Final budget for F.Y. 2024-25 was presented in Parliament of India on 23rd July, 2024. Lots of things were proposed including high expenditure for promotion of MSME enterprises and focus on internship for youth. So, let us discuss its key highlights which can impact a common man:
- Income tax slabs were slightly revised.
| New Tax Regime (till F.Y. 2023-24) | New Tax Regime (for F.Y. 2024-25) |
| 0 to 3 lac = 0% | 0 to 3 lac = 0% |
| 3 to 6 lac = 5% | 3 to 7 lac = 5% |
| 6 to 9 lac = 10% | 7 to 10 lac = 10% |
| 9 to 12 lac = 15% | 10 to 12 lac = 15% |
| 12 to 15 lac = 20% | 12 to 15 lac = 20% |
| Above 15 lac = 30% | Above 15 lac = 30% |
By looking at above slabs, one can get the idea there is hardly any relief to middle class. However, one major benefit that is given to salaries taxpayers is that the limit of standard deduction on salary is increased from Rs. 50 thousand to Rs. 75 thousand.
On family pension, deduction is increased from existing Rs. 15,000/- to Rs. 25,000/-.
Also, Long-Term Capital Gain has increased from existing 10% to 12.5%. However, the deduction on LTCG has also increased from Rs. 1,00,000/- to Rs. 1,25,000/-.
- Basic Custom Duty on Mobile phone, chargers is reduced to 15%. So, they would become cheaper.
- Limit of Mudra loan for MSME enterprises extended from existing Rs. 10 lac to Rs. 20 lac. It will lead to easy financing for them.
- E-vouchers will be given to 1 lac students every year with interest relief of 3% of loan amount.
- Hostels will be constructed for working women to promote their participation in workforce.
- There will be provision for voluntary closure of Limited Liability Partnerships which is currently lacking in the Act.
- A scheme for rooftop solar panels was introduced. It will benefit 1crore households by providing them electricity free of cost up to 300 units per month.
There are many other things including expenditure provisions in the budget. However, the above given are key provisions for a normal person like us.
