Income Tax Budget 2024-25: New tax slabs announced

23 Jul 2024 , 01:49 PM

Finance Minister Nirmala Sitharaman delivered the Union Budget 2024-25 today, with high expectations from taxpayers and salaried employees.

What FM said about capital gains:

Short-term gains on some financial assets will now be taxed at 20%, whilst gains on all other financial assets and non-financial assets will continue to be taxed at the corresponding rate.

Long-term profits on all financial and non-financial assets, however, will receive a tax rate of 12.5%.

Listed financial assets held for more than a year will be categorised as long-term, whilst unlisted financial assets and all non-financial assets must be held for at least two years to be classified as long-term.

Finance Minister Sitharaman has proposed increasing the deduction on family pension for pensioners from ₹15,000 to ₹25,000.

The Finance Minister introduced new regime slabs in the Budget 2024-25.

0 to ₹3 lakhs: Nil

₹3–7 lakhs: 5%

₹7-10 lakhs: 10%.

₹10-12 lakhs: 15%.

₹12-15 lakhs: 20%.

Above ₹15 lakhs, 30%

Finance Minister Nirmala Sitharaman announced that the standard deduction under the new tax regime has been enhanced from ₹50,000 to ₹75,000.

FM Sitharaman promised a full revision of the Income Tax Act 1961. This would reduce disagreements and litigation, she claimed, and it is expected to be done in six months.

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