New Delhi: Finance Minister Arun Jaitley, who presented the Union Budget for fiscal 2015-16 in the Lok Sabha today, gave no big relief to salaried people as the income tax slabs remain unchanged but gave relief in various tax exemptions, details below.
1. Overall deduction benefits to individual taxpayers hiked to Rs 4.5 lakh
2. Rs 50,000 additional exemption for contributions to NPS and the new pension scheme is proposed to be increased from Rs 1 lakh to Rs 1.5 lakh u/s 80 CCD .
3. Exemption on health insurance premium hiked from Rs 15,000 to Rs 25,000. For senior citizens it is hiked to Rs 30,000 u/s 80 D.
4. Additional deduction of Rs 25,000 is allowed for differently-abled persons, increasing the limit from Rs 50,000 to Rs 75,000. It is also proposed to increase the limit of deduction from Rs 1 lakh to Rs 1.25 lakh in case of severe disability u/s 80 U.
5. Senior citizen above the age of 80 years, not eligible to take health insurance, deduction is allowed for Rs 30,000 toward medical expenditure. Deduction limit of Rs 60,000 on expenditure on account of specified diseases is enhanced to Rs 80,000 in the case of senior citizens u/s 80DDB .
6. All contributions to Sukanya Samridhi scheme to be tax free under section 80C.
8. Transport allowance, which is currently exempted Rs 800 per month from total income, has been increased to 1,600 per month u/s 10(14).
Details of maximum tax deductions proposed are as follows:
Deduction under section 80C Rs 1,50,000
Deduction under section 80CCD Rs 50,000
Deduction on Interest on
Home Loan under section 24 Rs 2,00,000
Deduction on Health Insurance
Premium under section 80D Rs 25,000
Exemption on Transport
Allowance under section 10(14) Rs 19,200