“The new structure will substantially reduce the taxes of the middle class and leave more money in their hands, boosting household consumption, savings and investment”.

Reaffirming Government’s commitment to the philosophy of “trust first, scrutinize later”, the Union Budget 2025-26 has reposed faith in the Middle class and continued the trend of giving relief in tax burden to the common tax–payer. Presenting the Budget in the Parliament today, Union Minister for Finance and Corporate Affairs, Smt. Nirmala Sitharaman proposed an across-the-board change in tax slabs and rates to benefit all tax-payers.

Reposing faith on middle class in nation building, the Union Budget 2025-26 proposes new direct tax slabs and rates under the new income tax regime so that no income tax is needed to be paid for total income upto ₹ 12 Lakh per annum, i.e. average income of Rs 1 Lakh per month, other than special rate income such as Capital Gain. Salaried individuals earning upto ₹ 12.75 Lakh per annum will pay NIL tax, due to standard deduction of ₹ 75,000. Towards the new tax structure and other direct tax proposals, Government is set to lose revenue of about ₹ 1 lakh crore.

Under the guidance of Prime Minister Shri Narendra Modi, the Government has taken steps to understand the needs voiced by the people. The direct tax proposals include personal income tax reform with special focus on middle class, TDS/TCS rationalization, encouragement to voluntary compliances along with reduction of compliance burden, ease of doing business and incentivizing employment and investment.

The Budget proposes revised tax rate structure under the new tax regime as follows;

Total Income per annum	Rate of Tax
₹ 0 – 4 Lakh	NIL
₹ 4 – 8 Lakh	5%
₹ 8 – 12 Lakh	10%
₹ 12 – 16 Lakh	15%
₹ 16 – 20 Lakh	20%
₹ 20 – 24 Lakh	25%
Above ₹ 24 Lakh	30%

Tax Reforms to boost double digit GDP growth in India - Income Tax Exemption Budget 2025 wish list

Strong foundation for building a developed India. Budget 2025 wish list

The Budget adopted "seven priorities" - inclusive development, reaching the last mile, infrastructure and investment, unleashing the potential, green growth, youth power and financial sector - to guide India through the "Amrit Kaal"
The seven priorities- 7 pillars of saptarishi

Tax Benefits Increase for Salaried Employee -Old Tax Scheme

1. Hike in Standard Deduction: limit need to be increased to INR 3,00,000 in 2025

2. Relief under Section 80C: Section 80C. The expenditure on life insurance premiums, tuition fees, principal repayment of home loans have also substantially increased. Hence, often, most of the individuals exhaust the limit of Rs 1.5 lakh.Increase in Section 80C limit to 3 Lakhs

3. Health Insurance: deductions are covered under Sections 80D, 80DD and 80DDB, The maximum amount allowed for preventive health check-ups is Rs 5,0000, which is included in the overall limit of Rs 25,0000, Section 80D limit should be increased from Rs 25,0000 to Rs 50,0000 for individuals and from Rs 50,0000 to at least Rs 75,0000 for senior citizens.

4. Enhance the deduction limit for medical insurance premiums. Proposing an increase from ₹25,000 to ₹50,000 for individuals and from ₹50,0000 to ₹75,000 for senior citizens

5. Tax exemption limit on savings accounts under Section 80TTA - 10000 to 50000/-

6. Home buyers are anticipating increased tax benefits in the upcoming budget. One key expectation is to elevate the current Rs 2 lakh tax rebate on housing loan interest under Section 24 of the Income Tax Act to a minimum of Rs 5 lakh.

7. NPS limit 80CCD (1B) Employee contribution need to increase from 50000 to 1.5 Lakhs

8. NPS limit 80CCD (2B) Employee Contribution need to increase from 10% of basic to 20 % of Basic

As per new tax scheme: This will improve the individual's buying power

1. Till 10 Lakh no direct tax

2. Above 10 lakhs Income flat 15% income tax

3. Relief on personal income taxes. maximum tax rate of 30 per cent be reduced to 15 % Flat , This will improve the individual's buying power.

Budget for Farmers: Agri Industry, Farmer Bodies
Tax Benefits Increase for Small Business.

1. NPS option of professional/ Self employer need to introduced till 5 lakhs annually max.
Tax Benefits Increase and Growth for startup and Business.

