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    Vikshita Vitthal Gujaran in News

    01-Feb-2023 10:31 AM


    Union Budget 2023: New vs Old Tax Regime - See What Has Changed

    Finance Minister Nirmala Sitharaman has increased the rebate limit for individual taxpayers from ₹ 5 lakh to ₹ 7 lakh a year.
    "..Currently, those with income up to ₹ 5 lakh do not pay any income tax in both old and new tax regimes. I propose to increase the rebate limit to ₹ 7 lakh in the new tax regime. Thus, persons in the new tax regime, with income up to ₹ 7 lakh will not have to pay any tax," Ms Sitharaman said while presenting Budget 2023 in parliament today.

    She also announced new tax slabs and scrapped the old twin-structure system that was unboxed in 2020, which taxed citizens under 25 per cent without exemptions and 30 per cent with exemptions allowed.

    The new slabs are:

    Rs 0-3 lakh - no tax

    Rs 3-6 lakh - taxed at 5 per cent

    Rs 6-9 lakh - taxed at 10 per cent

    Rs 9-12 lakh - taxed at 15 per cent

    Rs 12-15 lakh- taxed at 20 per cent

    Above ₹ 15 lakh - taxed at 30 per cent

    Source - NDTV