Prime Minister Narendra Modi said on Friday that the government has made tax reforms to make the lives of citizens easier and due to better capabilities, it helped to increase the tax-free annual income limit to Rs 12 lakh.
In his address to the nation on the 79th Independence Day, Modi said that the government has improved to speed up the income tax refund and implement the faceless assessment. He said, we have also improved to make the lives of citizens easier.
Income tax refunds, faceless assessment, increasing tax-free income limit to Rs 12 lakh annually, all these are the results of tax reforms. Nobody had ever thought that tax relief is possible on income up to Rs 12 lakh. When the capacity of a nation increases, its citizens benefit.
In the general budget of 2025-26, the government had increased the income tax exemption limit from Rs seven lakh to Rs 12 lakh from annually to Rs 12 lakh. Keeping the standard deduction in mind, the effective tax exemption is Rs 12.75 lakh per year. In this way, a salaried person earning up to Rs 12.75 lakh annually will not have to pay any income tax.