Union Budget 2018: Tax slabs unchanged, certain deductions allowed

Finance Minister Arun Jaitley on Thursday announced that the personal income tax slabs will be unchanged this year.

However, the Minister proposed allowance of a standard deduction of Rs 40,000 in lieu of transport and miscellaneous expenses making it a relief to the middle class. 

In his budget speech, Jaitley announced a slew of tax deductions for senior citizens.

He proposed to raise the deduction under health insurance premium to Rs 50,000 and for senior citizens with critical illnesses - Rs 1 lakh.

Also, the Minister added the exemption of fixed deposits and post office interest till Rs 50,000 while the 80D benefit has been enhanced to Rs 50,000.