Question : INCREASE IN TAX EXEMPTION LIMIT



(a) whether Union Government in consequent upon the implementation of the recommendation of the Sixth Central Pay Commission is considering to increase the tax exemption limit for the Government Employees;

(b) if so, the details thereof; and

(c) if not, the reasons therefor?

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF FINANCE: (SHRI S.S. PALANIMANICKAM)

(a) (b) & (c) No proposal for increasing the tax exemption limit for Government employees consequent upon the implementation of the Sixth Central Pay Commission is presently under Consideration.

Vide Finance Act, 2008, the basic exemption limit for individual taxpayers has already been enhanced. The basic exemption limit in case of women below the age of 65 years has been raised from Rs.1,45,000 to Rs.1,80,000; the exemption limit in case of individuals above the age of 65 years has been raised from Rs.1,95,000 to Rs.2,25,000 and the exemption in case of all other individuals has been raised from Rs. 1,10,000 to Rs. 1,50,000.