Big Changes Ahead for India from April 1 2025 : With the new financial year starting on April 1 2025 some big changes are coming. These will impact our taxes banking regulations and even the price of certain imported goods. Here’s a quick run-through of what’s changing and how it might affect you.
1. Income Tax Changes – More Savings for You
Raised Tax-Free Amount If your income is up to Rs 4 lakh per year you won’t be paying any tax on your income earlier it was Rs 3 lakh.
New Tax Rates
Rs 4 lakh to Rs 8 lakh – 5 percent tax
Rs 8 lakh to Rs 12 lakh – 10 percent tax
Rs 12 lakh to Rs 16 lakh – 15 percent tax
Rs 16 lakh to Rs 20 lakh – 20 percent tax
Rs 20 lakh to Rs 24 lakh – 25 percent tax
Over Rs 24 lakh – 30 percent tax
Salaried Save More The minimum deduction has gone up to Rs 75 000 so more of your pay is left with you and not in the pockets of tax officials.
Good News for Senior Citizens If you are a senior citizen then you no longer need to pay tax on interest of up to ₹1 lakh on your savings. That’s money that stays with you.
2. Reforms in Bank Loans – Greater Support to Small Business and Farmers
Banks will offer greater loans to farmers and small-scale businesses and renewable energy projects. This will find its reflection in enhanced financial aid to those in need.
Urban co-operative banks now need to extend at least 60 percent of their loans to these critical segments of society offering loans to small-scale business and self-employed individuals.
3. Trade and Import News – Some Things Will Cost Less
No Longer an Internet Ad Surcharge India has eliminated the 6 percent internet ad surcharge making it easier for companies such as Google and Facebook to do business in India.
Lowered Import Duty on Some Products
The import duty on bourbon whiskey is lowered from 150 percent to 100 percent.
India is also going to lower tariffs on liquefied natural gas and agricultural products.
The actions are being initiated to promote India’s bilateral trade partnership with the US and avoid charging higher tax on exports by India.
4. How These Changes Impact You
You will be keeping tax money if you earn a salary.
More of your money will remain with elderly people.
If you are small business owner farmer or work in clean energy obtaining a loan might become simpler.
Foreign items such as whiskey and gasoline might become more affordable.
Indian technology companies can also gain from tax reductions that could make them offer more employment.
These revisions have the goal of keeping more money in individuals’ pockets support businesses and make India a more powerful player in international commerce. Remember these changes and budget accordingly.