Interim Budget 2019: No income tax on income of up to Rs 5 lakh a year

Individuals having annual taxable income of up to Rs 5 lakh will not have to pay any income tax, said Finance Minister Piyush Goyal on Friday in his Interim Budget 2019 speech. 

Further, standard deduction has been raised from Rs 40,000 to Rs 50,000, which will benefit 30 million salaried individuals. 

If an individual invests in the specified tax saving schemes of the government, the effective tax-free income limit will be Rs 6.5 lakh a year, while it may go further up with additional avenues like NPS, medical insurance and home loan interest payment. 

The proposal will benefit 30 million