Not just zero tax on income up to ₹12 lakh! Here are the key income tax announcements in the budget
Union Finance Minister Nirmala Sitharaman today presented the budget for the financial year 2025-24 in Parliament. Apart from many other important topics in this budget, the issue of income tax was particularly important. In her budget speech, the Union Finance Minister announced that from the coming financial year, citizens will be given tax exemption on income up to Rs 12 lakh. This announcement has now become a topic of widespread discussion across the country, as the new tax system is expected to provide adequate relief to the middle class. This change has been made under the new tax system. But this is not the only relief for taxpayers. Rather they are going to get a lot. Let us understand in detail.
Benefit of standard deduction
Along with tax-free income upto12 lakhs, the benefit of a standard deduction of Rs 75 thousand will also be available. In this way, the total tax-free income will be 12.75 thousand.
TDS limit increased for senior citizens
The TDS limit for senior citizens has been increased from 50 thousand to 1 lakh rupees. This step has been taken to provide additional benefits to senior citizens.
Tax filing limit increased
The limit of income tax filing has been increased from 2 years to 4 years. This will also benefit all taxpayers paying income tax.
Relief to owners of two houses
The finance minister has also given tax relief to owners of two houses. The limit of TDS on rent has been increased from Rs 2.4 lakh to Rs 6 lakh.
New income tax slabs
- Rs 0 to 4 lakh - zero,
- Rs 4 lakh to Rs 8 lakh - 5%,
- Rs 8 lakh to Rs 12 lakh - 10%,
- Rs 12 lakh to Rs 16 lakh - 15%,
- Rs 16 lakh to Rs 20 lakh - 20%,
- Rs 20 lakh to Rs 24 lakh - 25%
- More than Rs 24 lakh - 30%
