Zero Income Tax Proposal: A Boon for Economic Empowerment

In a major relief for the middle class, the Union Budget 2025-26 introduces a 'zero income tax' scheme for annual incomes up to Rs 12 lakh. Odisha's Chief Minister Mohan Charan Majhi hails this as a transformative step towards economic empowerment and increased financial opportunities.

The Union Budget 2025-26 has introduced a groundbreaking 'zero income tax' initiative, exempting annual incomes up to Rs 12 lakh from taxation. Odisha Chief Minister Mohan Charan Majhi praised this move as visionary, suggesting it would empower citizens and reinforce economic structures.

In an effort to bring relief to the middle class, the budget also revised tax slabs to favor taxpayers. This comes as part of a wider economic strategy aimed at boosting financial independence and driving economic growth through increased household consumption and investment.

Union Finance Minister Nirmala Sitharaman highlighted the benefits for salaried taxpayers, with an effective income threshold of Rs 12.75 lakh, including standard deductions. The policy aims to invigorate private savings and spending, seen as catalysts for broader economic vitality.

(With inputs from agencies.)