Union Budget 2021 Income Tax Exemption for Senior Citizens

The Union Budget 2021 included several measures aimed at easing the burden of tax compliance, particularly for senior citizens.

One significant announcement made by Finance Minister Nirmala Sitharaman in the Union Budget 2021 related to the exemption from filing income tax returns for certain senior citizens.

The specific provision stated that senior citizens meeting certain criteria would not be required to file their income tax returns. This exemption was introduced to simplify the tax process for a vulnerable section of the population.

The criteria for this exemption, as announced in the Union Budget 2021, were:

• The individual must be a senior citizen.
• Their age must be above a certain limit.
• Their only sources of income must be pension and interest income.
• The interest income must accrue from the bank where they receive their pension.

Under this specific announcement in the Union Budget 2021, senior citizens who were above the age of 75 years were exempted from filing their income tax returns, provided their income sources were limited to pension and interest from the pension disbursing bank.

The bank would be responsible for deducting the tax liability based on the income details provided by the senior citizen.

Therefore, the correct age mentioned in the Union Budget 2021 for this exemption was above 75 years.