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Union Budget 2025: Tax reforms announced by finance minister Nirmala Sitharaman; key points

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Finance minister Nirmala Sitharaman announced a new tax regime and significant reforms to ease compliance for the middle class and senior citizens. Key highlights include a nil tax slab up to Rs 12 lakh,
The Union Budget 2025, presented by Finance Minister Nirmala Sitharaman, includes several significant tax reforms aimed at boosting economic growth and simplifying the tax structure. Key points include a reduction in personal income tax rates for middle-income groups, an increase in the tax exemption limit, and the introduction of a new tax slab system to encourage spending and investment. Additionally, there are measures to widen the tax base by bringing more individuals and businesses under the tax net through digital tracking and compliance. Corporate tax rates have been rationalized to attract more foreign investment, with incentives for startups and small businesses. The budget also proposes changes to capital gains tax to promote long-term investments in equities and real estate. Furthermore, there are enhancements in tax deductions for health insurance, education, and housing loans, alongside efforts to curb tax evasion through stricter enforcement and technology-driven solutions.

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[ https://www.msn.com/en-in/money/other/union-budget-2025-tax-reforms-announced-by-finance-minister-nirmala-sitharaman-key-points/ar-AA1ydyy3 ]


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