The new tax system includes a variety of adjustments to the income tax brackets, as revealed by Finance Minister Nirmala Sitharaman. Taking into account all exemptions, the new tax system would result in a person owing zero tax on income up to Rs 7 Lakh. Under the new system, a single taxpayer with a yearly income of Rs 9 lakh would pay only Rs 45,000. Under the new system, a taxpayer will only have to pay 5% of their income. In the new tax system, an individual may deduct Rs 52,525 automatically. The new tax system, the FM said, will serve as the “default regime.”
New income tax slabs 2023 – 24:
Upto Rs3lakh income there is0%or NILtax
From Rs 3 lakh to Rs 6 lakh, the tax rate is 5%
From Rs 6 Iakh to Rs 9 lakh, the tax rate is 10%
From Rs 9 lakh to Rs 12 lakh, the tax rate ¡s 15%
From Rs 12 lakh to Rs 15 lakh, the tax rate is 20%
Above Rs 15 lakh, the tax rate is 30%
Finance minister Nirmala Sitharaman began the presentation of the last complete Budget of the Modi administration by saying, “This is the first Budget of Amrit Kaal.” The Indian economy has been singled out as a success story, the FM added. India’s GDP growth rate of 7% in the current fiscal year is the highest among major countries. Sitharaman stated in her budget address that the Indian economy is on the right track and has a bright future ahead of it.
The current GDP per capita is Rs 1.97 Iakh, which is an all-time high. While Sitharaman noted in her Union Budget address that India’s economy has expanded from the world’s 10th to the world’s 5th biggest in the recent 9 years.
The presentation of the India Budget 2023 comes as the world’s leading advanced nations struggle with weak growth and face the prospect of a recession. Despite this, the Economic Survey predicts that India’s GDP will rise by between 6% and 6.8% in the next year, keeping it at the top of the list of fastest-growing economies. The Survey also notes that India has fully recovered from the shock of the Covid-19 outbreak, which is encouraging news for the country’s GDP development prospects.
There has never before been a capital spend of Rs 2.40 lakh crore for Indian Railways. According to Sitharaman, this is the largest ever investment in the railway system.
Minister of Finance Nirmala Sitharaman has promised a massive increase in capital spending. The Union Budget increased capital spending by 33%, bringing the total to Rs 10 lakh crore. The implication for GDP is 3.3%. In addition, the EM has declared a significant expansion of the PM AwaasYojana. Sithraman outlined new initiatives for agriculture, fisheries, and indigenous communities in her budget statement, and she emphasised the continuance of the food security programme for another year.
But Sitharaman also has the important responsibility of establishing a realistic road plan to reduce the budget deficit down further in the future years, closer to the ERBM objective, while still retaining the aim of 6.4%.
