Budget Update: How You Can Save Rs. 17,500?
How You Can Save Rs. 17,500? By Nilesh Waghela Mumbai: The Union Finance Minister, Nirmala Sitharaman, has introduced changes in the new tax system which include alterations in the tax slab. One significant change is the increase in the standard deduction limit from 50 thousand to 75 thousand rupees. These changes are aimed at helping individuals, particularly those on a salary, to save up to Rs. 17,500. The Finance Minister has also increased the amount of family pension from 15,000 to 25,000. Income Tax Rates Under the New System: Up to 3 lakh: 0 percent 3 to 7 lakh: 5 percent 7 to 10 lakh: 10 percent 10-12 lakh: 15 percent 12-15 lakh: 20 percent More than 15 lakh: 30 percent How the Savings Work: How will Rs 17,500 be saved in the new tax system? To address this question, we have consulted with a reputable chartered accountant. He told that if your salary is 15 lakhs per annum, then you will save Rs 17,500 in the new tax system. This includes the benefit of increase...