Will I get any home loan benefit from the new tax regime? A.Kalita, Guwahati

Ans: Tax exemption is unavailable in the new tax regime on interest paid on home loans.

Ans: Under new tax regime, allowances/exemptions like House rent allowance, Leave Travel allowance, Helper allowance, Children education allowance, helper allowance, 80C, housing loan interest (on self occupied property) etc will not be allowed. However, as per changes proposed in Budget 2023, standard deduction will be available.

Ans: Person having taxable income of 28 lakhs and take deduction less than 4.25 lacs from housing loan/80C/80D, can opt for new tax regime as new slab rate is likely to be beneficial as per budget proposed for FY 2023-24

Ans: Whether or not it is beneficial for you to opt for the new tax regime depends on various factors such as your specific deductions, investments, and other incomes. Under the new tax regime, you cannot claim most deductions and exemptions, including the standard deduction, deduction for savings under Section 80C, deduction for interest on housing loan, and others.

However, if you have investments and expenses that are eligible for deductions under the old tax regime, it might be more beneficial for you to continue with the old tax regime. In general, if you have substantial deductions and exemptions, you might end up saving more tax under the old tax regime, whereas if you do not have many deductions and exemptions, the new tax regime might be more beneficial for you.

In your case, since you do not have a home loan or any other specific deductions that you can claim, it might be worthwhile to calculate your tax liability under both the old and new tax regimes and see which one results in lower tax liability for you. You can also take the help of a tax expert or use online tax calculators to make this comparison.