BUDGET 2023 CHANGES UNDER NEW TAX REGIME

22-01-2024

If the new tax regime is set to be the default. However, taxpayers can opt for the old regime. A tax rebate introduced under the new tax regime for income up to Rs.7 lakhs, if your taxable income is below Rs.7 lakhs, you won’t have to pay any tax due to the introduced rebate. The tax exemption limit of Rs. 2,50,000 has increased to Rs. 3,00,000 under the new tax regime and tax slabs, the new tax regime as follows:

Up to Rs.3,00,000 – Nil

Rs.3,00,000 – Rs.6,00,000 – 5%

Rs.600,000 – Rs.9,00,000 – 15%

Rs.9,00,000 – Rs.12,00,000 – 20%

Above Rs.15,00,000 – 30%

Standard deduction of Rs.50,000 has been extended to the new tax regime.