'Tax burden on middle class reduced'

After exemption limit raised from ₹2L to ₹7L, number of zero I-T return filers see major rise

- MONIKA YADAV

TAX burden on the middle class has come down noticeably over the last 10 years, a government source said on Wednesday.

He said that after the income tax exemption limit was raised from ₹2 lakh to ₹7 lakh, there has been a marked increase in the number of individuals filing zero income tax returns, a source told TNIE.

Since the introduction of the new exemption limit in 2024, there has been a notable decline in the percentage of income tax collection from taxpayers earning less than ₹10 lakh.

"The contribution of this group has decreased from 10.17% of the total tax paid in 2014 to just 6.22% in 2024," the source said.