Budget 2020: Sitharaman announces big tax relief for income up to Rs 15 lakh

New Delhi: Finance Minister Nirmala Sitharaman on Saturday said those with income between Rs 7.5 lakh and Rs 10 lakh can pay tax at 15 per cent while with income between Rs 10 and Rs 12.5 lakh can pay tax at 20 per cent against 30 per cent earlier.

“We propose to bring a personal income tax regime, where income tax rates will be reduced. In the proposed regime, those with income between Rs 7.5 and Rs 10 lakh can pay tax at 15 per cent against the current 20 per cent,” announced the minister presenting Union Budget 2020-21.

In the new simplified Personal Income Tax regime, she said those with income between Rs 10 lakh and Rs 12.5 lakh will have to pay 20 per cent tax against earlier 30 per cent.

People with income of Rs 12.5 lakh to Rs 15 lakh will have to pay 25 per cent tax against 30 per cent earlier.

Ms Sitharaman said an allocation of Rs 27,300 crore has been made for industry and commerce development.

Process of registration for charity institutions to become completely electronic, she stated.

Govt proposes 100 per cent tax concession to sovereign wealth funds on investment in infra project, she added. (UNI)