Government mulling re-introduction of standard deduction for salaried employees: ET Now
ET Online|
Updated: Jan 25, 2018, 12.27 PM IST
The Centre is probably working on some Budget cheer for India's salaried class. According to ET Now, a possible tweak in salary structure could be on cards, which could see standard deduction coming in as a tax-free expense to employees.
ET Now in its report claimed that the PMO, finance ministry were in a huddle to study the revenue impact of a generous standard deduction, which was withdrawn by former finance minister P Chidambaram in 2006.
The move could bring in some parity between salaried and non-salaried assesees. Various tax experts have pointed towards bringing back standard deduction as a tax-free expense which will give them more money in hand.
Standard deduction was Rs 20,000 till Budget 2006 for salary above Rs 5 lakh per annum.
ET Now in its report claimed that the PMO, finance ministry were in a huddle to study the revenue impact of a generous standard deduction, which was withdrawn by former finance minister P Chidambaram in 2006.
The move could bring in some parity between salaried and non-salaried assesees. Various tax experts have pointed towards bringing back standard deduction as a tax-free expense which will give them more money in hand.
Standard deduction was Rs 20,000 till Budget 2006 for salary above Rs 5 lakh per annum.
