Changes in income tax slab, standard deduction raised by 50% to Rs 75,000
THE JHARKHAND STORY DESK New Delhi, July 23: Finance Minister Sitharaman announced significant tax relief in the income tax slabs. She…
THE JHARKHAND STORY DESK
New Delhi, July 23: Finance Minister Sitharaman announced significant tax relief in the income tax slabs.
She stated that salaried employees under the new tax regime could save up to Rs 17,500 in income tax annually due to the changes announced in the Budget.
The standard deduction limit has been increased from Rs 50,000 to Rs 75,000. The proposal includes increasing the deduction on family pensions for pensioners from Rs 15,000 to Rs 25,000.
Under this system, income up to Rs 3 lakh will be tax-free.
Income between Rs 3 lakh and Rs 7 lakh will be taxed at 5%. Income between Rs 7 lakh and Rs 10 lakh will be taxed at 10%. Income between Rs 10 lakh and Rs 12 lakh will be taxed at 15%. Income between Rs 12 lakh and Rs 15 lakh will be taxed at 20%. Income exceeding Rs 15 lakh will be taxed at 30%.
Also Read- Union Budget: Major initiatives for agriculture, employment, education; support for women and tribals
This will be the tax slab in the new regime
Income of Rs 0-3 lakh: No tax
Income of Rs 3 to 7 lakh: 5 per cent tax
Income of Rs 7 to 10 lakh: 10 per cent tax
Income of Rs 10-12 lakh: 15 per cent tax
Income of Rs 12-15 lakh: 20 per cent tax
Income of more than Rs 15 lakh: 30 per cent tax
This was the tax slab in the old regime
Income of Rs 0-3 lakh: No tax
Income of Rs 3 to 6 lakh: 5 per cent tax
Income of Rs 6 to 9 lakh: 10 per cent tax
Income of Rs 9-12 lakh: 15 per cent tax
Income of Rs 12-15 lakh: 20 per cent tax
Income of more than Rs 15 lakh: 30 per cent tax
