The Income tax Budget 2023 India: The Union Budget 2023, presented by the Finance Minister on 1st February 2023, has brought several changes in the income tax laws in India. The government’s main objective behind these changes is to boost the country’s economy and to provide relief to the taxpayers. In this article, we will discuss the major changes in the income tax laws announced in the Budget 2023.
Table of Contents
Income tax Budget 2023 India
1. Increase in the tax slab:
The government has proposed to increase the tax slab for individuals earning between Rs. 10 lakh and Rs. 20 lakh per annum. The tax rate has been reduced from 20% to 15%. This change is expected to provide relief to a significant number of taxpayers and increase their purchasing power.
2.Extension of the tax holiday:
The government has extended the tax holiday for startups for one more year, till 31st March 2024. This will encourage the growth of startups and provide a boost to the entrepreneurship ecosystem in India.
3.TDS threshold limit increased:
The threshold limit for tax deduction at source (TDS) on rent has been increased from Rs. 1.8 lakh to Rs. 2.4 lakh. This change will provide relief to individuals who are paying rent for their residential properties.
4.Introduction of Vivad Se Vishwas Scheme:
The government has introduced a new scheme, Vivad Se Vishwas, to settle the pending tax disputes. Under this scheme, taxpayers can settle their pending tax disputes by paying the disputed amount and the applicable interest.
5.Increase in the deduction limit for health insurance premium:
The government has increased the deduction limit for health insurance premium from Rs. 25,000 to Rs. 50,000 for senior citizens. This change will encourage senior citizens to buy health insurance and ensure their financial security in old age.
Conclusion on Income tax Budget 2023 India
The Budget 2023 has brought several changes in the income tax laws in India, aimed at providing relief to taxpayers and boosting the country’s economy. The changes are expected to have a positive impact on the economy and provide relief to the taxpayers.
Pingback: Merits and Demerits of Union Budget 2023 - Apona News