New Tax Regime in Budget 2025: No Tax on Income Up to Rs 12 Lakh.

Finance Minister Nirmala Sitharaman’s announcement of huge tax relief for the middle class has caused an outburst of excitement all across the country while presenting Budget 2025. Under the new tax regime, taxpayers earning up to Rs 12 lakh need not pay a single paise of income tax. The salaried individuals have a higher limit of Rs 12.75 lakh as there is a standard deduction of Rs 75,000 on that account.

Social media platforms were soon flooded with reaction as users of the social network celebrated the relief through a frenzy of memes and posts, telling how the new regime could indeed provide substantial savings for the average taxpayer. In fact, as part of government efforts to relieve the tax burden on middle-income earners, it has been quite welcome.

The new tax structure is devised in such a manner that the system remains simpler, and most money remains with the taxpayer. With this motive, the government introduced new tax slabs in the economy to enhance household consumption, savings, and investments and further have a positive impact on the economy.

This is a very welcome relief to many, as the average middle class often bears the brunt of high tax rates. With the intention of not only stimulating consumption but also savings, budget provisions are expected to have far-reaching well-being in financial terms with a stature of economic optimism in the country.