The exemption
limit for the general category of individual taxpayers has been enhanced to Rs.
2,00,000 from Rs. 1,80,000 in the General Budget
2012-13, presented by the Union Finance Minister Shri
Pranab Mukherjee in the LokSabha here today. This measure will provide tax relief uptoRs. 2,000 to every taxpayer in this
category.
The
Finance Minister, Shri Mukherjee
introduced the DTC (Direct Taxes Code) rates for personal income tax, marking
progress in the direction of movement towards DTC and GST (Goods and Services Tax).
It has also been proposed to raise
the upper limit of 20 per cent tax slab from Rs. 8 lakh
to Rs. 10 lakh. The proposed personal income tax
slabs are:
|
Income
uptoRs. 2 lakh
|
Nil
|
|
Income
above Rs. 2 lakh and uptoRs.
5 lakh
|
10
per cent
|
|
Income
above Rs. 5 lakh and upto
Rs.10 lakh
|
20
per cent
|
|
Income
above Rs. 10 lakh
|
30
per cent
|
In another relief to the individual
taxpayers, a deduction of uptoRs. 10,000 has been proposed for interest from savings bank accounts.
This would help a large number of small taxpayers with salary incomes uptoRs. 5 lakh
and interest from savings bank accounts uptoRs.
10,000 as they would not be required to file income tax returns.
It has also been proposed to allow
deduction of Rs. 5,000 for preventive health check up.
For senior citizens not having
income from business, it has been proposed to exempt them from payment of
advance tax.
***
DSM/AG/DB/2