Narendra Modi government gave good news before Budget: Few people don’t have to pay income tax

Income Tax Slab: Finance Minister Nirmala Sitharaman will present the General Budget for the year 2023 on February 1. All eyes are now on whether Nirmala Sitharaman will give tax breaks to employees or not. But before the budget, the finance minister gave a huge gift to the senior citizens. The rules have been amended for this. The Ministry of Finance has fulfilled its promise to the senior citizens and informed about this through a tweet. Narendra Modi government gave good news before Budget: Few people don’t have to pay income tax.

Here’s what the tweet said

According to the tweet, senior citizens above 75 years of age, have only pension and bank interest as their source of income. Apart from this they are not required to file income tax. Ahead of Budget 2023, discussions are underway on income tax relief. Employees are waiting for relief in income tax slab. But before that, there is good news for senior citizens.

Tax exemption will be available

The finance ministry said in its tweet that tax exemption has been given to senior citizens above 75 years of age. It is said that this relief will be given to those who have pension or interest income from banks. For this the government has added a new slab in the Income Tax Act. A new section 194-P has been inserted by amending the provisions of the Income Tax Act, 1961 to benefit citizens above 75 years of age. Banks have also been informed about this amendment.

The Central Board of Direct Taxes said that a notification has been issued for the related forms and conditions. Along with this, necessary changes have also been made in Rule 31, Rule 31A, Form 16 and Form 24Q. The Finance Minister had announced this while presenting the 2022 budget. Now the bank with which the senior citizens have an account deducts tax on their income. For exemption in tax return, senior citizens have to fill Form 12BBA and submit it to the bank.

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