New Delhi:
The government today cut individual income tax rates for some sections of taxpayers to promote consumption. Currently, under the system introduced in 2020, an annual income up to Rs 15 lakh is taxed at a rate of 5 per 20 per cent, while an income of more than Rs 15 lakh is taxed at 30 per cent.
Under the new Income Tax Slab, Finance Minister Nirmala Sitarman announced that the annual income up to Rs 12 lakh will no longer be taxed.
There are frequently asked questions (FAQ) issued by the government:
What is new governance?
The new regime provides for concessional tax rates and generous slabs. However, no cuts are allowed in the new regime (such as 80jjaa, 80 m, specified for standard cuts).
What are the tax slabs in earlier new rule?
Up to 3 lakh rupees – no tax
3-7 lakh rupees – 5 percent
7-10 lakh rupees – 10 percent
10-12 lakh rupees – 15 percent
12-15 lakh rupees – 20 percent
Above Rs 15 lakh – 30 percent
What are the new slabs in the proposed new regime introduced by the Finance Bill, 2025?
Up to 4 lakh rupees – up to 0 percent
4-8 lakh rupees – 5 percent
8 12 lakh rupees – 10 percent
12-16 lakh rupees – 15 percent
16-20 lakh rupees – 20 percent
20-24 lakh rupees – 25 percent
Above 24 lakh rupees – 30 percent
What is tax profit for different category of taxpayers (0-RS 24 lakh)
For individual taxpayers, for which tax liability is the maximum total income?
In the proposed new tax regime, the maximum total income for which the tax liability for individual taxpayers is Rs 12 lakh.
What steps are needed to claim the benefit of liability liability?
The benefit of any tax liability is available only in new tax rule. This new tax governance is the default regime. To avail the benefit of acceptable exemption under the proposed provisions of the new tax regime, only returns have to be filed otherwise no other steps are required.
How will a person with income of Rs 12 lakh from new rates be income?
Any person was required to pay a tax of Rs 80,000 for income of Rs 12 lakh earlier. No tax will be levied now.
Has the total income limit for NIL tax payment increased in this budget?
Yes, in this budget, the total income limit for any tax payment in the new tax government has increased, this budget has been reduced to Rs 12 lakh, provided that taxpayers have availed the exemption.
Is standard deduction on salary available in new regime?
Yes, the new regime has a standard deduction of Rs 75,000 for taxpayers. Therefore, a salaried taxpayer will not need to pay any tax where his income is less than or equal to Rs 12.75 lakh before the standard deduction.
Is standard cuts available in old regime?
Rupee. 50,000 is available in old regime.
How many taxpayers will benefit from new rates and slabs?
Currently, for 2024–25, around 8.75 crore people have filed their income tax returns. All such people who were paying taxes in new tax governance will benefit from changes in rates and slabs.
(Tagstotransite) Union Budget 2025 (T) Budget 2025 (T) Nirmala Sitarman
