By Neha Yadav
Published Jul 23, 2024

Hindustan Times
In Focus

Photo Credits: Unsplash

Union Budget 2024: New tax slab vs old tax slab under new regime

Finance minister Nirmala Sitharaman presented her seventh consecutive budget in the parliament today. Announcing the Union Budget 2024, the finance minister proposed the revised tax slab under the new regime.

Let's take a look at the new and the old tax slabs under the new tax regime.

Proposed (new) tax slabs

0- 3 lakh - Nil

3-7 lakh - 5%

7-10 lakh - 10%

10-12 lakh - 15%

12-15 lakh - 20%

Above  15 lakh - 30%

Old tax slabs

0-3 lakh - Nil

3-6 lakh - 5%

6-9 lakh - 10%

9-12 lakh - 15%

12-15 lakh - 20%

Above  15 lakh - 30%

The proposed new tax slab will be effective from April 1, 2024 after the Budget is passed in the Parliament and receives President's assent.

The new tax regime became effective from FY 2020-21. However, opting for the new tax regime was optional. The taxpayer could specifically opt for the old tax regime too.

The old tax regime offered multiple deductions and exemptions whereas the new tax regime offers very few deductions.