New Tax Regime Will Leave Higher Disposable Income: Nirmala Sitharaman
NDTV
The new income tax regime has been made the default tax regime. However, the citizens will continue to have the option to avail the benefit of the old tax regime.
Union Finance Minister Nirmala Sitharaman on Friday said the new tax regime will leave higher disposable income in the hands of people.
Replying to the debate in Lok Sabha on the general budget on Friday, she said government's efforts to recover the economy after pandemic have been through the capital expenditure route.
Replying to a query of a member who had cited figures about tax saving from the old tax regime, she said saving Rs 4.5 lakh from an income of Rs 9 lakh will be effort-ridden exercise.
"Since the enhanced rebate limit is unconditional, it leaves higher disposable income in the hands of people," Sitharaman said.