Top takeaways from Union Budget for salaried individuals!!!

During the Monsoon Session of parliament on Tuesday, Finance minister nirmala sitharaman delivered the Union Budget 2024–25. Breaking the record set by former prime minister Morarji Desai, who presented six consecutive budgets as finance minister between 1959 and 1964, nirmala sitharaman became the first finance minister to make seven consecutive budget addresses. nirmala sitharaman presented her seventh budget, setting forward a number of priorities for stimulating economic growth and generating enough possibilities. These included employment and skill development, productivity and resilience in agriculture, and services.

"During the Budget presentation in the parliament, Sitharaman stated that India's economic growth is still exceptional amidst global policy uncertainties and will continue to be so in the coming years." "In the present budget, we especially prioritize jobs, skilling, MSMEs, and the middle class." Here, we examine the Union Budget 2024–25 initiatives targeted at salaried individuals and job seekers.

Increase in the standard deduction 

The standard deduction for salaried employees under the new income tax regime will increase by 50% to ₹75,000 from ₹50,000, as revealed by Finance minister nirmala sitharaman in the budget. The term "standard deduction" describes a fixed amount withheld from an employee's annual salary before determining the applicable income tax rate. Interestingly, there has been no announcement addressing the standard deduction under the previous tax system.

New tax slabs for income

Nirmala Sitharaman also announced a relaxation of the income tax slabs under the new tax regime for the current fiscal year in her address announcing the budget. The following are the newly declared income tax slabs:

Up to ₹3 lakh: 0%

₹3 to ₹7 lakh: 5%

₹7 lakh to ₹10 lakh: 10%

₹10 lakh to ₹12 lakh: 15%

₹12 lakh to ₹15 lakh: 20%

Above ₹15 lakh: 30%

She declared, "Under the new tax regime, a salaried employee stands to save up to ₹17,500/-in income tax as a result of these changes."