New Delhi, February 1, 2025 <\/strong>\u00a0\u2013 In a major relief to the middle class<\/strong>, Finance Minister Nirmala Sitharaman<\/strong> announced that individuals earning up to \u20b912 lakh annually<\/strong> will be exempt from income tax<\/strong> under the new tax regime<\/strong>. The move, introduced in the Union Budget 2025<\/strong>, aims to boost household consumption, savings, and investment<\/strong>.<\/p>\n

Key Tax Benefits Under the New Regime<\/strong><\/h3>\n

\n
• No income tax for individuals earning up to \u20b912 lakh per annum.<\/strong><\/li>\n
• For salaried employees, the tax-free limit is \u20b912.75 lakh<\/strong>, including a \u20b975,000 standard deduction<\/strong>.<\/li>\n
• Revised tax slabs:<\/strong>\n
  \n
  • 0% tax for income up to \u20b94 lakh<\/strong><\/li>\n
  • 5% tax for \u20b94-8 lakh<\/strong><\/li>\n
  • 10% tax for \u20b98-12 lakh<\/strong><\/li>\n
  • 15% tax for \u20b912-16 lakh<\/strong><\/li>\n
  • 20% tax for \u20b916-20 lakh<\/strong><\/li>\n
  • 25% tax for \u20b920-24 lakh<\/strong><\/li>\n
  • 30% tax for income above \u20b924 lakh<\/strong><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n

    Savings for Taxpayers<\/strong><\/h3>\n

    \n
    • Individuals earning \u20b912 lakh per year will save \u20b980,000 in tax.<\/strong><\/li>\n
    • Those with \u20b918 lakh annual income will save \u20b970,000.<\/strong><\/li>\n
    • A person earning \u20b925 lakh will benefit by \u20b91.10 lakh.<\/strong><\/li>\n<\/ul>\n

      Sitharaman emphasized that the new structure substantially reduces tax burdens<\/strong>, leaving more money in the hands of taxpayers<\/strong> to stimulate economic growth<\/strong>.<\/p>\n

      Opposition Criticism<\/strong><\/h3>\n

      While the government has hailed the move as a pro-middle-class reform<\/strong>, opposition leaders have questioned its timing<\/strong>, calling it an \u201celection gimmick.\u201d<\/strong> Critics argue that the tax relief<\/strong> could have been introduced earlier instead of just before the elections.<\/p>\n

      As the debate over fiscal policies intensifies, the middle class stands to gain significantly from these tax changes<\/strong>, making it a key factor in the upcoming political discourse.<\/p>\n","protected":false},"excerpt":{"rendered":"

      New Delhi, February 1, 2025 \u00a0\u2013 In a major relief to the middle class, Finance Minister Nirmala Sitharaman announced that individuals earning up to \u20b912 lakh annually will be exempt from income tax under the new tax regime. The move, introduced in the Union Budget 2025, aims to boost household consumption, savings, and investment. Key<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[516],"tags":[660,556,557],"class_list":{"0":"post-106415","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-business","7":"tag-india-observer","8":"tag-observer","9":"tag-observer-news"},"_links":{"self":[{"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/posts\/106415","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/comments?post=106415"}],"version-history":[{"count":0,"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/posts\/106415\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/media?parent=106415"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/categories?post=106415"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.politicalobserver.in\/wp-json\/wp\/v2\/tags?post=106415"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}