There is news that the government is considering reducing the income tax rates for those earning 15 to 17 lakh rupees annually. The government is trying to bring as many people as possible under the new tax regime.
Income Tax: The central government is going to present the supplementary budget next month. In this connection, Union Finance Minister Nirmala Sitharaman is holding continuous meetings. The common man has expectations of great relief from this budget, although before every budget, the people of the country look towards the government with hope.
In fact, now the Finance Ministry is seriously considering the options related to income tax exemption to provide relief to the middle class in the budget. PM Modi had said in his address recently that the middle class is the driver of the country’s development and their well-being and convenience is our priority.
The government’s preparation for the budget is fast
In such a situation, the salaried people are expecting income tax relief from the Modi government in this budget. According to sources in the Finance Ministry, the government can make changes in the New Tax Regime. It is reported that the government is considering reducing the income tax rates for those earning 15 to 17 lakh rupees annually. The government is trying to bring as many people as possible under the New Tax Regime.
It is known that in the last term, the Modi government launched the New Tax Regime, the government is constantly making changes in the New Tax Regime to make it popular. Now if a provision of less tax is made under the New Tax Regime for those earning 15 to 17 lakhs annually, then it will provide relief to people on a large scale.
It is worth noting that under the New Tax Regime, the government gives income tax exemption on annual income up to Rs 7 lakh. On the other hand, under the Old Tax Regime, no tax is to be paid on annual income up to Rs 5 lakh. After this, a standard deduction of Rs 50 thousand is also applicable on both. That is, under the New Tax Regime, no tax is to be paid on income up to Rs 7.50 lakh annually.
New Tax Regime Income Tax Slabs
Let us tell you, in the New Tax Regime, there is no tax on salary up to 0-3 lakh annually. After this, 5% tax is levied on 3 to 6 lakhs, 10% on 6 to 9 lakhs, 15% on 9 to 12 lakhs, 20% on 12 to 15 lakhs and 30% tax is levied on income above 15 lakhs. Apart from this, 4% is levied as Health and Education Cess.
