Wed Jan 08 08:40:00 UTC 2025: ## India’s Budget 2025: Middle Class Awaits Tax Relief

**New Delhi, [Date]** – India’s upcoming Union Budget 2025, scheduled for February 1st, is generating significant anticipation, particularly among the middle class. Sources indicate the government is considering revisions to income tax slabs and rates to provide much-needed relief.

According to sources speaking to NDTV Profit, the new tax regime, adopted by 72% of taxpayers, may undergo modifications. A key focus is on lowering tax rates for individuals earning up to ₹10 lakh annually. This move aims to boost sluggish consumption and increase disposable income. While the new tax regime offers lower tax rates, it forgoes several deductions available under the old regime.

Currently, the new tax regime’s slabs are: 0% for income up to ₹3,00,000; 5% for ₹3,00,001 to ₹7,00,000; 10% for ₹7,00,001 to ₹10,00,000; 15% for ₹10,00,001 to ₹12,00,000; 20% for ₹12,00,001 to ₹15,00,000; and 30% for income exceeding ₹15,00,000.

Last year’s budget saw an increase in the standard deduction from ₹50,000 to ₹75,000, along with minor tax slab adjustments. Further reductions in 2025 could significantly benefit millions of taxpayers earning under ₹10 lakh, stimulating both spending and saving.

While the extent of tax relief remains uncertain, any reduction in tax rates is expected to positively impact the middle class and contribute to economic growth. The nation waits with bated breath to see what measures Finance Minister Nirmala Sitharaman unveils in the upcoming budget.

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