: At the beginning of the new year, millions of taxpayers of the country received great news. In this case, if you also pay income tax, then you will have to pay only 5 percent tax from now on. Basically, Finance Minister Nirmala Sitharaman gave a big gift to the people in the New Year. Budget preparations are already in full swing across the country. In such a scenario, everyone from the middle class to the working class is hoping for a big tax break.
Any system will have advantages: Giving details in this regard, Finance Minister Nirmala Sitharaman said that from now many people will have to pay only 5 percent tax. Not only that, whether you adopt the New Tax Regime or stay in the Old Tax System, you will no longer have to pay huge taxes.
Who will pay 5 percent tax: Let us inform you in this context that people who earn between 2.5 lakh to 5 lakh will have to pay tax at the rate of 5 percent only. They will not have to pay more tax than this. On the other hand, those whose income is less than 2.5 lakh rupees will not have to pay a single rupee of tax.
Tax Free Income Slab May Increase: Note that the government may increase the scope of tax free income in this year’s budget. At present, several lakhs of people get the benefit of tax exemption up to Rs 2.5 lakh only. In that case, this limit can be increased from 3 to 5 lakh rupees. In such a situation, the government can give huge benefits to crores of taxpayers.
The last change was in 2014: The last time the tax limit was increased in 2014 by the government. Earlier this limit was Rs 2 lakh. Later it was increased to 2.5 lakh rupees. Meanwhile, the common people get the benefit of more money for investment in this decision of the government.