The Finance Minister (FM Nirmala Sitharaman) has given big relief to senior citizens during the budget speech (Budget 2021). Has announced to reduce the tax burden on senior citizens above 75 years.
The Finance Minister has given great relief to pensioners in Budget 2021. Now pensioners above 75 years who have only pension and interest income, they will not need to file income tax return.
Also Read: Budget 2021: If you do not file ITR, more TDS will be deducted on such interest income
The Finance Minister said that it has been 75 years of independence of the country. We have to reduce the burden of compliance on senior citizens. Senior citizens who have only pension and interest income, do not need to file income tax returns.
Finance Minister Nirmala Sitharaman presented the budget for 2021-22 on Monday. This budget has come at a time when the economy is recovering from the havoc of Corona.
In the budget of 2020, Finance Minister Nirmala Sitharaman had allocated Rs 9,500 crore for the elderly and disabled. While presenting the budget, he said that special care has also been taken for the disabled and the elderly. Rs 9,500 crore was allocated for the disabled and the elderly. The government clearly said that no harm will be left for the betterment of the disabled and the elderly.
The special thing in the Budget 2020 was that Finance Minister Nirmala Sitharaman removed the distinction between Senior and Super Senior Citizens in Income Tax. Earlier, the basic exemption limit for senior and super senior citizens was higher. This gap was eliminated in the budget of 2020. In the Budget 2020, the Finance Minister proposed a new system of income tax. In this, everyone is weighed in one scale. Be it senior citizens or others.
Apart from this, interest up to Rs 50000 in a financial year is tax free for senior citizens by investing in bank savings deposits, FD, RD and post office schemes. They will have to pay income tax only if there is more interest income than this. This tax deduction can be claimed under section 80TTB of the Income Tax Act.
