00:00While presenting the Budget 2025, Finance Minister Nirmala Sitharaman can make big announcements on Income Tax this time.
00:11There is a discussion everywhere that the government can end the old tax regime and there can be only one new tax regime in the country.
00:20The government has also given many indications related to this, but is this really going to happen?
00:25What is the opinion of the experts on this? Let us explain everything to you in detail in this video.
00:31In the last Budget, the Finance Ministry announced that there will be a review of the Income Tax Law in the country.
00:37For this, a formal committee of officials was also formed, whose report will be decided soon.
00:44Apart from this, since the new tax regime has come in the country in 2020, the government has not made any changes to the old tax regime.
00:53The full force of the government is to make the new tax regime popular.
00:57In the last 4 years, the government has worked to increase the limit of fraud from the tax lap and to add standard deduction to it.
01:07In this, there is a possibility that the government will bring some change to the new tax regime this time as well.
01:14In the old tax regime, in 2014, Finance Minister Arun Jaitley increased the limit of 80C to 1.5 lakhs.
01:21After that, the option of Income Tax Rebate was added, but there has been no major change in the old regime since then.
01:28At the same time, the tax experts say that the government's focus is on the new tax regime, so the government can make some changes to it.
01:36This cannot be denied, but it is unlikely that the government will completely end the old tax regime.
01:45For this, the government will have to make a completely new income tax law, which is a time-taking process.
01:51Although it will not happen now, it will happen sooner or later.
01:55Experts also say that the government's attitude towards the new tax regime shows that the government's focus is on it.
02:03The number of taxpayers who adopt this regime is also increasing.
02:07At the same time, there has been no change in the old tax regime since the new tax regime came in.
02:13The reason for this is that the government wants people to tell them their real income, which will make it easier for them to make policies.
02:21There is no deduction in the new tax regime, so it is easy to estimate people's real income.
02:26To popularize the new tax regime, the government has made it a default system.
02:31At the same time, the standard deduction has been added to it, whose limit was initially 50,000 and later increased to 75,000.
02:38In this way, the income of 7,75,000 has become tax-free in this regime.
02:42While in the old tax regime, the limit of tax-free income is 2.5 lakh rupees.
02:47While the government gives tax rebate on the income up to 5 lakh rupees.
02:51In this way, the income up to 5 lakh rupees becomes tax-free.
02:55However, in this tax regime, the taxpayer also gets the benefit of tax deduction by saving, home loan, health insurance, pension, etc.
03:05Due to this, it is not possible to estimate a person's real income.
03:09So, Nirmala Sitharaman will present the budget on 1 February 2025.
03:13And what is your opinion about the tax regime? Give us your opinion in the comment box.
03:18And keep watching Good Returns for such updates.
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