The Union budget 2014-15 has been approved in the Parliament recently and these changes are in effect. Soon your companies will start to adjust your tax computation to give effect to these changes. Please note these changes are effective 1st April 2014 – though the budget may have been announced or passed later. The good news is – most of you when your employer will take effect of the changes in the month of August (budget was passed in parliament in the last few days of July), can expect higher payout due to the change in the minimum taxable income which is exempt.
Today, let us look at Income Tax Slabs for the Financial Year 2014-15 and also of the last financial year.
Note that there is no change in the tax rates, the only change is the increase in the minimum income exemption, up from Rs 2,00,000 to Rs 2,50,000 for this year. No change in Education Cess or Surcharge.
Latest Enhance Section 80C up to Rs. 1.5 Lakh and the House Building Loan Interest U/s 24B has raised up to Rs.2 Lakh. The Most unique that the Tax Rebate Rs.2,000/- U/s 87A will be continue in this Financial Year.