New tax regime under section 115BAC of the Income Tax Act was introduced in the 2020 budget by Finance Minister Nirmala Sitharaman with an aim to offer a simplified tax structure with lower tax rates but fewer deductions and exemptions compared to the old regime. Latest income tax slabs FY 2025-26: Finance Minister Nirmala Sitharaman announced sweeping changes in the new income tax regime, announcing revamped income tax slabs and income tax rates for the salaried taxpayers, individual taxpayers, common man and middle class. Check the new income tax slab . The Bill revises tax rates under the new tax regime slabs (Section 115BAC) of the IT Act while the old tax regime remains unchanged. For FY 2025-26, the new tax regime effectively allows up to Rs 12 lakh tax free income , due to increase of rebate up to Rs 60,000. The income tax
