Budget 2024-indiwik
Finance Minister Nirmala Sitharaman announced changes to the new tax regime slabs and an increase in the standard tax deduction from ₹50,000 to ₹75,000. This update aims to benefit four crore salaried individuals and pensioners.
Under the old tax regime, the standard deduction will remain unchanged at ₹50,000. For family pensioners, however, the deduction will increase from ₹15,000 to ₹25,000 under the new regime.
Revised Tax Slabs
- Up to ₹3,00,000: Nil
- ₹3,00,001 to ₹7,00,000: 5%
- ₹7,00,001 to ₹10,00,000: 10%
- ₹10,00,001 to ₹12,00,000: 15%
- ₹12,00,001 to ₹15,00,000: 20%
- Above ₹15,00,000: 30%
This change is expected to save ₹17,500 for individuals opting for the new regime. Sitharaman also announced a comprehensive review of the Income Tax Act of 1961, aimed at making it more accessible and reducing uncertainties and litigation potential.
The Finance Minister reiterated the government’s commitment to simplifying the tax regime for individual taxpayers. She highlighted that over two-thirds of personal taxpayers adopted the new tax regime in the financial year 2023-24, reflecting the effectiveness of previous measures taken to streamline tax structures and rules.
