Standard Deduction

now understood that IT filing threshhold is till the same Rs 2.5 lakhs . but system applies new 87A rebate (increased from Rs 2500) Rs 12500 (if implemented after election) . so if some one with Rs 499999 income -system charges 5% tax for income from Rs2.5> Rs 5 lakhs & then applies flat Rebate of Rs 12500 . Hence effectively  having income 499999 will get total TDS refunds as zero tax after rebates. -----------------------------------------------------------------------------------Quote-------eCON Times :     In the Finance Bill, 2019 the maximum amount of tax rebate under section 87A of the Income Tax Act has been propsosed to increase to Rs 12,500 from the existing Rs 2,500. This proposed tax rebate will be admissble to taxpayers having total income up to Rs 5 lakh instead of current Rs 3.5 lakh