The Union Budget of 2025: Finance Minister

by Publisher Meghinn -

 The Union Budget 2025 introduced several significant changes to the income tax laws in India. Here are some key highlights:

  1. Basic Exemption Limit: The basic exemption limit has been increased from ₹3 lakh to ₹4 lakh under the new tax regime. This means lower tax liability for all taxpayers.

  2. Income Tax Return (ITR) Filing: Filing an ITR will now be mandatory only if the gross taxable income exceeds the revised exemption threshold, except in specific cases.

  3. Revised Returns: The deadline for submitting revised returns has been extended from two years to four years.

  4. New Income Tax Bill: A new Income Tax bill will be introduced in Parliament next week, aiming to simplify the existing law and reduce litigation.

  5. Tax Slabs: The new tax slabs under the new regime are as follows:

    • ₹0 - ₹4 lakh: Nil

    • ₹4 lakh - ₹8 lakh: 5%

    • ₹8 lakh - ₹12 lakh: 10%

    • ₹12 lakh - ₹16 lakh: 15%

    • ₹16 lakh - ₹20 lakh: 20%

    • ₹20 lakh - ₹24 lakh: 25%

    • Above ₹24 lakh: 30%

These changes are designed to ease the tax burden on the middle class and simplify the tax filing process

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