Ever since, the countdown begins of the union budget 2017 which is announced to be presented in the parliament on 01st of February 2017, there has been a huge expectation and prediction revolves around the nation. Mostly those predictions falls in favor of the common man, since, many experienced some heavy blow owing to the implementation of the Demonetization policy which was announced by Mr. Modi on the last November 2016.
Income Tax Slabs and Rates AY 2018-19 (Budget FY 2017-18)
| S.No | Annual Income | Income tax rate | Actual Tax | Rebate | Total tax |
| 1 | 0 – 2.5 lakhs | 0 | 0 | NA | 0 |
| 2 | 2.5 – 3 lakhs | 5% | 2500 | 2500 | 0 |
| 3 | 3 – 3.5 lakhs | 5% | 5000 | 2500 | 2500 |
| 4 | 3.5 – 5 lakhs | 5% | 12500 | NA | 12500 |
| 5 | 5 – 10 lakhs | 20% | 112500 | NA | 112500 |
| 6 | 10 -20 lakhs | 30% | 412500 | NA | 412500 |
The union budget of India 2017
As many expected, the budget section falls in today in the parliament section, however, there has been drama created that there won’t be any budget submission because of the death of the Kerala MP and former union minister E. Ahamed dies due the cardiac arrest right in the parliament. That incident caused chaos in the house; however, the finance minister announced the presentation of the union minister in the house will be carried as per the schedule after saying his deep condolence over the former union minister’s death.
As many expected there are has been some serious changes in income tax slabs on the announcement of the union budget 2017 by the finance minister of India Mr. Jaitely earlier today.
Lowest Income Slab Announced in the Budget 2017
Mr. Jaitley who is the current FM of India in the parliament session today, the FM has made the announcement of the cut in the personal income tax slab in the budget 2017.
To overcome the pain faced by the common man across the nation because of the move taken by the central government of India in order to demonetize the black money from the India, and to boost the spending limits of the every Indian citizen the FM of India announced the lowest slab for the personal tax amount.
Key points about the tax slabs announced in the parliament section by Mr. Jaitley
- Mr. Jaitley quoted that the nation faced some significant increase in the personal income tax level right after the banning of Rs. 500 & 1000 notes. He pointed that about 35% increment in the personal income tax collections in recent days.
- In the presented budget-2017, it is mentioned that the tax amount for the person who gets the annual income in between the range of Rs. 2.5 – 5 lakh has been reduced to 5% from the earlier amount of 10%.
- Also the budget session includes some surcharges for the person who earns a lot. For people who falls in between the annual income slab of Rs. 50 Lakh to 1 Crore gets 10% as surcharge and similarly for people who earns more than 1 Crore per annum get 15% surcharges in their taxation amount.
- The FM Mr. Jaitley also quoted that as the results of some renovating moves taken by the central government of India, the tax revenue of the entire nation has faced about 17% growth when compared with the previous year.
- Also, FM appraised the move taken by the PM of India Mr. Modi on banning Rs. 500 and Rs. 1000 rupee notes since, the move have directed many people on paying advanced personal income tax. For the past financial year, the nation experienced around 34.8% growth in the advance personal income taxation.
- In the union budget 2017, the FM Mr. Jaitley started to present the tax proposal after submitting the expenditure notes; also he started the tax proposals by quoted the figures about 24Lakh people filed by marking their annual income over 10lakh recently.