No tax on individual income up to Rs 3 lakh, 2.5 lakh to 5 lakh slab to be charged at 5%

New Delhi: Finance Minister gave reprieve on income tax for those earning up to Rs 5 lakh.

In his speech while presenting the Budget for 2017-18, Finance Minister Arun Jaitley announced that the minimum tax slab wholly exempt would be raised from the current 2.5 lakh to 3 lakh. He also slashed tax rate by 5% for those in the income bracket between 2.5-5 lakh per annum.

Jaitley said that the thrust of tax proposals is to stimulate growth, curb black money, affordable housing.

He also announced a surcharge of 10% for those who earn between Rs 50 lakh to Rs 1 crore.