1. Tax rates have been reduced all across the board.
2. Maximum Marginal rate of tax for individuals, HUF, AOP - 30%.
   Tax on firms and companies - 35%.
3. Dividends are tax free. Companies declaring dividend are liable to pay tax on dividends declared @ 10%.
4. Simplified tax system is introduced for retail traders.
5. Telecommunication services are eligible for benefits as other infrastructure areas.
6. One time exemption from capital gains is granted for conversion of individual membership of stock exchange into corporate membership.
7. Basic provisions of MAT remain unchanged. The new provision has made "Reliance" to pay income-tax of Rs.50 crores (probably for the first time after remaining a zero tax company for last 20 years).
8. Carry forward facility is granted for MAT. Export profits covered under S.80 HHC are exempted from MAT.
9. A New Voluntary Disclosure Scheme has been introduced.

The note is divided into three parts:

• General amendments.
• Amendments pertaining to residents.
• Amendments relating to non-residents.