The standard deduction in Income Tax is kept unchanged at ₹75,000 in the Union Budget 2025. Finance Minister Nirmala Sitharaman announced that a taxpayer will have to pay zero income tax under the new tax regime up to ₹12 lakh annual income. For salaried taxpayers, this limit will be ₹12.75 lakh, factoring in the ₹75,000 standard deduction.