Finance Minister reduced income tax for individuals, companies, agriculture, and infrastructure sectors to pull out the worst slowdown economy.
The 2020-21 Budget was aimed at increasing incomes & purchasing power and reduce stress.
Finance Minister, who cut tax paid by middle-class persons or companies. The proposed new tax slabs are 15 percent and 25 percent besides that of the existing 10 percent, 20 percent, and 30 percent tax slab.
Under the proposed income tax slab, if a person have annual income up to Rs 2.5 lakh, then they are exempt from tax. If a person is earning between Rs 2.5 lakh to 5 lakh, they will pay a 5 percent tax. Who have income between Rs 5 and 7.5 lakh, will be charged with 10 percent tax and 30 percent on income above Rs 15 lakh.