Indian Finance Minister Nirmala Sitharaman is presenting the Union Budget 2024 on July 23. Sitharaman has introduced major changes to the personal income tax rates and deductions. As per the new budget, the Standard Reduction Limit has been raised to Rs 75,000 from Rs 50,000. This will allow the salaried employees to save up to Rs 17,500 in taxes. The change from Rs 50,000 to Rs 75,000 was highly anticipated by the wage earners and was expected to rise to Rs 1 lakh. 

In addition to the changes in tax slabs, the family pension deduction has also been increased to Rs 25,000 from the previous Rs 15,000. The new changes will benefit over 4 crore salaried folks and pensioners. 

The new tax slabs under Budget 2024: 

₹0-3 lakh remains tax-free
₹3-7 lakh is taxed at 5%
₹7-10 lakh at 10%
₹10-12 lakh at 14%
₹12-15 lakh at 20%
Income above ₹15 lakh at 30%

Furthermore, Sitharaman has also put forward plans to increase the long-term capital gain tax from 10% to 12.5%. The revised tax slabs announced in the Budget 2024 aim to provide relief to taxpayers and amplify their disposable incomes.

Finance Minister Nirmala Sitharaman has created history as this is her seventh time announcing the Union Budget in a row. Sitharaman also holds the record for the longest Budget speech delivered. She delivered a 2-hour 40-minute speech on February 1, 2020.