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Budget 2023: No tax on income up to Rs 7 lakh, revised tax slabs for new regime

The highest surcharge rate has also been reduced from 37 percent to 25 percent in the new tax regime.

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Budget 2023

In a major announcement, Finance Minister Nirmala Sitharaman has proposed to increase the tax rebate from Rs 5 lakh per annum to Rs 7 lakh per annum under the new tax regime. This means that individuals earning up to Rs 7 lakh are exempt from paying tax.

Standard Deduction under New Tax Regime for individuals with income up to Rs 15 lakh will be Rs 52,400, says FM Sitharaman. The highest surcharge rate has also been reduced from 37 percent to 25 percent in the new tax regime.

Sitharaman, who presented the last full budget of the BJP-led government before the next parliamentary elections in 2024, said the new tax regime will be a default tax regime and citizens will continue to reap the benefits of the old regime.

Read Also: Budget 2023: Defence budget hiked by 12.95 percent to Rs 5.94 lakh crore

Revised tax slabs under the new tax regime:

  • Income up to Rs 3 lakh: Nil
  • Income above Rs 3 lakh and up to Rs 6 lakh will be taxed at 5 percent.
  • Income above Rs 6 lakh and up to Rs 9 lakh will be taxed at 10 percent.
  • Income more than Rs 12 lakh and up to Rs 15 lakh will be taxed at 20 percent.
  • Income over Rs 15 lakh will be taxed at 30 percent.

The finance minister also proposed to hike tax exemption on leave encashment on the retirement of non-government salaried employees to Rs 25 lakh from Rs 3 lakh.

Income tax budget highlights

  • An individual with an annual income of Rs 9 lakh will be required to pay only Rs 45,000. This is only 5 percent of his or her income. It is a reduction of 25 percent on what he or she is required to pay now, ie, Rs 60,000.
  • Similarly, an individual with an income of Rs 15 lakh would be required to pay only Rs 1.5 lakh or 10 percent of his or her income, a reduction of 20 percent from the existing liability of Rs 1,87,500.
  • Each salaried person with an income of Rs 15.5 lakh or more will thus stand to benefit by Rs 52,500.

Budget 2023: Middle class woes memes flock the social media platforms

Budget 2023: Adequate funds allocated for replacing old government vehicles, says Nirmala Sitharaman

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G Parameshwara likely to be deputy CM in DK Shivakumar-led Karnataka government

G Parameshwara is expected to be appointed Deputy Chief Minister as the Congress finalizes the cabinet for the incoming DK Shivakumar-led Karnataka government.

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Senior Congress leader and Karnataka Home Minister G Parameshwara is likely to be appointed Deputy Chief Minister in the new government led by DK Shivakumar, according to sources familiar with the ongoing discussions within the party. The move is seen as part of the Congress leadership’s efforts to ensure social and regional representation in the state’s new political setup.

The development comes as DK Shivakumar prepares to take oath as Karnataka’s Chief Minister following his election as the leader of the Congress Legislature Party after Siddaramaiah’s exit from the top post. The swearing-in ceremony is scheduled to take place in Bengaluru on June 3.

Parameshwara is one of the most prominent Dalit faces in Karnataka Congress and has held several important positions in the party and government over the years. Party leaders have reportedly been engaged in consultations over the composition of the new cabinet and the distribution of key positions ahead of the swearing-in ceremony.

The Congress leadership has been working to finalize ministerial appointments and balance representation among various communities and regions. Reports have also suggested that multiple deputy chief minister positions were under consideration as part of the broader cabinet formation exercise.

High-level meetings involving DK Shivakumar, Siddaramaiah and senior Congress leaders have taken place in New Delhi in recent days to finalize the structure of the new government. The discussions have focused on cabinet composition and organizational appointments ahead of the transition.

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CBSE chairman and secretary transferred as Centre orders probe into OSM irregularities

The government has transferred CBSE’s top two officials and ordered an investigation into alleged irregularities in the procurement and implementation of the On-Screen Marking system.

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The Central Government has transferred the chairman and secretary of the Central Board of Secondary Education (CBSE) and constituted a committee to investigate alleged irregularities linked to the board’s On-Screen Marking (OSM) system.

The move comes amid growing concerns over the digital evaluation process used for Class 12 board examinations this year. Several students who sought access to scanned copies of their answer sheets reportedly claimed that the documents uploaded on the verification portal did not match their actual answer books. CBSE officials have acknowledged that around 20 cases involving answer-sheet mismatches were identified during the evaluation process.

Concerns over evaluation system prompt government action

The OSM system was introduced for the evaluation of Class 12 board examinations, replacing the traditional physical checking process with assessment of digitally scanned answer sheets. While the board had defended the technology-driven system as a step towards modernising evaluations, complaints emerged after the declaration of results.

Students and cybersecurity experts also raised concerns regarding technical issues on the portal. Complaints included answer-sheet mismatches, blurred scans, missing pages and payment-related failures during the verification process.

In response to the controversy, the Centre has ordered a probe into the procurement of OSM-related services. Reports indicate that the inquiry will examine whether there were any procedural lapses or irregularities in the procurement process associated with the digital evaluation system.

OSM system faces wider scrutiny

The issue has attracted attention beyond administrative circles. A parliamentary panel has reviewed concerns related to the OSM system, while legal challenges have also been filed seeking examination of the evaluation process.

Earlier, Union Education Minister Dharmendra Pradhan had acknowledged discrepancies in the system and assured students that corrective measures would be taken. He stated that concerns raised regarding the evaluation process would be addressed and action would follow if any wrongdoing was found.

Despite the controversy, the government has maintained that digital evaluation remains an important part of the future of assessment and that the overall framework of the OSM system is likely to continue, subject to reviews and improvements.

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Shashi Tharoor questions mandatory full rendition of Vande Mataram at official events

Shashi Tharoor has questioned the need to make the full rendition of Vande Mataram mandatory at official events, saying respect for the national song should not be equated with compulsion.

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Congress MP Shashi Tharoor has sparked a fresh debate over the singing of Vande Mataram at official functions, arguing that requiring the full rendition of the national song at every public event is unnecessary.

Speaking on the issue, Tharoor said respect for Vande Mataram should not be confused with making its complete version compulsory at all official gatherings. He described such a requirement as an unnecessary burden and suggested that patriotism should remain a matter of voluntary expression rather than enforcement.

The remarks come months after the Centre introduced detailed guidelines governing the performance of Vande Mataram at official functions. According to reports, the revised protocol standardised how and when the national song should be sung or played during government events.

Tharoor’s comments add to an ongoing national discussion about the balance between respect for national symbols and individual choice. He has previously argued that patriotism gains meaning when expressed willingly rather than through compulsion.

The issue has generated political and constitutional debate in several states in recent months, with differing views emerging over whether the full version of the song should be rendered at official ceremonies and public events.

While supporters of stricter guidelines say the move promotes uniform respect for a national symbol, critics contend that making the full rendition mandatory could be seen as an imposition. The debate is expected to continue as political leaders and constitutional experts weigh in on the matter.

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