Tax sops for the salaried in Budget 2009!

Hike in exemption limit

Even when the Interim Budget was presented in February 2009, there was expectation of relief on the personal tax front. But prudence prevailed and the temptation to go in for populist measures was given up.

The time has now come for fulfilling the raised expectations. As usual, the taxpayer expects relief. In a situation where taxes are not indexed to cost inflation, the Government is left only with one option - of raising the exemption limit. Tax rates have been moderated and there may not be scope for reducing the tax rates further.

Text: Business Line

Images: Getty (Unauthorised reproduction prohibited)

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