Key Highlights of Income Tax Expectations for Union Budget 2024

Monday, 22 July 2024, 12:35

Finance Minister Nirmala Sitharaman is set to unveil the Union Budget 2024 on July 23, 2024, with significant expectations surrounding income tax reforms. Key proposals include a potential hike in the standard deduction limit from Rs 50,000 to Rs 75,000 and an increase in the basic exemption threshold from Rs 3 lakh to Rs 5 lakh. Experts believe these changes could alleviate the financial burden on taxpayers and stimulate economic growth in India. The government aims to balance fiscal consolidation while fostering growth, as emphasized by economists and industry leaders.
Economictimes
Key Highlights of Income Tax Expectations for Union Budget 2024

Overview of the Union Budget 2024 Income Tax Expectations

The Union Budget 2024 will be presented by Finance Minister Nirmala Sitharaman on July 23, 2024, and is highly anticipated by taxpayers who seek significant reforms in the income tax segment.

Key Expectations from Budget 2024

  • Increase in Standard Deduction Limit: There are strong calls for an increase from Rs 50,000 to approximately Rs 75,000, allowing more disposable income for taxpayers.
  • Raise in Basic Exemption Limit: A proposed hike from Rs 3 lakh to Rs 5 lakh in the new tax regime aims to provide wider tax relief.
  • Economic Growth Initiatives: Experts expect measures that will enhance financial stability and stimulate growth across various sectors.

Expert Opinions

According to Arun Poddar, CEO of Choice International Limited, tax adjustments for lower-income brackets may stimulate consumer spending, thus enhancing economic momentum. Additionally, Sonal Badhan, Economist at Bank of Baroda, emphasizes the government's commitment to maintain fiscal discipline while enhancing rural and urban consumption.

Final Thoughts

The proposed changes in the Union Budget 2024 signify a major shift towards easing the financial burden on taxpayers while supporting India’s long-term growth goals. With political stability and a resilient economy, expectations are high for the government’s vision for a prosperous future.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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