New Income Tax Rules in India
                     NEW INCOME TAX 
RULES 
IN INDIA
Introduction
New income tax guidelines are revised under BJP 
government.
Before the general elections, Indian government declared 
some changes to the  existing tax structure in its interim 
budget in February of 2019.
New rules issued by Income Tax Department, has came into 
effect from June 17, 2019.
1. Increase Exemption limit 
 In 2014 after Narendra Modi won elections some changes are made in the tax 
exemption limit.
 In first interim budget,  BJP government increased the tax-exemption limit by 
Rs 50,000.
 It Gave some relaxation to the tax payers.
2.Black Money (Undisclosed Foreign Income and 
Assets) and Imposition of Tax Act
 Indian Government had introduced the Black Money (Undisclosed Foreign 
Income and Assets) and Imposition of Tax Act in 2015 to control hidden or 
unaccountable wealth kept abroad (Swiss bank) by Indian residents and to levy 
tax and penalty on such wealth. 
 
 New guidelines are set by the Central Board of Direct Taxes (CBDT) that any 
offence connected to unrevealed foreign bank account or assets in any manner 
cannot be compounded. 
3.Change the Tax Rebate under Section 
87A of the Income Tax Act
 Income limit qualified to avail tax rebate under Section 87A of the 
Income Tax Act has been increased to the 5 Lakh. Previous limit 
was 3.5 Lakhs. 
 According the new rules , a full tax rebate is applicable for 
individual taxpayers with a net annual income up to Rs 5 lakh. 
 Also some proposals are made to change few other income 
tax rules, Keeping Income tax slabs and rates for the FY 
2019-20 remain unchanged.
 
 Also a suggestion to increased standard deduction by Rs 
10,000 to Rs 50,000 from Rs 40,000. 
4.latest income tax (I-T) slabs applicable for 
financial year 2018-19  according to new rules.
 According to new  proposed guidelines by BJP government 
following Tax Slabs will be applicable for Financial Year 
2019-20 (Once the budget proposals are passed by the 
Parliament)
• The exemption limit for an individual is relayed on his/her age as 
well as his/her residential status. According to age, resident 
individual taxpayers are classified as follow:
1. Resident individuals below the age of 60 years
 Reference for image is economictimes.indiatimes.com
2.Income tax slabs for resident individual between 60 and 80 
years of age (Senior Citizen) 
Reference for image is economictimes.indiatimes.com
3.Resident super senior citizens of above 80 years of age 
Reference for image is economictimes.indiatimes.com
4.For Non-resident individuals (NRI)
 Basic exemption limit is of Rs 2.5 lakh in a financial year 
regardless of their age. 
I. If the net income is more than Rs 50 lakh but below Rs 1 crore, a 
surcharge of 10% is imposed on the income tax payable before levy 
of cess at 4%. 
    II. If the net income exceeds limit of Rs 1 crore, then a extra 15% is 
   
    imposed .