Follow by Email

Thursday, July 10, 2014

Budget 2014-15 : Income Tax exemption limit raised to Rs.2.5 lakh and also raised to Rs 1.5 lakh under Section 80C

NEW DELHI: In a marginal relief to the individual taxpayers, Finance Minister Arun Jaitley on Thursday increased the income tax exemption limit from Rs 2 lakh to Rs 2.5 lakh for citizens up to 60 years.

For senior citizens the limit was hiked to Rs 3 lakh. The tax rates were kept unchanged by Jaitley.

New tax slabs: Upto 2.5 lakh - NIL; Above 2.5-5 lakh - 10%; Rs 5-10 lakh - 20%; Above Rs 10 lakh - 30% ; SrCitizen: Above 60(Upto 3lakh)/Above 80(Upto Rs 5 lakh)-NIL

In Budget 2013-14, the government had made the tax slabs same for men and women. Those with taxable income above Rs 2 lakh but up to Rs 5 lakh have to pay tax at 10%. For those with taxable income of more than Rs 5 lakh but less than Rs 10 lakh, the tax rate is 20%. Income above Rs 10 lakh is taxed at 30%.

The government will enhance the Public Provident Fund (PPF) savings limit from Rs 1.1 lakh to Rs 1.5 lakh, said Jaitley. Looking to improve the EPFO facilities for the citizens of India, Jaitley said, "EPFO will be improved via computerization." "We will set up a panel to examine unclaimed PFs, POs amounts," he said.

Moving towards NDA government's 'Swachh Bharat Abhiya', Jaitley said, "Swachh Bharat Abhiyan, the need for sanitation is of utmost importance."

"Although the central government is providing resources within its mean, the task of total sanitation cannot be achieved without the support of all," Jaitley said. "The government intends to cover every household by total sanitation by the year 2019," Jaitley said.

"We want to celebrate the 150th year of the birth anniversary of Mahatama Gandhi through the Swachh Bharat Abhiyan," Jaitley said.

Moving ahead on the NDA government's stated mission of electricity for all, Finance Minister Arun Jaitley in his maiden budget speech said, "We are committed to provide 24 by 7 power to all households."


No comments:

Post a Comment