Income Tax Budget 2026 Live Announcement and Updates: Finance Minister Nirmala Sitharaman presents her record ninth Budget in Parliament. As every year, the most awaited announcements are related to income tax rates and slabs. Last year, taxpayers received major relief through higher income tax exemption limits and GST rate cuts. Many salaried and middle-class taxpayers are now hoping for a further increase in the standard deduction and more tax relief in Budget 2026.
As the Finance Minister presents her ninth consecutive Budget, income tax will remain a key focus. While major changes may not be announced this year, taxpayers are still expecting some benefits under the new tax regime for FY 2026-27.
Income Tax Budget 2026: Key Announcements in Focus
The main announcements related to income tax slabs and rates will be made by FM Sitharaman during her Budget speech. Any changes in the old and new tax regimes will be closely tracked by taxpayers across the country.
Income Tax Budget 2026: New Tax Regime vs Old Tax Regime
The old and new tax regimes follow different income tax slabs and rates. Here is a simple comparison:
Old Tax Regime
- Income up to Rs 2,50,000 – No tax
- Rs 2,50,001 to Rs 5,00,000 – 5%
- Rs 5,00,001 to Rs 10,00,000 – 20%
- Above Rs 10,00,000 – 30%
New Tax Regime
- Above Rs 15,00,000 – 30%
- Income up to Rs 3,00,000 – No tax
- Rs 3,00,001 to Rs 6,00,000 – 5%
- Rs 6,00,001 to Rs 9,00,000 – 10%
- Rs 9,00,001 to Rs 12,00,000 – 15%
- Rs 12,00,001 to Rs 15,00,000 – 20%
Budget 2026 Live Streaming: When and where to watch FM Nirmala Sitharaman’s speech online
While Finance Minister Nirmala Sitharaman announced duty exemptions for several goods, she did not make any changes to the income tax slabs in the Union Budget 2026-27.
Union FM Nirmala Sitharaman says, "I propose to extend the basic customs duty exemption on import of goods required for nuclear power projects till 2035 and expand it for all nuclear plants irrespective of their capacity."
India will host Global Big Cats Summit with ministers from 95 range countries to deliberate on conservation strategies.
Income Tax Budget 2026 LIVE: Modi govt revises ITR Revision deadline to March 31 from December 31
More time to revise tax returns with payment of nominal fee, People with ITR-1 and ITR-2 forms can file returns till July 31
FM Nirmala Sitharaman Speech LIVE: New Income Tax Act to come into effect from April 1, FM’s speech on New Income Tax Slabs underway
Union Finance Minister Nirmala Sitharaman says,"...We will launch India Semiconductor Mission 2.0 and also focus on industry-led research and training centres to develop tech and skilled workforce."
Union Finance Minister Nirmala Sitharaman says,'Since we assumed office 12 years ago, the country's economic trajectory has been marked by stability, fiscal discipline, sustained growth and moderate inflation. This is the result of conscious choices we have made even in times of uncertainty and disruptions.'
Presenting Union Budget 2026-27, Union Finance Minister Nirmala Sitharaman says," Since we assumed office 12 years ago, the country's economic trajectory has been marked by stability, fiscal discipline, sustained growth and moderate inflation. This is the result of conscious… pic.twitter.com/TlKY0uM8GM— ANI (@ANI) February 1, 2026Finance Minister Nirmala Sitharaman begins her ninth consecutive budget speech in Parliament.
Samajwadi Party MP Akhilesh Yadav says," This is 'deform budget' not reforms budget...This Budget is for 5% of the country's population. BJP just tries to set its own people..."
#watch | Delhi | On Union Budget 2026-27, Samajwadi Party MP Akhilesh Yadav says," This is 'deform budget' not reforms budget...This Budget is for 5% of the country's population. BJP just tries to set its own people..." pic.twitter.com/J8xfltRSSy
— ANI (@ANI) February 1, 2026
Income Tax Budget 2026 LIVE: All eyes await the upcoming announcement, which is set to be tabled at the Union parliament at 11 am today.
Union Finance Minister Nirmala Sitharaman and MoS Finance Pankaj Chaudhary, along with their team
#unionbudget2026 | Union Finance Minister Nirmala Sitharaman and MoS Finance Pankaj Chaudhary, along with their team, arrive at the Parliament. pic.twitter.com/Zxo7HDObEn
— ANI (@ANI) February 1, 2026
Union Finance Minister Nirmala Sitharaman is set to present her 9th consecutive Union Budget today
#watch | Delhi | Union Finance Minister Nirmala Sitharaman is set to present her ninth consecutive Union Budget today pic.twitter.com/GqjyTDhYp1
— ANI (@ANI) February 1, 2026
Income Tax Budget 2026 LIVE UPDATES: FM Nirmala Sitharaman meets President Droupadi Murmu at Rashtrapati Bhavan ahead of heading to Parliament to present the Union Budget 2026.
Union Finance Minister Nirmala Sitharaman on Sunday left from Kartavya Bhavan for Rashtrapati Bhavan carrying her trademark 'bahi-khata', a tablet wrapped in a red-coloured cloth bearing a golden-coloured national emblem on it. Sitharaman is set to present her record ninth consecutive budget today at 11 am in the Lok Sabha.
Many taxpayers wonder what happens after the Budget speech. Once presented, detailed documents are released outlining changes to income tax laws, slabs, deductions, and compliance requirements, which taxpayers should review closely. Experts advise against immediate, hasty decisions, suggesting a wait for official notifications and FAQs to ensure clarity.
Salaried individuals are hopeful that the government will change House Rent Allowance (HRA) rules, which have not been changed for many years. Experts are of the view that FM Sitharaman must give relief to salaried individuals living in Tier-2 cities equal to what taxpayers are getting in Tier-1 or metros.
Income tax directly affects the citizens of the country, particularly the salaried taxpayers. It is also essential for the government to fund public services, infrastructure, healthcare, education, and defence. Modi government is looking to maintain fiscal discipline and also try to boost consumption.
Under the new tax regime, people filing their income tax returns do not have to pay any tax on income up to Rs 12 lakh. This follows a special rebate announced by FM Nirmala Sitharaman in the 2025 Budget. For salaried employees, the tax-free limit is higher at Rs 12.75 lakh, after including the standard deduction of Rs 75,000.
Union Finance Minister Nirmala Sitharaman announced a revised income tax structure under the new tax regime last year. The updated tax slabs are designed to simplify the tax system and provide relief to taxpayers. Under the revised structure, income up to Rs 4 lakh is tax-free. Income between Rs 4 lakh and Rs 8 lakh is taxed at 5%. Earnings from Rs 8 lakh to Rs 12 lakh attract a tax rate of 10%. Income between Rs 12 lakh and Rs 16 lakh is taxed at 15%, while income from Rs 16 lakh to Rs 20 lakh is taxed at 20%. Those earning between Rs 20 lakh and Rs 24 lakh pay 25% tax. Any income above Rs 24 lakh is taxed at 30%.
Choosing between the old and new tax regimes depends on your income and the tax deductions you can claim. There is no single option that suits everyone. Taxpayers should carefully compare both regimes and check their own financial situation before making a decision. This will help them choose the option that saves them the most tax.
Finance Minister Nirmala Sitharaman is all set to present the Union Budget 2026 at 11 am today. This will be her ninth Budget speech in a row, making her one of the longest-serving finance ministers in India. The Budget speech will outline the government’s plans for the coming financial year, including key announcements on income tax, spending, and economic growth. Taxpayers and businesses across the country are keenly waiting for updates, especially on income tax rates and slabs.
