Today, from 1st April, the new financial year (FY 2025-26) has started. Along with the new financial year, all the announcements made by Finance Minister Nirmala Sitharaman in the budget of 1st February 2025 have also been implemented. In the budget, the Finance Minister made a big announcement regarding income tax and announced to make income up to Rs 12 lakh tax-free for the common man, along with some other announcements related to tax, which will make the common man very happy. Know those big announcements here.

In the new financial year, under the new tax regime, now no tax will have to be paid on income up to Rs 12 lakh. For salaried people, this exemption will increase to Rs 12,75,000 with a standard deduction of Rs 75,000. This means that salaried people earning up to Rs 12,75,000 will not have to pay any tax.

With the start of the new financial year, a new income tax slab will also be implemented under the new tax regime. Under the new tax slab, 0% tax will be levied on income from 0 to 4 lakhs, 5% tax from 4 to 8 lakhs, 10% tax on income from 8 to 12 lakhs, 15% tax on income from 12 to 16 lakhs, 20% tax on income from 16 to 20 lakhs, 25% tax on income from 20 to 24 lakhs and 30% tax on income above 24 lakhs.

The limit of TDS deduction on interest income for senior citizens was earlier Rs 50,000, from today it has increased to Rs 1 lakh. This will greatly benefit senior citizens.

The limit of TDS on income from rent has been increased from Rs 2.4 lakh to Rs 6 lakh. That is, now TDS will not be deducted on annual rent up to Rs 6 lakh. At the same time, the limit of TDS on professional service has now increased from 30 thousand to 50 thousand.

Till now, 5 percent Tax Collected at Source (TCS) had to be paid on sending more than Rs 7 lakh for education and treatment. But now if you send Rs 10 lakh for the fees or other expenses of your children studying abroad, then you will not have to pay tax. At the same time, if parents are paying the college fees of children by taking a loan from a bank or any authorized institution, then TCS will not be deducted.

From today, the limit for filing old income tax returns will also increase. Now you will be able to file returns for the last 4 years. Meaning, if a taxpayer has filed his return incorrectly or has not been able to file it, then he can correct this mistake by filing an updated return within 4 years. Earlier this limit was 2 years.

If you have two houses and you live in both the houses, then from now on you will be able to avail tax benefits on both the properties. Earlier this relief was available only in one self-occupied house.