Finance Minister Pranab Mukherjee Monday proposed to enhance the income tax exemption limit to Rs.1.8 lakh (Rs.180,000 or $4,000) for the next financial year, from Rs.1.6 lakh now.
He announced this while presenting the federal budget for the next fiscal.
The minimum alternate tax levied on the corporate sector has, however, been increased to 18.5 percent from 18 percent and the surcharge has been lowered to 5 percent from 7.5 percent.
Mukherjee also said he was proposing a very senior category of income tax payers, above the age of 80, for whom the tax exemption will be up to Rs.5 lakh. The qualifying age limit for senior citizens was being lowered to 60 years from 65 years.
1 comment:
ts only the People working in Service sector (both Public and Private) that r majorly affected by such decisions. People in Private business suffers least from it. And now they thinking of raising xemption limit to 2lacs. Isnt this a childish act? Looks as if the Government is not aware of the inflation tht it has imposed in India. Tax limits should go in-hands with inflation rate considering some lower watermark.
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