Finance Minister Nirmala Sitharaman on Wednesday announced new tax slabs with no tax for those earning up to Rs 7 lakh a year, under the new regime. In what is being seen as a push for salaried class taxpayers to switch to the new tax regime, where no exemptions were provided, the finance minister in her budget for 2023-24 allowed a standard deduction of Rs 50,000 under the new regime. 

She, however, made no changes for those who continue in the old regime that provides for tax exemptions and deductions on investments and expenses such as HRA as well as no tax on income up to Rs 5 lakh.