Is the New Tax Regime Better Than the Old for Salaried Individuals? (With Special Reference to Union Budget 2023-24

Abstract

Salaried individuals are generally baffled by the new and the old tax regimes, especially after the Union Budget 2023-24. This Budget has discouraged the individuals who believe in savings and focused more on section 115BAC amendments to captivate individuals by its exemption limit of Rs. 7,00,000 through section 87A rebate and low rate of tax. It doesn’t mean that old tax regime will be discarded by individuals.

This article demonstrates how the old tax regime is still a better option for individuals under the umbrella of different kinds of deductions and exemptions. A comparative calculation has been computed in this article to opt for appropriate tax regime by individuals under various circumstances effectively and efficiently.