Interim Budget 2019: Comparison between current tax slabs and Interim Budget tax slabs

New Delhi: Finance Minister Piyush Goyal on Friday announced major tax sops to the salaried class by doubling tax rebate on income upto Rs 5 lakh and raising standard deduction to Rs 50,000.

Goyal explained that individuals who are earning gross income of Rs 6.5 lakh per year and have made investments in savings instruments, will be exempt from paying income tax.

Know all about the current tax slabs and compare it with announcement made on Interim Budget

Following is the the Tax slab for FY 2017-18 (Assessment Year 2018-19)

For Individual Taxpayers

Up to annual income of Rs 2.5 lakh: Nil

From Rs 2,50,001 to  Rs 5 lakh: 5 percent

From Rs 500,001 to Rs 10 lakh: 20 percent

Above Rs 10 lakh: 30 percent

Senior Citizens 60 years but less than 80 years

-Up to Rs 3,00,000: NIL

-Rs 3,00,001 to Rs 5,00,000: 5 percent

-Rs 5,00,001 to Rs 10,00,000: 20 percent

Senior Citizens 80 years and above

-Up to Rs 5,00,000: NIL

-Rs 5,00,001 to Rs 10,00,000: 20 percent

Surcharge of 10 percent on income of all individuals above Rs 50 lakh and less than Rs 1 crore and surcharge of 15 percent on income above Rs 1 crore.

Income Tax slab after Interim Budget 2019 announcement

Annual income upto Rs 5 lakh: Nil

From Rs 500,001 to Rs 10 lakh: 20 percent

Above Rs 10 lakh: 30 percent

Additionally, for salaried persons, FM has raised the Standard Deduction from the current Rs 40,000 to Rs 50,000. However, no announcement was made regarding any change for Senior Citizens above 60 years and 80 years bracket or on surcharge on super high income bracket.