Senior citizen re-defined
Feb 06, 2007
Personal Finance
ET reported that Budget 2007-08 is set to redefine senior citizens of the country by reducing their qualifying age to 60 from 65 for availing of tax exemptions. This comes even as the finance ministry is working on a special package for the elderly.
Till now, senior citizens get an exemption of up to Rs 1,85,000 under the Income Tax Act against Rs 1,00,000 for others. The new definition will also mean that senior citizens will now be entitled to a higher interest on bank deposits (three years and above) on reaching 60 years. While a lower qualifying age will expand the base for senior citizens, the government may also raise the TDS limit from Rs 5,000 to Rs 10,000 for income from interest on bank deposits.
Facebook comments: