Income Tax Slab 2023: In a report quoting government sources, it has been told that the government can reduce the tax rate in its Voluntary Income Tax Framework and can also revise the tax slab. That is, to make the new tax regime more attractive, the government can amend the income tax slab.
Income Tax Slab 2023: Income tax to the taxpayers of the country in the Central Government Union Budget 2023But can give great news. The taxpayers of the country expect tax relief the most from the budget. In such a situation, reports are coming that the government can revise the income tax slab in the coming budget on February 1. Before the budget, there is a constant discussion about whether the government will give any relief on tax or not. A report has come on this, which can give some hope to the taxpayers. In a Reuters report, quoting government sources, it has been told that the government can reduce the tax rate in its Voluntary Income Tax Framework and can also revise the tax slab. That is, to make the new tax regime more attractive, the government can amend the income tax slab. However, the Prime Minister’s Office is yet to take a decision on this.
Income Tax Slab 2023: Finance Minister has indicated relief
Finance Minister Nirmala Sitharaman just said on the question of giving relief to the middle class in a program on Sunday that “I also come from a middle class family, I can understand their pressure.” Since then there are speculations that the government can give some relief on the tax rate.
New vs Old Tax Regime: What are the tax slabs now?
The government had optionally introduced a new tax regime in the 2020 budget, in which six new slabs were introduced – 5%, 10%, 15%, 20%, 25%, and 30%. There are three slabs in the old slab 5%, 20% and 30%, with which all the benefits of tax deduction are available, which are not available in the new tax regime, so many people do not see the new tax regime as tax relief, And most people give preference to the old regime only.
Under the new tax regime,
- There is no tax on annual income of 2.5 lakhs.
- At the same time, 5% tax is levied on income up to 2.5-5 lakhs.
- 10% tax on annual income of 5-7.5 lakhs,
- 15% on income between 7.5 lakh and 10 lakh
- 20% tax between 10 to 12 lakh income
- Between 12.5 Lakh to 15 Lakh 25%
- And income above 15 lakhs is taxed at 30% annually.
The government has left it up to the taxpayer that under which tax slab they file their returns. In such a situation, when Finance Minister Nirmala Sitharaman will be presenting the budget on February 1, all the hopes of the middle class will rest on the relief in tax cuts.
