Income Tax Changes In Budget 2025: Earning Above Rs 12 Lakh A Year? Know Your Relief | N18V

The Union Budget 2025-26 has provided a much-needed relief to the middle man by increasing their disposable income. The most significant takeaway from this budget is that taxpayers earning up to Rs 12 lakh will effectively pay zero tax, but do the latest slabs mention tax on income below Rs 12 lakh?It is important to know that the income above Rs 12 lakh is tax free due to the rebate under Section 87A of the Income Tax Act, 1961. It means that those earning above Rs 12 lakh will have to pay tax on the entire income in FY2025-26, excluding a standard deduction of Rs 75,000 and a marginal relief of nearly Rs 30,000 (if applicable).Show more