Changes in union budget 2024-25

Budget 2024 Live Updates : Finance Minister Nirmala Sitharaman presents her seventh consecutive Union Budget 2024-25, becoming the first finance minister to present seven consecutive budget speeches, surpassing former Prime Minister Morarji Desai’s record.

As part of the Union Budget 2024–2025, Finance Minister Nirmala Sitharaman released updated income tax slabs under the new tax system. The new tax structure raises the tax exemption threshold to ₹3 lakh and decreases the number of tax slabs to five. The goal of this action is to help taxpayers by streamlining the tax code.

For Budget 2024 live update follow official website of finance minister.

Revised tax rate under New Tax Regime :

up to ₹3 lakh: No tax
Income from ₹3 lakh to ₹6 lakh: 5%
Income from ₹6 lakh to ₹9 lakh: 10%
Income from ₹9 lakh to ₹12 lakh: 15%
Income from ₹12 lakh to ₹15 lakh: 20%
Income above ₹15 lakh: 30%

These changes aim to simplify the tax structure and provide relief to taxpayers in Budget 2024 live updates.

What deductions are available under the new regime?

Budget 2024 live updates : The available deductions and exemptions under the new tax regime are more restricted than under the previous one.

The following are some of the major deductions you are eligible to claim:

Standard Deduction: ₹50,000 for salaried individuals;

Family Pension: ₹15,000 or 1/3rd of the pension, whichever is lower;

Employer’s Contribution to NPS: Deduction under Section 80CCD(2);

Interest on Home Loan: Deduction for interest on a home loan for a let-out property under Section 24(b);

Agniveer Corpus Fund: Deduction for the amount paid or deposited under Section 80CCH(2).

But under the new system, a number of popular exemptions and deductions are no longer available, including the following:

Section 80C (except from the Agniveer Corpus Fund), Section 80D, Section 80E, and House Rent Allowance (HRA), Leave Travel Allowance (LTA), and others.

How will this impact my overall tax liability?

Budget 2024 live update : Interim Budget 2024-25

The impact of the new tax slabs on your Your total income and the amount of allowable deductions will determine your overall tax obligation.

Here’s a simplified explanation of it: Determine Your Total Income: Add up all of your revenue streams, including interest, rental income, and pay.

Use the Updated Tax Slabs: Based on your overall income, determine your tax burden using the updated tax slabs.

Take Subtractions: Take out any deductions that are allowed under the new system (such as the employer’s NPS contribution and the standard deduction).

For instance, if ₹10 lakh is your total income:

Income up to ₹3 lakh: No tax

Income from ₹3 lakh to ₹6 lakh: 5% of ₹3 lakh = ₹15,000

Income from ₹6 lakh to ₹9 lakh: 10% of ₹3 lakh = ₹30,000

Income from ₹9 lakh to ₹10 lakh: 15% of ₹1 lakh = ₹15,000

Total tax = ₹15,000 + ₹30,000 + ₹15,000 = ₹60,000

any eligible deductions (e.g., standard deduction of ₹50,000):

Taxable income = ₹10 lakh – ₹50,000 = ₹9.5 lakh

Recalculate tax based on ₹9.5 lakh.

I can assist you in calculating a more precise estimate if you provide me specifics about your income and deductions.

for more intresting update follow our official website.

Union Budget 2024-25 : The Union Budget 2024–25 will be introduced in the Lok Sabha tomorrow, July 23, at 11 AM, by Finance Minister Nirmala Sitharaman. She is presenting her budget for the seventh time in a row.

Important Sector Expectations in Union Budget 2024-25 :

Income Tax: Increasing the exemption and standard deduction amounts may be possible.

– The creation of a new tax band with a 25% rate for incomes between ₹15 lakh and ₹18 lakh.

2. Real Estate: Increasing from ₹2 lakh to ₹5 lakh the interest deduction cap on house loans under Section 24B.

– Cutting the current 24-month holding term for capital gains on real estate to 12 months .

3. Industries and MSMEs: Give attention to clean technology and provide startup and MSMEs with help.

What are the important change in Union Budget 2024-25 :

Union Budget 2024-25 : important changes

Finance Minister Nirmala Sitharaman unveiled the Union Budget 2024–25, which features a number of significant projects and adjustments in a number of different areas. The following are some salient points:

Income Tax: Novel Tax Structures creation of a new tax band with a 25% tax rate for incomes between ₹15 lakh and ₹18 lakh.

Increased Exemptions: To help taxpayers, higher standard deductions and exemption ceilings have been implemented.

Healthcare: Greater Funding: A notable increase in funding has been made available for public healthcare, which includes immunization and disease control initiatives.

Infrastructure Improvements: Funds should be allocated to improving the healthcare system, particularly in rural regions.

Real Estate:

Interest Deduction: Increasing from ₹2 lakh to ₹5 lakh the maximum interest deduction allowable for housing loans under Section 24B.

Capital Gains: Cutting the current 24-month holding period for capital gains on real estate to a 12-month period.

Sectors and MSMEs: Assistance for New Businesses increased assistance for MSMEs and startups with an emphasis on clean technologies.

Tax Benefits: There may be tax advantages to promote investment in and innovation within the healthcare R&D sector.

Agriculture: Support & Subsidies:

More funding is available for fertilizer, and sustainable farming methods are encouraged.

Irrigation Projects: Financial investments made in irrigation projects to increase farmers’ access to water.

Education: Digital Infrastructure: Making investments to improve e-learning and online education platforms .

Funding for scholarships and educational initiatives for kids from disadvantaged backgrounds should be increased.

Environment:

Green Initiatives: Encouragement of carbon emission reduction and renewable energy projects.

Clean Technologies: Financial incentives for different industries to adopt clean technologies.

These adjustments are meant to promote sustainable development, enhance public services, and accelerate economic growth.

What are the expectations for healthcare?

For the healthcare sector, the Union Budget 2024-25 is expected to focus on several key areas:

1. Increased Funding : – Significant boost in allocations for public healthcare, including vaccination and disease control programs .

2. Research and Development :

– Enhanced support for healthcare R&D, with potential tax benefits to encourage innovation and investment .

3. Infrastructure Upgrades :

– Investments in upgrading healthcare infrastructure, particularly in rural and underserved areas .

4. Non-Communicable Diseases (NCDs) :

– Increased funding for screening and diagnostic programs targeting NCDs like cancer and cardiac ailments .

5. Public-Private Partnerships (PPP) :

– Optimizing PPP models to ensure high-quality healthcare outcomes.

6. Tax Reforms :

– Proposals for 0% GST on diagnostic services and refunds for GST paid on input tax credits to reduce costs and improve accessibility .

These measures aim to enhance the overall quality, accessibility, and affordability of healthcare in India.

For more intresting update follow our official website.

Budget 2024 Live Updates: FM Nirmala Sitharaman announces revised rate slabs under new tax regime