1. Zero Tax Policy for next 5 Years (Till 2030) - No Direct tax on income - GST Rate reduce 18% to 2% only

2. Trade Free Policy in India

Free Trade: FTA Expansion: Fast-track bilateral free trade agreements with the EU, Gulf Cooperation Council (GCC), and ASEAN countries.
Ease of Doing Business: Startup-friendly Taxation: Exempt startups from angel tax and ease compliance on ESOP taxation.
Food & Restaurant: Simplify GST for Restaurants: Reduce GST slabs on small and mid-sized restaurants and offer input tax credit benefits.
Agriculture: Expand Farmer Credit Access: Launch a simplified and low-interest credit scheme with digital disbursement to small and marginal farmers.
Real Estate: Provide Interest free home loan for 5 years for new property purchase ( up to 2Cr.) or only interest rate equal to RBI base rate
Automobile: Interest free or Interest rate equal to RBI base rate on all auto vehicle loan up to 25 Lakhs
Health and vehicle Insurance : zero % gst on insurance.
Make in India: Tax Holidays for Manufacturing Hubs: Offer 5–10 years of tax holidays for companies setting up manufacturing units in underdeveloped regions

Increasing transparency
Real Estate transparency
1. डिलीवरी संबंधित समय को लेकर बिल्डर advance bank गारेंटी दे।

2. ताकि प्रोजेक्ट डिले होने के केस में बैंक से पेनाल्टी buyer को मिलना शुरू हो जाए। किसी भी तरह के court केस के इनोसेंट buyer ओर investor को फालतू चक्कर न लगना पडे।

अथॉरिटी एडवांस बैंक गारेंटी ले कर कंडीशनल occupancy certificate दे जिससे बिल्डर के प्रोजेक्ट में काम पूरा करने के लिए बैंक पैसा दे सके। फसे हुए फ्लैट sell purchase शुरू हो जाए। 6 महीने तक फ्लैट sell कर ट्रांसफर करना पॉसिबल हो।

कंडीशनल occupancy certificate के बेस पर maximum 1 साल में बुएर रजिस्ट्री कराए।

सरकार भी एक कदम आगे बढ़ाए।

3. जो भी घर आने वाले एक साल में मिलने वाले है उनके रजिस्ट्री में होने वाले stamp duty पर 1%की अतिरिक्त छूट दे। जो भी Buyer Stamp खरीदकर व फुल आधार व बैंक detail के साथ अन्य online detail के साथ रजिस्ट्री डेप्टर्टमेंट में जमा कराने पर OCCUPANCY सर्टिफिकेट व कम्पलीशन सर्टिफिकेट मिलने तक 5 से 6% का फिक्स्ड डिपाजिट intrest pay करे डायरेक्ट बैंक एकाउंट में।u

Single flat wise oc दी जाए।

बिल्डर्स को मोटीवेट करने के लिए ओर फ्लैट की डिलीवरी फ़ास्ट करने के लिए

4. आने वाले 3 से 6 महीने में फ्लैट डेलिवर्ड कर रजिस्ट्री करवाने पर बिल्डर ओर buyer को 10%की income tax में अतिरिक्त छूट दी जाए।

Reducing Corruption by technology

1. प्रोजेक्ट डिले होने के केस में बैंक से पेनाल्टी buyer को मिलना शुरू हो जाए। किसी भी तरह के court केस के इनोसेंट buyer ओर investor को फालतू चक्कर न लगना पडे।

2. Advance Bank Guarantee: Builders should provide an advance bank guarantee could be a mechanism to instill confidence in buyers and ensure the completion of projects.

3. Transparency Solutions: The emphasis on transparency is crucial in preventing corruption and ensuring fair practices. Implementing transparent processes, documentation, and transactions can build trust among stakeholders.

4. Combating Corruption: Tackle corruption by promoting transparency. promoting transparency to mitigate corruption risks. incentivizing timely transactions, ensuring accountability

Bossing Industries growth by reducing taxes and providing tax benefits
1. GST rate cut from 18% to 5%
2. Stamp Duty Discount: A 1% additional discount on stamp duty for registrations completed within 6 months could serve as an incentive for timely property transactions.
9. Income Tax Benefits: Both builders and buyers receiving a 10% income tax discount for property transactions completed within 6 months could further encourage prompt real estate dealings.

