Budget 2025 for Salaried Taxpayers

What's the wishlist for Salaried Taxpayers from the upcoming full Budget for 2025-2026. The Budget will be tabled on February 1 and is likely to focus on boosting consumption and capex. On Financial Express Read More.., we offer you a detailed list of expectation and announcements for Salaried Taxpayers on its dedicated page Who Got What. Navigate through all the declarations at a glance from the current and past Union Budgets on this page.

Budget 2025-26 Announcements for Salaried Taxpayers

Salaried Taxpayers

New tax slabs announced under the new tax regime.
Individuals earning up to Rs 12 lakh will pay NIL tax.
Annual income up to Rs 18 lakh will save up to Rs 70,000 in tax.
Income up to Rs 4 lakh (per annum) – Nil.
Between Rs 4 and 8 lakh – 5%.
Between Rs 8 and 12 lakh – 10 per cent
Between Rs 12 and 16 lakh – 15 per cent
Between Rs16 and 20 lakh – 20 per cent
Between Rs 20 and 24 lakh – 25 per cent
Above Rs 24 lakh – 30 per cent

Who Got What

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Budget Announcements for Salaried Taxpayers in FY2025

Salaried Taxpayers

Relief in standard deduction increased from Rs 50 thousand to Rs 75 thousand.
Big changes in the new tax regime, benefit of Rs 17.5 thousand. No change in the old one.
Income up to Rs 3 lakh is tax free in the new tax regime.
5% income tax from Rs 3 to 7 lakh.
10% income tax from Rs 7 to 10 lakh.
15% income tax from Rs 10 to 12 lakh.
20% income tax from Rs 12 to 15 lakh.
Income above Rs 15 lakh will be taxed at 30%.
20% TDS withdrawn on repurchase of mutual funds or UTIs.

Budget Announcements for Salaried Taxpayers in FY2024

Salaried Taxpayers

Taxpayers earning up to Rs 7 lakhs will not have to pay taxes as compared to the current limit of Rs 5 lakhs.
Surcharge on annual income above 5 crores reduced from 37% to 25%.
Each salaried person with an income of Rs 15.5 lakhs or more to benefit by Rs 52,500.

Budget Announcements for Salaried Taxpayers in FY2023

Salaried Taxpayers

Income tax rates for both individuals and corporations remain unchanged.

Budget Announcements for Salaried Taxpayers in FY2022

Salaried Taxpayers

Corporate tax rate reduced significantly to become one of the world's lowest.
Relief provided to small taxpayers by enhancing rebates, easing the tax burden

Budget Announcements for Salaried Taxpayers in FY2021

Salaried Taxpayers

Changed tax slabs by raising income tax slabs benefitting the salaried class who earn up to Rs 15 lakh a year.
Key exemptions were removed such as home loan interest, HRA, LTA, Health insurance, standard deduction

Budget Announcements for Salaried Taxpayers in FY2020

Salaried Taxpayers

Standard Deduction for salaried individuals increased to Rs. 50,000 from Rs. 40,000 .
TDS threshold on interest earned from bank/post office deposits raised to Rs. 40,000 from Rs. 10,000.