The Union Budget of 2025: Finance Minister
The Union Budget 2025 introduced several significant changes to the income tax laws in India. Here are some key highlights:
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.
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.
Revised Returns: The deadline for submitting revised returns has been extended from two years to four years.
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.
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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