Budget 2025: If this action is taken in this budget .. then middle class people are happy.

Budget 2025: Union Budget 2025 is coming. Taxpayers are closely looking at how this budget is going to happen. For years, a large part of the tax burden was the middle class. Personal tax collections have doubled from Rs 4.8 lakh crore to Rs 10.4 lakh crore in FY 2024. Many people hope that this year will get relief from the burden. Let us know what people are expecting from this budget.

1. Changes in tax slab

For most people, the current tax slab system looks old. Currently, 30 percent tax on revenue of more than Rs 15 lakh. There has been a similar approach over the years. Now taxpayers are expecting the construction of new and fair tax slabs described under it.

1. There should be no tax on income up to Rs 5 lakh. It is currently Rs. 3 lakhs.
2. Rupee. 10% tax of up to 5-10 lakhs.
3. Rupee. 20% tax up to 10-20 lakhs.
4. Rupee. 30% tax on income of more than 20 lakhs.

This change can bring a big difference in taxpayers. For example, people who earn 25 lakh rupees per year can save more than Rs 1.5 lakh in this new system as compared to the current policy. This is the act of breathing for middle taxpayers.

2. Exception

Exceptions on savings and investment are limited. Many taxpayers feel that they do not match the cost of living. They expect the following changes ..

1. Section 80C: Border Rs. 1.5 lakh to Rs. 2.5 lakhs should be increased.
2. Section 80D: Rebate on health insurance payment for individuals Rs. 50,000 and senior citizens Rs. 1 lakh.
3. Home Loan Interest: Home loan interest exemption limit to promote home loan purchase. 2 lakhs to Rs. 3 lakhs should be increased.

These changes will save a significant savings on the tax paid by the people. They promote a long financial plan.

3. Focus on senior citizens

Senior citizens have special financial requirements. This year’s budget is expected to provide additional assistance to them. They expect high deduction limits and other tax benefits for health care and savings.

4. Major areas support

This year, the government also expects to focus on specific industries to increase development.

Real Estate: GST rationalization and home buyers can provide a very essential incentive to the region for affordable housing incentives, tax benefits, construction.

Health safety: reduce treatment and import tariffs for treatment and to make more economical.

Preparation: To expand the rate of 15% for new manufacturing units to promote Make-in-India initiative.

5. Liberalization of tax system

Tax filing may seem to be a headache, especially with the current TDS system with rates. The budget makes it easier by reducing the number of TDS categories. This makes it easier for everyone to follow.

Author: Emperor V., Co -Founder and Executive Director, Prime Wealth Finswar Private Limited.