About 55 million might opt for new tax regime, says revenue department

Majority of them have a taxable income of upto 7 lakh- 7.5 lakh

Around 55 million income taxpayers may have opted for the new tax regime for the ongoing financial year, according to revenue department’s preliminary estimates.
 

Most of these taxpayers, according to a senior government official, have a taxable income of up to Rs 7 lakh. The Centre overhauled the new tax regime in the 2023-24 Budget, making it relatively attractive. The new regime, which seeks to eliminate specific tax deductions and exemptions but offers a lower rate of taxation, struggled to gain traction since its introduction in the financial year 2020-21. “We don’t see a reason why 55 million won’t shift