Standard deduction in the new tax regime will be increased from Rs. 50,000 to Rs. 75,000. Finance Minister Nirmala Sitharaman on Tuesday said while announcing the Union Budget 2024.
FM also announced revisions to tax slabs in the new regime. The revised tax slabs are as follows:
Income up to Rs. 3 lakh – nil
Rs. 3 lakh to Rs. 7 lakh – 5 per cent.
Rs. 7 lakh to Rs. 10 lakh – 10 per cent.
Rs. 10 lakh to Rs. 12 lakh – 15 per cent.
Rs. 12 lakh to Rs. 15 lakh – 20 per cent.
Above Rs. 15 lakh – 30 per cent.
As a result of which, FM Sitharaman said that salaried employees can save as much as Rs. 17,500 on the new regime. She also noted that there will no changes brought in the old tax slabs.
