Budget 2023: Amid rising inflation in the country, ordinary people are still hopeful that the central government can give them exemption relief on the tax front in the budget. However, in recent years, the Ministry of Finance has shown great rigor in this regard. When asking questions about the non-imposition of tax exemption from the Minister of Finance, the answer remained that not imposing new taxes is also a tax exemption.
Investors started buying shares as soon as they heard the news of a Rs 250 crore investment.
However, with the last budget completed before this year’s elections, experts are also hopeful about tax breaks. He says that due to rising inflation, the government can give tax breaks as a relief to ordinary people. This will put an additional spendable amount in the hands of ordinary people. In view of the increase in diseases and their expenses after the corona epidemic, the government may increase the scope of the tax exemption available in lieu of medical expenses. Along with this, the scope of tax relief available through investment under 80C may also increase. At the same time, to promote investment in the stock market, the capital gains tax on the stock market can be reduced. In the opinion of experts, it will be an effort on the part of the government to give the maximum amount spendable in the hands of ordinary people. Increase people’s spending capacity. Because of this, a large part can also return to the public treasury in the form of other taxes. In such a situation, the government will not have to put a large burden on the treasury to grant the tax break.
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Possible increase in the minimum income tax limit
Tax expert Devendra Kumar Mishra believes that the government will definitely provide relief to ordinary people this time. The income of ordinary people up to Rs 5 lakh can be further increased to Rs 6 lakh tax free. The biggest relief can be found in the head of income of Rs 15 lakh without tax exemption, which remains in the range of 20 per cent. This can be increased up to Rs 17 lakh.
interest repayment is expected to increase
Apart from this, the government can also increase the standard deduction limit for the salaried class. This figure can be increased from Rs 50 thousand to Rs one lakh. Also, the interest earned can be increased from Rs 50,000 to Rs 1 lakh for seniors and Rs 25,000 for ordinary citizens.
old tax slab
Income Tax Rate (in %)
Rs 2.50 lakhs 0
2.50 to five lakhs 05
5 to 10 lakhs 20
more than 10 lakhs 30
new tax slab
Income Tax Rate (in %)
2.50 lakhs 0
2.50 to five lakhs 05
5 to 7.50 lakhs 10
7.50 to 10 lakhs 15
10 to 12.50 lakhs 20
12.50 to 15 lakhs 25
more than 15 thousand rupees 30
(Amount in rupees, tax rate in percent)