Updated 18:15 IST, February 1st 2025
Budget 2025: How Common Man Will Benefit | Big Announcements
From big income tax relief to term loan for women, let's take a look at what's for the common man in Modi government's latest budget.

New Delhi: Finance Minister Nirmala Sitharaman provided a big relief to the middle class exempting those with Rs 12 Lakh Per Annum income from income tax and also announced slab wise relief in taxes, as she presented her 8th consecutive union budget. Though the reduction in income tax remained the popular announcement from her budget speech, Sitharaman focussed on infrastructure building, defence, MSMEs, education, women and youth with a host of announcements. Prime Minister Narendra Modi and other BJP - NDA leaders welcomed the budget saying it's an aspirational one which will fulfill dreams of every Indian. Let's breakdown Sitharaman's budget speech to know more about how common man will benefit from the latest union budget.
- No or zero income tax for people earning upto 12.75 lakh per annum in the new tax regime.
- With the reduction in income tax, at least 1 crore people will benefit and won’t have to pay the income tax.
- Besides no income tax upto Rs 12.75 LPA, the government has provided relief in tax slabs as well, which will leave more money in the pockets of middle class. For example, a person with income of Rs 25 LPA will get benefit of Rs 1,10,000 in tax and those with Rs 18 LPA will get benefit of Rs 70,000.
- Government has proposed over 100 new places which will get regional airport in the next 10 years.
- Startups will get tax benefits for 5 years since inception.
- Big move for gig workers as they be registered on the e-Shram portal and get benefits of government’s health services.
- Government announces SWAMIH Fund 2 — Special Window for Affordable and Mid-Income Housing — with Rs 15,000 crore investment to complete 1 lakh additional units, benefitting middle-class.
- Govt announces increase in threshold for Tax Deduction at Source (TDS) on rent from Rs 2.40 lakh per annum to Rs 6 lakh per annum while presenting the Union Budget 2025-26.
- This effectively raises the monthly limit for TDS deduction on rent from Rs 20,000 to Rs 50,000, benefiting small taxpayers and easing compliance burdens.
- The government has doubled the tax deduction limit to Rs 1 lakh for senior citizens.
Published 17:53 IST, February 1st 2025