What you really want to know about the budget: How it affects your taxes. So here goes:
Your income upto Rs. 250,000 is exempt. (Earlier, Rs. 200,000).
If you’re above 60 years of age, the exempt limit is 300,000.
Above that, in a progressive manner:
I.E. Nothing has changed. But this saves you about Rs. 5,000 in taxes from last year.
Interest on your self-owned property gets an interest exemption of Rs. 200,000 per year. This was 150,000. Again, another unnecessary housing exemption (why don’t I get it for a car loan?) .
But that’s good for those of you who own houses and live in them. Rental houses can continue to deduct all interest, of course.
At the top bracket this saves you about Rs. 15,000.
The speech talked about your investment limits under section 80C hiked from Rs. 100K per year to Rs. 150K. We don’t know if this covers children’s education also.
If you’re in the top bracket, you save Rs. 15,000 more this way.
We didn’t expect big tax changes. And we got some, however minor. So this is a good thing.
At the highest tax bracket you’ll save Rs. 20,000 at least. If you have a housing loan for owned property, you get another Rs. 15,000.
You basically get Rs. 1500 to Rs. 3000 per month extra to spend. Spend it wisely.