The government will present the interim budget soon and senior citizens are hopeful for an announcement that improves their quality of life and addresses their financial issues. There are several issues related to senior citizens that require attention from the government. Here are some of the key points that seniors expect from the interim budget 2024-25
Increase In Tax Deduction Limit U/S 80TTB
The majority of the geriatric group is dependent on passive income like pensions and interest from fixed deposits. Interim Budget should be on uplifting their overall well-being for stress-free golden years.
Prudhvi Reddy, Founder & Chief Executive Officer of Assetmonk says, “There should be an increase in the tax deduction limit from the current Rs. 50,000 under section 80TTB, which has not been revised over the years, to have more disposable income at hand. Given the surge in inflation and escalating healthcare costs post-COVID-19, we hope to see an increase in the threshold for tax deductions related to health insurance premiums and on medical treatment expenses for specified treatments”
Improvement In The Senior Care Facility
The senior population in India is growing rapidly. It requires a big infrastructure push to resolve the issues related to senior citizens’ housing and care.
Experts believe that with the younger generations of the family settling abroad, the need for a holistic environment is now more than ever. Incentives encouraging stakeholders to elevate quality standards with affordable pricing will act as a catalyst. This comprehensive approach will improve both the financial security and living conditions of our valued senior citizens.
Also Read: What Are Tax Liabilities On Ancestral Or Inherited Gold?
A Comprehensive Boost To Senior Citizens’ Finances
Prudhvi Reddy adds, “There is a pressing need for an adjustment to the income tax exemption threshold for senior citizens, considering the current slab of Rs 3 Lakhs does not align with the increasing cost of living and healthcare expenses. Also, Section 80C of the Income Tax Act, allowing tax deductions of up to INR 1.5 Lakh for various investments, has remained unchanged for eight years. An additional limit over the current one will provide seniors with enhanced avenues for tax benefits in this evolving financial landscape”.
The interim budget should promote more health-related investment options for senior citizens and introduce further relaxations in post office saving schemes tailored to their needs.
The author is an independent financial journalist.