Income Tax Slabs 2024 Live Updates: Standard deduction increased to Rs 75000 under new tax regime

Standard Deduction Increase

In a significant update to the Income Tax Slabs 2024, the standard deduction under the new tax regime has been increased to Rs 75,000. This adjustment aims to provide relief to taxpayers by reducing their taxable income, effectively lowering the amount of tax they need to pay.

Updated Income Tax Slabs

The income tax slabs for the financial year 2024 have been revised to ensure a fair and balanced approach to taxation. Here’s a breakdown of the updated slabs:

For Individuals Below 60 Years

1. Up to Rs 2.5 lakh: No tax
2. Rs 2.5 lakh to Rs 5 lakh: 5%
3. Rs 5 lakh to Rs 10 lakh: 10%
4. Above Rs 10 lakh: 20%

For Senior Citizens (60 to 80 Years)

1. Up to Rs 3 lakh: No tax
2. Rs 3 lakh to Rs 5 lakh: 5%
3. Rs 5 lakh to Rs 10 lakh: 10%
4. Above Rs 10 lakh: 20%

For Super Senior Citizens (Above 80 Years)

1. Up to Rs 5 lakh: No tax
2. Rs 5 lakh to Rs 10 lakh: 10%
3. Above Rs 10 lakh: 20%

Key Highlights

• Increased Standard Deduction: The standard deduction increase to Rs 75,000 is aimed at providing more disposable income to taxpayers.
• Simplified Slabs: The revised slabs are designed to simplify the tax calculation process and ensure more equitable tax distribution.

Conclusion

The changes to the income tax slabs and the increase in the standard deduction are expected to benefit a wide range of taxpayers, making the tax system more efficient and taxpayer-friendly. Always consult with a tax professional to understand how these updates may affect your specific financial situation.