The Finance Ministry has made it clear by tweeting that no changes are being made in the existing tax system and regime. Actually, there were reports on social media that the tax regime is being changed in the new financial year from April 1.
The Finance Ministry said on Monday that there is no change in the new income tax system for the people in the current financial year 2024-25. Taxpayers can opt out of this system while filing their ITR. The Finance Ministry gave this clarification after the information released on social media in which some changes have been claimed in the new tax system effective from April 1.
It has come to notice that misleading information related to new tax regime is being spread on some social media platforms. It is therefore clarified that:
There is no new change which is coming in from 01.04.2024.
— Ministry of Finance (@FinMinIndia) March 31, 2024
no change
The Finance Ministry has said that no new changes have been made from April 1, 2024. A revised new income tax system was implemented for the people in the financial year starting from April 1, 2023, under which the tax rates are much lower. However, it does not have the benefit of various exemptions and deductions (except the standard deduction of Rs 50,000 from salary and Rs 15,000 from family pension) like the old system.
You can choose the regimen as per your wish
On the new tax regime, the Finance Ministry has clearly said that the new tax regime is a default tax regime. However, taxpayers can choose the tax regime (old or new) that they feel is beneficial to them. The option to opt out of the new tax regime is available till filing of return for the year 2024-25. This means that in this financial year, you can choose the regime as per your convenience as per your wish, as was the case earlier.
