Home Minister Amit Shah on February 1 hailed Finance Minister Nirmala Sitharaman’s Budget speech. This came as Finance Minister Nirmala Sitharaman announced the abolition of income tax until ₹12 lakh under the new tax regime. Taking to X, the home minister said that Prime Minister Narendra Modi has always prioritised the middle class.
Shah termed Budget 2025 as the blueprint of the Modi government’s vision towards building a developed and best India in every field.
Taking to X, Amit Shah said, “The middle class is always in PM Modi’s heart. Zero Income Tax till ₹12 Lakh Income. The proposed tax exemption will go a long way in enhancing the financial well-being of the middle class. Congratulations to all the beneficiaries on this occasion.”
During her Union Budget 2025 speech, FM Sitharaman announced that no income tax will be payable on income up to ₹12 lakh, providing significant relief to taxpayers, especially the middle class. This limit will be ₹12.75 lakh for salaried taxpayers, counting ₹75,000 of standard deduction. She also stated that the new income tax regime will be simpler, with a special focus on benefiting the middle class.
But there is a catch: the exemption can be earned only if a taxpayer takes relief under various sections of the Income Tax Act, like the ₹1.5 lakh exemption under section 80CCC and the exemption of ₹1.5 lakh for paying interest on home loans.
Sitharaman said, “To taxpayers, up to ₹12 lakh of normal income (other than special rate income such as capital gains) tax rebate is being provided in addition to the benefit due to slab rate reduction in such a manner that there is no tax payable by them.”
The announcement from the finance minister of this big relief to the middle class was met by loud thumping of the desks by the treasury benches led by PM Narendra Modi.
Meanwhile, the Lok Sabha was adjourned on Saturday following the presentation of the Union Budget by Finance Minister Nirmala Sitharaman. The House will reconvene on February 3 at 11 a.m.
(With inputs from agencies)
