TNI Bureau: Finance Minister Nirmala Sitharaman on Saturday announced huge income tax relaxations in the first full Budget of the Modi 3.0 government, sweeping changes in the new income tax regime by announcing revamped income tax slabs and income tax rates.
The biggest announcement was that the salaried taxpayers, individual taxpayers, common man and middle-class people, earning up to Rs 12 lakh income will not have to pay income tax. For salaried individuals, this threshold extends to Rs 12.75 lakh.
New tax regime provides for concessional tax rates and liberal slabs. However, no deductions are allowed in the new regime.
Here’s the current income tax rates and slabs under the new tax regime (FY 2025-26).
➡️Income up to Rs 4,00,000: Nil
➡️Income from Rs 4,00,001 to Rs 8,00,000: 5%
➡️Income from Rs 8,00,001 to Rs 12,00,000: 10%
➡️Income from Rs 12,00,001 to Rs 16,00,000: 15%
➡️Income from Rs 16,00,001 to Rs 20,00,000: 20%
➡️Income from Rs 20,00,000 to Rs 24,00,000: 25%
➡️Income above Rs 24,00,000: 30%
