The new tax regime is the default tax regime. Currently, the highest tax rate of 30% is applicable from net taxable income above Rs 15 lakh. However, the new tax regime offers limited deductions to taxpayers.

Learn about the new and old tax regimes, including tax rates and surcharges applicable to various income levels.

The CBDT Chairman also cited the new tax regime (NTR), where there are no deductions or exemptions allowed like the old regime, which has "simple" calculations for a taxpayer, enabling them to file their ITR without the help of a professional.

Budget 2025 simplifies tax rules and provides major relief to taxpayers. The new tax slabs, second-home exemption, senior citizen benefits, and ULIP taxation changes aim to ease financial burdens and boost savings.

Income Tax Slabs FY 2025-25 New versus Old Income Tax Regime: Finance Minister Nirmala Sitharaman announced significant income tax relief for the midd

Union Finance Nirmala Sitharaman while presenting Union Budget 2025-26 said the government will introduce a New Income Tax Bill next week

Key structural changes, such as adjustments to tax slabs, a rationalisation of deductions, and other incentives to spur economic growth, are anticipated to be introduced under the proposed Bill.

Additionally, Sitharaman introduced revisions to income tax slabs to make taxation more progressive. Individuals earning up to Rs 25 lakh will now benefit from tax savings of up to Rs 1.1 lakh. With the inclusion of the standard deduction,