA, in addition to a Traditional IRA. Unlike a Traditional IRA, contributions to ROTH IRA's go in after-tax, and are withdrawn tax-free (as long as they are a qualified retirement distributions after age 591/2). This tax-free growth can be compelling for younger clients that want to take advantage of longer time horizons for their retirement. In addition, many clients utilize ROTH conversions, a strategy that recognizes taxes in a Traditional IRA immediately and moves the proceeds to a ROTH IRA. Please consult your tax advisor to determine if ROTH conversions are appropriate for you.Solo 401(k)Did you know that you don’t have to work for a large company to have a 401(k) plan? It is true. Called a Solo or Individual 401(k), this account type allows you and a spouse to take advantage of the same 401(k) rules that employees of large organizations can. In fact, it is one of the most popular Hedgeable account types, and Hedgeable remains the only major digital wealth manager that offers these account types. There are only about 750,000 401(k) plans in America, yet there are over 25 Million sole proprietorships and single member LLCs in America. You can be a young doctor, dentist, lawyer, accountant, painter, landscaper, consultant, recruiter, and dozens of other occupations and get a Solo 401(k) setup. Regardless of professional title, if you are a "1099 employee" or if you own your own business, you may be eligible to open up a personal 401(k). Unlike SEP IRA's, Solo 401(k)'s can be set up to allow loans from the plan.For these plans, contributions are made by the employee and the employer (even though you are effectively both, since you own your own business). Just like Traditional 401(k)'s, employee contributions are limited to $18,000 (or $24,000 if you are older than 50). Employer's can make non-elective contributions up to 25% or compensation, or as defined by your plan. Please consult your tax advisor to determine what is most suitable when setting up a plan, and how much you can contribute each tax year.ROTH Solo 401(k)Hedgeable allows its clients to participate in a ROTH Solo 401(k) for qualifying small business owners or "1099 employees"! These follow the same contribution rules and procedures, the contributions are after-tax instead of pre-tax, akin to ROTH IRA's compared to Traditional IRA's.SEP IRASEP IRA's are a useful type of account for self-employed or "1099" individuals and provides a higher contribution limit than Traditional IRA's. For 2016, contributions cannot exceed the lesser of 25% of compensation, or $53,000, whichever is smaller.Since there are no employee contributions, it is most useful for a small business owner with no employees. Also, unlike a Solo 401(k), you cannot take advantage of the ROTH option. Historically, SEP IRA's have been a useful tools for self-employed individuals looking for higher contribution plans to save for retirement. Please consult your tax advisor to determine how much you can contribute to your plan each year.SIMPLE IRAA SIMPLE IRA has been used as a low-cost alternative to 401(k)'s for small businesses. This option allows employees to make contributions, while usually requiring employers to pitch in with employer contributions. Unlike a traditional company 401(k), SIMPLE IRA's do not require the complexity of third-party-administrators or annual safe-harbor testing. For 2016, employees can contribute up to $12,500 (or $15,500 if they are older than 50). It is common for employer's to contribute 3% of employees salary with immediate vesting, but this depends on how the plan is set up. SIMPLE IRA's can not be set up for more than 100 employees at any time during the preceding year. Please note, at this time, the IRS does not allow for a SIMPLE IRA to be a ROTH IRA.Custodial Account (UGMA/UTMA)Custodial accounts are a great way to gift cash or securities to minors. In most states, minors are not allowed to own stocks outright or open an investment account for themselves. Under the Uniform Gift of Minors Act (UGMA) or the Uniform Transfer of Minors Act (UTMA) minors can receive cash or securities while an appointed person (who cannot be a minor) manages the account until the minor reaches the age of majority. You can contribute as much as you want to this account, as long as it complies with the requirements of the gifting limits imposed by the IRS ($14,000, or $28,000 for married couples).Personal & Business Trust AccountsHedgeable accepts personal trust accounts, that can be set up in a variety of forms. Regardless of if the plan is revocable, irrevocable, or a "dynasty trust", we can accept the account and begin to invest for the trust beneficiary's goals and objectives. Trust accounts can be opened for a variety of reasons: planned giving strategies to charities, to give part of an inheritance to someone while abiding by certain rules and stipulations, to care for a mentally challenged or disabled person, among other reasons. Please consult with a trust and estate attorney for future guidance on which trust is most appropriate for you.Businesses can open trust accounts as well, to hold money on behalf of clients, the company, or to met certain regulation requirements. In some cases, it may be appropriate to invest the cash instead of letting it sit in a bank account earning next to nothing in interest.What We Do Not AcceptPlease see my answer on trusts that are available to wealthy Americans.You were born poor, but now you are rich. How do you ensure your family will still be wealthy beyond three generations?We do not offer many of these trust types.Although our clients have multiple accounts with us at Hedgeable, this may not capture their full financial picture. Homes, credit card debt, and mortgages are all examples of assets/liabilities that can not be held at our custodian. To get around this issue, we provide account aggregation services on our platform.Disclaimer: This is not a solicitation to buy or sell securities or an offer of personal financial advice. Past performance is not indicative of future performance. It is suggested you seek out the help of a financial professional before making any investing or personal financial management decision.

