In the midst of the ever-increasing inflation in the country, the common people are hoping this year also that the central government can give them the relief of exemption on the tax front in the budget.
However, in the last several years, a lot of strictness has been shown by the Ministry of Finance in this regard. On asking questions on non-imposition of tax exemption from the Finance Minister, the answer kept getting that not imposing new tax is also tax exemption. However, with the last full budget before the elections this year, experts are also hopeful about tax exemptions.
He says that due to the increase in inflation, the government can give tax exemption as a relief to the common people. This will put additional spendable amount in the hands of common people. Tax matters expert Devendra Kumar Mishra believes that the government will definitely give relief to the common people this time.
No tax will be charged up to Rs 6 lakh
Income of common people up to Rs 5 lakh can be further increased to Rs 6 lakh tax free. The biggest relief can be found in the head of income of Rs 15 lakh without tax exemption, which is kept in the range of 20 percent. This can be increased up to Rs 17 lakh.
Standard deduction limit will also increase
Apart from this, the government can also increase the standard deduction limit for the salaried class. It can be increased from Rs 50 thousand to Rs one lakh. Also, tax exemption on interest can be 25 thousand.
