New Delhi, Feb 1 : In a clear move to woo the middle class voters in the run up to the general elections, Finance Minister Piyush Goyal on Friday enhanced the limit of individual income tax from Rs 2.5 lakh to Rs 5 lakh per annum.
Unveiling the Interim Budget for 2019-20, Finance Minister said the move will benefit three crore people from the middle class. After the new measure, those having an income of Rs 6.5 lakh annually will not have to pay any income tax provided they make investments. BJP wasted no time in welcoming the announcement.
"Major budget relief to middle class: Moderate taxation - High Compliance regime: Reducing tax burden on ordinary citizens - Tax exemption slab rises to up to 5 Lakh annual income," BJP general secretary Ram Madhav tweeted.
He also said that Budget announcement makes it clear that the Modi government has taken as "Big step" to arrest corruption in direct taxes establishment. He pointed out that the "Computerised system to be in place in next two years eliminating direct interference of officers and clients". UNI