The Economic Times

Has Standard Deduction for FY 2026-27 for salaried employees changed in Budget 2026?

The Finance Minister maintained the standard deduction at Rs 75,000 for salaried individuals and pensioners under the new tax regime in Budget 2026. This deduction, available without proof, reduces taxable income, making individuals earning up to Rs 12.75 lakh tax-free due to the Section 87A rebate.