अथॉरिटी एडवांस बैंक गारेंटी ले कर कंडीशनल occupancy certificate दे जिससे बिल्डर के प्रोजेक्ट में काम पूरा करने के लिए बैंक पैसा दे सके। फसे हुए फ्लैट sell purchase शुरू हो जाए। 6 महीने तक फ्लैट sell कर ट्रांसफर करना पॉसिबल हो।

Reducing scope of double taxation

LTA (Leave Travel Allowance)

Announcement of tax benefits on LTA (Leave Travel Allowance) every year, benefits need to include Hotel Stay, travel by Train, bus, taxi, airplane, Meal at hotel, restaurant food( where ever GST bill available to avoid double taxation on same amount) LTA benefit need to increase up to 200000 lakhs max per family per year. Or 20% of CTC

Increasing Employment:

IPL की तरह सभी MNC में २०% Foreign employee होने से ही सही तालमेल बैठेगा और रियल लेवल में इंडिया में इंजीनियरिंग हब, मैन्युफैक्चरिंग हब बन पाएगा। २०% Foreign employee की शर्त सभी MNC पर पालिसी लेवल पर लागू होनी चाहिए जहाँ सभी MNC २०% एम्प्लोयी इंडिया और other लोकेशन पर इंडियन के साथ एक्सचेंज करेगी ताकि सही मायने में ट्रू पार्टनरशिप डेवेलोप हो पाए

BUDGET

Slab Rate New Tax Slab Old Tax Slab
Up to INR 250000 0 0
INR 250001 to INR 5,00000 0 5%
INR 5,00,001 to INR 7,50,000 10% 20%
INR 7,50,001 to INR 10,00,000 15% 20%
INR 10,00,001 to INR 12,50,000 20% 30%
INR 12,50,001 to INR 15,00,000 25% 30%
Above INR 15,00,001 30% 30%

Ref: https://navbharattimes.indiatimes.com/
नए विकल्प का चयन करते हैं तो उन्हें निम्नलिखित इग्जेंप्शन से हाथ धोना पड़ेगा
1. वेतनभोगी कर्मचारियों को मिलने वाला लीव ट्रैवेल अलाउंट इग्जेंप्शन।
2. वेतनभोगी कर्मचारियों को सैलरी के हिस्से के रूप में मिलने वाला 'हाउस रेंट अलाउंस इग्जेंप्शन'।
3. सैलराइड टैक्सपेयर्स को मिलने वाला 50 हजार रुपये का स्टैंडर्ड डिडक्शन।
4. आयकर अधिनियम के सेक्शन 16 के तहत इंटरटेनमेंट अलाउंस और एंप्लॉयमेंट/प्रफेशनल टैक्स के लिए डिडक्शन।
5. सेल्फ ऑक्यूपाई या खाली मकान के हाउजिंग लोन के इंट्रेस्ट पर मिलने वाला टैक्स बेनिफिट।
6. इनकम टैक्स के सेक्शन 57 के क्लॉज (iia) के तहत फैमिली पेंशन पर 15,000 रुपये की टैक्स छूट।
7. सेक्शन 80D के तहत मेडिकल इंश्योरेंस पर मिलने वाला डिडक्शन भी क्लेम नहीं कर पाएंगे।
8. सेक्शन 80DD तथा 80DDB के तहत डिसेबिलिटी के लिए मिलने वाला टैक्स छूट भी नहीं ले पाएंगे।
9. सबसे लोकप्रिय टैक्स छूट 80C का फायदा भी नए टैक्स विकल्प में नहीं मिलेगा।
10. सेक्शन 80ई के तहत एजुकेशन लोन पर मिलने वाला टैक्स बेनिफिट भी क्लेम नहीं कर पाएंगे।
11. आईटी ऐक्ट के सेक्शन 80G के तहत चैरिटेबल इंस्टिट्यूशंस को दिए गए दान पर मिलने वाले टैक्स छूट का फायदा भी नहीं मिल पाएगा।

आयकर अधिनियम के चैप्टर 6ए के तहत मिलने वाले तमाम डिडक्शंस जैसे सेक्शन 80C, 80CCC, 80CCD, 80D, 80DD, 80DDB, 80E, 80EE, 80EEA, 80EEB, 80G, 80GG, 80GGA, 80GGC, 80IA, 80-IAB, 80-IAC, 80-IB, 80-IBA, इत्यादि का फायदा आप नए टैक्स विकल्प में नहीं उठा पाएंगे।