FM Nirmala Sitharaman Details Budget 2024's Impact On The Middle-Class Income

The FM also highlighted that the government has introduced a subsidised education loan of up to Rs 10 lakh and a rebate on affordable housing to provide additional support for the middle-class

Union Finance Minister Nirmala Sitharaman presented Budget 2024 in parliament on Tuesday. During this session, she announced the revision of the income tax slab for the new regime, which will give marginal relief to the middle class. In a post-budget interview, FM said that the government revised the tax slabs to provide more benefits to the middle class and working citizens across the country. 

This adjustment in tax policy is intended to alleviate financial burdens and enhance economic relief for these groups, reflecting the government's commitment to supporting the middle-income workforce. She said in an interview with Aaj Tak that the standard deduction has been raised from Rs 50,000 to Rs 75,000 per year; this increase is designed to provide more significant financial relief and benefits to the salaried class.

"The rebates in tax rates in the recent Budget were made to extend benefits to the middle class. When tax slabs are reduced, it even benefits those who have a high income. A high-income earner has to pay no tax for Rs 7 lakh of his total income. He/she pays tax on the remaining amount of the total income. This is how the normal taxation system works. The standard deduction was increased from Rs 50,000 to Rs 75,000 so that salaried individuals could get the benefit," said FM. 

The Finance Minister also highlighted that the government has introduced a subsidised education loan of up to Rs 10 lakh and a rebate on affordable housing to provide additional support for the middle class.

"We have introduced a subsidised education loan of up to Rs 10 lakh for the children of the middle class. Apart from this, we have also announced subsidised rates of interest in affordable housing loans. We have also increased the amount for the Liberalised Remittance Scheme (LRS) for people who want to go abroad," she added.

Sitharaman also noted that the government is focused on supporting the middle class through a range of initiatives and schemes. "We are bringing in various schemes to benefit the middle class. Focusing on one particular scheme or aspect is not correct. We have to work in various ways to reach them. They (middle class) should get more, but only if I can give it," the minister added.