New Delhi: Finance Minister Nirmala Sitharaman on Tuesday said that the government is yet to decide on whether to discontinue the old income tax regime but the primary goal is to “simplify the tax process.”
“The government’s intention is to make the income tax regime simpler. The new tax regime is the way to go for that. Cannot say whether there will be a sunset on old income tax regime. A decision will be taken after a thorough review. 70 per cent of people last year opted for the new tax regime,” she claimed after presenting Budget 2024.
While Sitharaman has proposed an increase in standard deduction by Rs 25,000 and a change in tax structure under the new regime, those filing returns under the old regime did not get any relief.
The salaried class can save up to Rs 17,500 in taxes with the revised structure under the new regime.
Also Read: No Tax For Income Up To Rs 3 Lakh In New Regime, Know The Revised Slabs
Similarly, deduction on family pension for pensioners has been enhanced from Rs 15,000 to Rs 25,000. The 5% tax rate slab has been changed from Rs 5 lakh to Rs 7 lakh. All rental income of individual taxpayers from residential properties will be charged under the head ‘income from house property’ and not as income from business or profession, according to the Budget document.
Also Read: Is Rs 75,000 Standard Deduction Sufficient For Tax-Paying Middle Class?
