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Budget 2023: New vs Old Tax Regime - See What Has Changed

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Finance Minister Nirmala Sitharaman has increased the rebate limit for individual taxpayers from Rs. 5 lakh to Rs. 7 lakh a year. "..Currently, those with income up to Rs. 5 lakh do not pay any income tax in both old and new tax regimes. I propose to increase the rebate limit to Rs. 7 lakh in the new tax regime. Thus, persons in the new tax regime, with income up to Rs. 7 lakh will not have to pay any tax," Ms Sitharaman said while presenting Budget 2023 in parliament today. She also announced new tax slabs and scrapped the old twin-structure system that was unboxed in 2020, which taxed citizens under 25 per cent without exemptions and 30 per cent with exemptions allowed.

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