Budget 2023: More tax breaks, expectations of senior citizens from the Union Budget – mssewb.org

Budget 2023: Everyone’s eyes are on the budget. Around the budget from expectations. People from all walks of life and all ages are curious to know whether the interest rate has increased or decreased, especially on taxes, tax deductions, and savings. Seniors are no exception. On the contrary, their curiosity in this regard is no less than that of the working group. Because, even if they are retired, their income is ‘passive income’. Again, health is very expensive, it is necessary to keep money in hand. Due to thousands of reasons, the expectations of senior citizens from the budget are not less. Especially in a country like India where the total share of citizens aged 60 and above is about 11 percent of the country’s total population. With that in mind, let’s see what senior citizens expect from Budget 2023.—

Increase the ceiling of tax exemption under section 80c of the Income-tax Act—

Like everyone else, senior citizens also demand that the tax ceiling be increased under the relevant section of the Income Tax Act. At present, maximum tax deduction of 1.5 lakh rupees is available under this clause. Which is very less in terms of quantity. Especially if the benefits of investing in various projects under this section can be calculated. Moreover, this ceiling has not increased since 2104. So seniors are hoping to increase this upper limit. Along with this, the upper limit of tax deduction of 50,000 thousand rupees for senior citizens under this section should also be increased.

Revision of lock-in period in respect of certain investments under section 80c—

Tax exemptions are available on multiple investments including Bank, Post Office Fixed Deposits, NSC, Equity Linked Savings Scheme (ELSS). But all those investments have certain lock-in period. For example in case of ELSS this lock-in period is 3 years and in case of NSC and Fixed Deposit this period is 5 years. But senior citizens often need money. It is due to many reasons including illness, deterioration of health, medical expenses. In view of that, the issue of lock-in period in all these investment sectors needs to be reconsidered.

To raise the ceiling of tax exemption on mediclaim—

In view of the current financial situation, they expect to increase the upper limit of tax exemption on mediclaim of senior citizens. Now this tax deduction is Rs 50,000, senior citizens are demanding to increase it to Rs 1 lakh.

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