Finance minister Arun Jaitley presented Union Budget 2016-17 in Parliament on Monday. Here are the key highlights of his speech:•Cabinet approves Union Budget for 2016-17•We believe in the principle that money with the govt belongs to the people: Arun Jaitley•We must strengthen firewalls against risks through structural reforms, rely on domestic market so that growth does not slow down: Jaitley•We had to work in an unsupportive global environment and obstructive political atmosphere: Jaitley•CPI inflation was 9.4% in the last 3 years of previous government. It has come down to 5.5% now: FM•Indian growth is extraordinarily high; we converted difficulties and challenges into opportunity: FM•Growth has accelerated to 7.6% in 2015-16 notwithstanding contraction of global exports: FM•Current account deficit has declined to $14.4 billion this year, will be 1.4% of gross domestic product (GDP) at the end of fiscal: FM•The risk of global slowdown is mounting, complicating economic management for India: FM•We see these challenges as opportunities•FY17 will cast an additional burden due to One Rank One Pension, Seventh Pay Commission recommendations•We wish to provide for recapitalization of banks•Focus to pass GST and bankruptcy code•Three major schemes to help underprivileged: Pradhan Mantri Fasal Yojana, health insurance scheme, launching initiative to ensure LPG connection for BPL families•Key points to look forward to: Incentivize gas discovery and exploration of gas, dispute resolution in PPP projects, banking sector reforms•Govt will undertake nine-point reforms including steps to ensure ease of business in governance, fiscal discipline to ensure benefits for peopleAgriculture and farmers’ welfare:•Look to double farmer income by 2020•Govt will reorient interventions in farming sector; we need to optimally utilize water resources•28.5 lakh hectares will be brought under irrigation•A dedicated irrigation fund with Rs.20,000 crore under Nabard•Major programme for sustainable groundwater management•Govt to set apart Rs.412 crore to encourage organic farming•Access to market is critical for farmers•Implementing Pradhan Mantri Gram Sadak Yojana as never before—scheme to be allocated Rs.19,000 crore in FY17; Rs.27,000 crore in total—to advance completion target to 2019 from 2022•To support farmers after calamities, special focus has been given to ensure timely flow of credit, target is Rs.9 trillion in FY17•We have to ensure benefit of minimum support price reaches all parts of country—remaining states will be encouraged to take up decentralized procurement, effective arrangement of pulse procurement•E-market portal for connecting breeders and farmers•Visible rise in yield of honey•90% of domestic honey is now exported•Allocation of Rs.35,984 crore for farm sector: FMRural areas:•Cluster-facilitation teams under MGNREGA to optimize water resources•Rs.38,500 crore allocated for MNREGA in 2016-17, the highest ever if entire amount is spent•As of 1 April 2015, 18,542 villages were not electrified—as on 23 Feb 2016, 5,542 villages have been electrified•2.87 trillion to be given grant-in-aid for gram panchayats and municipalities; it is quantum jump of 228%•Govt committed to achieve 100% village electrification by 1 May 2018•We need to spread digital literacy in rural areas—plan to launch digital literacy mission for more than 6,000 households in rural areas•Modernization of land records essential—to be implemented as a central sector scheme•Govt to develop 300 ‘rurban’ clustersSocial sector•To embark on scheme to provide LPG connections in womens’ names•Gratitude to 75 lakh households that have given up LPG subsidies•Almost 2.2 lakh new patients of end-stage renal diseases get added in India every year•Propose to start National Dialysis Programme with fund generated under PPP scheme•3,000 stores to be opened for quality medicines under PM Jan Ausadhi Yojana in 2016-17•SC and ST entrepreneurs—Rs.500 crore to promote this under Stand-Up India•Next big step by focusing on quality education—commitment to improve higher education institutions•Decided to set up a higher education financing agency (non-profit)—initial corpus of Rs.1,000 crore•Digital depository for school-leaving certificates other academic certificates•Entrepreneurship education and training o be provided in schools and collegesJob creation:•Will pay EPF contribution of 3.33% for all new employees joining EPFO to incentivize employers•National Career Service—35 million job-seekers have registered; propose to interlink state employment exchanges with National Career Service•Retail trade—biggest employer in country•Small and medium-shops should be given option to remain open all 7 days on voluntary basis•Model shops bill on voluntary basis for states to be adoptedInfra and investment:•Roads sector: Nearly 85% of stalled projects back on track•Speeded up road construction—to allocate Rs.55,000 crore for roads and highways, additional Rs.15,000 crore to be raised by National Highways Authority of India (NHAI) through bonds. Total allocation of Rs.97000 crore.