Tue Feb 04 01:42:07 UTC 2025: ## India Announces Major Income Tax Relief in 2025 Budget
**NEW DELHI** – The Indian government unveiled significant changes to its income tax structure in its 2025 budget, offering substantial tax relief to a large segment of the population. Under the new tax regime, individuals will not pay any income tax on annual earnings up to ₹12,00,000 (approximately $145,000 USD). Salaried individuals choosing this new regime will enjoy even greater tax benefits, with income up to ₹12,75,000 (approximately $154,000 USD) remaining tax-free.
Furthermore, the budget significantly increased the rebate under Section 87A to ₹60,000 (approximately $7,200 USD), a considerable jump from the previous ₹25,000 (approximately $3,000 USD). This measure provides additional relief for lower and middle-income taxpayers opting for the new tax regime. The changes are expected to boost disposable income and stimulate economic activity.
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