The Union Budget 2023 presented by Finance Minister Nirmala Sitharaman has proposed a new income tax regime with revised tax slabs and rates. In a major announcement during the Budget 2023 speech, the FM revealed the revised tax slabs under the new tax regime. The new tax regime is expected to bring about significant changes for taxpayers.
According to the announcement, those with an income between Rs 0-3 lakh will not be taxed. For those with an income above Rs 3 lakh and up to Rs 5 lakh, the tax rate will be 5% under the new regime. Those with an income of more than Rs 6 lakh and up to Rs 9 lakh will be taxed at 10% under the new tax regime.
Income from Rs 12 lakh to Rs 15 lakh will be taxed at 20% under the new regime, while income above Rs 15 lakh is to be taxed at 30%. The new tax regime aims to provide relief to taxpayers with lower incomes while ensuring that those with higher incomes contribute to the growth of the country.
PERSONAL INCOME TAX- Revised tax slabs under new tax regime:
1. Those with income between Rs 0-3 lakh will not be taxed.
2. Those with income above Rs 3 lakh and up to Rs 5 lakh to be taxed at 5% under new regime.
3. Those with income of more than Rs 6 lakh and up to Rs 9 lakh will be taxed at 10% under new tax regime.
4. Those with income from Rs 12 lakh and up to Rs 15 lakh will be taxed at 20% under new tax regime.
5. Income above Rs 15 lakh is to be taxed at Rs 30%