Budget 2024 – Income Tax Slab Rates FY 2024-25

The Income Tax Slab and Rates for FY 2024 -25 are changed for the new tax regime. The Income tax slab for the old tax regime remains the same as that of FY 2023-24. Change in Income tax slab and standard deduction announced in budget 2024 by the finance minister Nirmala Sitharaman in her speech. The standard deduction limit is raised for salaried from Rs.50000 to Rs.75000 making an increase of Rs.25000. This means salaried individuals can save Rs.17500 under the new tax regime. 

It is important to note that many changes were made in Budget 2023 in the new tax regime. The income tax slab changes announced in Budget 2023 are effective for the financial year between April 1, 2023, and March 31, 2024, and are set to remain unchanged for FY 2024-25 (April 1, 2024 to March 31, 2025).

We follow a progressive tax system in India, where your income levels determine your tax rates. This means the income tax rate changes and is determined by income bracket. The applicability of these slabs is influenced by factors such as residential status, income amount, type of taxpayer, and age.

Income Tax Slab Rates FY 2024-25

In Indian taxation, the responsibility falls upon the shoulders of taxpayers to contribute their share based on the income tax slab they inhabit. This intricate structure comprises diverse income ranges, each associated with distinct tax rates. As one ascends the income ladder, so do the corresponding tax rates. The ingenious introduction of the slab system aims at fostering an equitable tax regime within the nation. Notably, alterations to the income tax slab are meticulously executed in alignment with the annual budget proclamation. Embracing these changes ensures a harmonious fiscal landscape and underscores the collective commitment to a progressive and just taxation system. There are three categories under which income tax is divided:-

• Individuals who are less than 60 years
• Senior citizens with age of 60 to 80 years
• Super senior citizens with an age of above 80 years.

Income Tax Slab Rates FY 2024 – 25 – Old Tax Regime

Tax slabs for Individuals below 60 years

Tax Slab for Senior Citizen with age of 60 to 80 years

Tax Slab for Super Senior Citizen with an age above 80 years

Cess will be levied at 4% on the income tax amount. Surcharges will be levied on incomes above Rs 50 lakh.