Get personal tax exemption of additional Rs 30,000 from Friday

Those earning up to Rs 5 lakh a year will now get a tax relief of Rs 5,000, up from Rs 2,000 previously.

Updated: Apr 01, 2016, 20:41 PM IST
Get personal tax exemption of additional Rs 30,000 from Friday

Zee Media Bureau

New Delhi: Those in the low-income bracket can heave a sigh of relief as the government's decision to give additional personal tax exemption will be effective from Friday.

Finance Minister Arun Jaitley in Budget 2016 announcement hiked additional tax limit for people earning upto Rs 5 lakh.

Those earning up to Rs 5 lakh a year will now get a tax relief of Rs 5,000, up from Rs 2,000 previously.

The hike will effectively raise the basic exemption for the taxpayers to up to Rs 3 lakh.

Currently government gives personal income tax exemption limit of Rs 2.5 lakh for all individual taxpayers.

Though there was no hike in the personal income tax exemption limit this year, the move to give additional tax benefits will bring cheers to lakhs of small earning groups.