Union Budget 2019: Govt likely to raise income tax limit to Rs 3 lakh

New Delhi: The government may raise income tax limit to Rs 3 lakh and hike 80C deduction limit in the upcoming Budget 2019-20, media reports said.
The reports said that Finance Minister Nirmala Sitharaman may increase the tax exemption limit to Rs 3 lakh of the annual income from the existing Rs 2.5 lakh for salaried class in the upcoming Budget.
Sitharaman may also increasing the tax exemption limit for savings and investments under Section 80C of the Income Tax Act.
Currently, the ceiling is at Rs 1.5 lakh. Analysts said that tax exemptions will give an impetus to a slowing economy.
Media reports also indicated that the finance ministry may introduce new tax reliefs for the first time home buyers .This will give a push to Pradhan Mantri Awas Yojna (PMAY) to achieve its goal of ‘Housing for all’ by 2022.
Last month, the Central Statistics Office (CSO) data showed that India’s economic growth rate slowed to a five-year low of 5.8 per cent during the first three months of 2019.

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