Union Budget 2024: Taxpayers expect 4 types of tax exemptions, may be announced in the budget on February 1
[ad_1]
The interim Budget 2024 will be presented on February 1, with just a few days to go. In such a situation, it is expected that the government can make changes in four tax rules.
Union Budget 2024:Only a few days are left for the presentation of Interim Budget 2024. Union Finance Minister Nirmala Sitharaman will present the interim Budget 2024 of the Modi government on February 1. The Finance Minister has already made it clear that no special announcement will be made in this time’s budget. But people have some expectations regarding tax exemption, which can be announced in the next budget.
People are hopeful that in this budget, the Finance Minister will increase the limit of tax deduction under Section 80C to impose tax on withdrawal of National Pension Scheme (NPS) deposits. At the same time, separate deduction for repayment of home loan and exemption in Section 80C and 80D for salaried employees are expected to increase. Let us know which four rules related to tax are expected to change.
Currently, as per section 80CCI, the maximum deduction available under section 80C, 80CCC and 80 CCD(1) is Rs. Up to Rs 1.50 lakh. In 2014, this limit of Rs 1.50 lakh was revised to Rs 1 lakh. In such a situation, it is believed that it can be up to Rs 2.50 lakh.
Under the old tax system, there has been no change in the tax slabs since 2014, due to which the tax burden on people is increasing. In such a situation, there is an expectation of change in the tax slab under the old tax system.
Current tax slab under the old tax system
No tax on income up to Rs 3 lakh. 5% tax will be levied on income up to Rs 3-6 lakh. 10 percent tax will be levied on income up to Rs 6-9 lakh. 15% interest will be charged on income. Rupee. Between Rs 9-12 lakh. 12-20% interest on income up to Rs 15 lakh and 30% tax on income of Rs 15 lakh and above.
Demand for tax exemption on NPS withdrawal
At present, there is no tax on withdrawal up to 60 percent from NPS. Withdrawal up to 60 percent of the amount is allowed on maturity. Annuity is taken from the remaining 40 percent amount. This comes under annuity tax. In such a situation, there is a demand to bring it under the ambit of tax exemption.
Under Section 80C of the Income Tax Act, the principal amount of home loan for residential building is repaid from taxable income of Rs. Deduction up to Rs 1.5 lakh is allowed. However, you can take this deduction under any other scheme including life insurance scheme, government scheme. In such a situation, it is expected that to provide relief to the people, separate tax exemption on home loan repayment can be arranged.
[ad_2]
Source link
