Small tax-payers have a reason to celebrate

The Finance Bill 2023 has offered a marginal relief for followers of the new tax regime, reducing the tax liability for individuals whose taxable income marginally exceeds Rs 7 lakh. This measure will benefit individuals with an annual income between Rs 7.5 lakh and Rs 7.78 lakh. To calculate tax liability, a standard deduction of Rs 50,000 is first subtracted, and then the tax liability is calculated based on the slab. Income up to Rs 3 lakh is exempt from taxation, and a 5 per cent tax is charged on income from Rs 3 to 6 lakh (Rs 15,000). For income between Rs 6 to 7 lakh, a 10 per cent tax is charged (R