Question

What is the standard deduction allowed on income from salaries under New Tax regime of Income Tax as announced in the Union Budget 2024-25?

Q: Answer-What is the standard deduction allowed on income from salaries under New Tax regime of Income Tax as...

The salaried individuals and pensioners can claim a certain amount under standard deduction under Income Tax Act, by default without any investment or spending of money by the taxpayers. The provision was taken down for a number of years and was re-introduced during the Budget announcement in 2018. With effect from FY 2024-25, under the new tax regime , the standard deduction is increased to Rs.75,000 , while salaried taxpayers are eligible for the standard deduction of only Rs.50,000 under the old regime.