Parliamentary panel for raising income tax exemption limit to Rs 3 lakh

A parliamentary panel scrutinising the proposals of the new direct taxes code has recommended a sharp increase in the tax exemption limit on basic income to 3 lakh and on investments to 2.5 lakh. The recommendation represents a 67% increase over the current limit on basic income tax exemption limit of 1.8 lakh and 65% over the 1.55 lakh limit for investments, including health insurance. Health insurance for senior citizen parents will be eligible for another 20,000 rebate, the same as the current limit.

Source: Economic Times