•Total allocation of Rs.2.18 trillion for roads and railways•Pace of completion of road projects to rise to 10,000km in 2016-17•Total outlay for infrastructure in Budget Estimates is at Rs.2.21 trillion•Passenger traffic on roads more efficient now—This is a totally unreformed sector; absolution of Permit Raj is the medium-term goal; to open up road transport sector in passenger segment; states will have choice of adopting new legal framework; provision for more efficient public transport sector•Ports—to develop new greenfield ports•Civil aviation—plan for reviving underserved airports; to partner with state govts to develop some of these airports•Natural resources: To incentivise gas production from deep sea, high temperature areas•Govt has achieved highest coal production growth in over 2 decades•Power sector—drawing up plan spanning 15-20 years to augment capacity in nuclear power sector•Initiative to reinvigorate private sector—public utility resolution of dispute bills; new credit rating system for infrastructure•Further reforms in FDI policy—area of insurance and pension, stock exchanges etc•Duty drawback scheme widened to include more products, countries•FDI policy should address farmers, food processing industry—100% FDI through Foreign Investment Promotion Board route for marketing of food products produced and processed in India•Department of disinvestment to be renamedFinancial sector reforms:•Bankruptcy code to be introduced•RBI Act 1934 to be amended to provide statutory basis for monetary policy framework•Financial data management centre to be set up•New derivative products•Stressed assets—ARCs have an important role—necessary amendment to Sarfaesi Act will be done•Central legislation to deal with fraudulent schemes•To amend Sebi act for more benches for SAT•Banks—Rs.25,000 crore to be provided for recapitalization of public sector banks, which are grappling with stressed assets; Govt stands solidly behind these banks.•Banking board bureau to be operationalized during this year•Debt recovery tribunals to be strengthened for speedier dispute resolution•To undertake massive rollout of ATMs over next 3 years•Insurance firms owned by government will be listed on stock exchangesEase of doing business:•Initiatives include introducing targeted delivery of subsidies through Aadhaar, with a social security platform for use of Aadhaar; direct benefit transfers on a pilot basis for fertilizers•Bill to amend Companies Act—enabling environment for start-ups•Create closer engagement between states and districts—Ek Bharat, Shresth Bharat•70th anniversary of Independence in 2017—Ek Bharat, Shresth Bharat is a part of this missionFiscal situation:•Fiscal Responsibility and Budget Management (FRBM) roadmap: Prudence lies in adhering to fiscal targets•Budget and Revised estimates for FY15-16 at 3.9% and 3.5% of GDP respectively•Total expenditure in budget—Rs.19.78 trillion•Retaining fiscal deficit target at 3.5% for FY17•Plan/Non-plan classification to be done away with from FY17-18•Revenue deficit target at 2.5% of GDP•FRBM: Better to have a fiscal target range; Must review working of this Act—to set up A committee to review FRBM•Seventh Pay Commission—Made interim provisions while recommendations are being reviewed—restructured more than 1,500 central schemes; Allocated Rs.100 crore each for celebrating birth anniversaries of Pandit Deendayal Upadhyay and Guru Gobind SinghTax reforms:•Relief to small taxpayers, measures for moving towards pension society, reducing litigation, simplification of taxation•Ceiling of tax rebate at Rs.5,000 for income less than Rs.5 lakh•Relief to people living in rented houses—Deduction for rent paid will be raised from Rs.20,000 to Rs.60,000 to benefit those living in rented houses•Presumptive taxation schemes—to increase turnover limit to Rs.2 crore—relief for many in MSME category•Extend presumptive taxation scheme to all professionals with gross receipts up to Rs.50 lakh•Corporate tax rate reduction should be calibrated with benefits of phasing out exemptions•Corporate tax rate for establishments with turnover less than Rs.5 crore lowered to 29% of surcharge plus cess•Make in India—100% deduction of profits for start-ups adhering to certain conditions; MAT will apply•To implement GAAR from 1 April 2017•To reduce customs duty on refrigerated containers•Exemptions for braille paper•Pension society—Exemption of service tax for NPS, EPFO to employees•Affordable housing—100% deduction on profits for flats up to 30 sq.m in metro cities from 2016-19; MAT will apply•First-time home buyers—relief on housing loans for up to Rs.50 lakh•Surcharge on luxury cars costing more than Rs.10 lakh•0.5% Krishi Kalyan surcharge cess on all taxable services from 1 June 2016, to be given to agriculture development•Environment—Pollution cess on all vehicles•To impose additional duty on jewellery•Change excise duty on branded ready-made garments•Revive clean energy cess on coal, others•Increase duty on tobacco products (other than beedi) by 10-15%Reducing litigation:•Tax evasion will be countered strongly•Limited period compliance window to declare undisclosed income•Black money—3 lakh tax cases pending before authority—a new dispute resolution scheme will be set up where taxpayer can settle case by paying disputed tax and interest with certain conditions•On retrospective tax amendments—committed to providing stable tax regime; committee will be chaired by revenue secretary•One-time scheme for dispute resolution for pending retrospective tax amendment case•Justice Easwar committee recommendation—abolishing 13% cesses levied by various ministries•Rationalizing TDS provisions for income tax•Non-residents without PAN—higher rate won’t apply on furnishing alternate ID•To amend customs actUse of technology:•Will use technology in tax department in a big way•To expand scope of e-assessment for taxpayers in 7 big cities•Govt will pay interest @9% in case of delay in giving appellate orders beyond 90 days•Impact of tax proposals will lead to revenue gain of Rs.19,610 crores•Conclusion of budget speech•Introduction of Finance bill 2016•House adjourned to meet on Tuesday at 11amLivemint