Government withdraws equalisation levy of 2%: Finance Minister Nirmala Sitharaman

New Delhi: The government on Tuesday announced withdrawal of the 2 per cent equalisation levy.

Presenting the Budget for 2024-25 in the Lok Sabha, Finance Minister Nirmala Sitharaman said the standard deduction for salaried employees will be hiked to Rs 75,000, from Rs 50,000 under new income tax regime in FY25.

The government raised the deduction limit to 14 per cent from 10 per cent for employers' contribution for the National Pension System (NPS).

Besides, the government proposed to increase tax deduction on family pension for pensioners to Rs 25,000 from Rs 15,000.

The finance minister added that salaried employees under the new tax regime will save up to Rs 17,500 annually in taxes due to the changes proposed in the FY25 Budget.

Union Budget 2024 LIVE | Making a record for any Finance Minister, Nirmala Sitharaman presented her 7th consecutive Union Budget on July 23, 2024 under the Modi 3.0 government. This Budget brought tax relief for the middle class, while focusing on jobs through skilling, incentivising employers. Track the latest coverage, live news, in-depth opinions, and analysis only on Deccan Herald. Also follow us on WhatsApp, LinkedIn, X, Facebook, YouTube, and Instagram.