Budget 2026: Time to Boost Senior Citizen Tax Exemptions Amid Rising Costs?

• India's 14 crore-plus senior citizens face rising medical costs, low interest rates, and shrinking social security, yet their tax structure remains largely unchanged.
• The basic exemption limit of Rs 3 lakh for senior citizens, last revised in Budget 2014, is deemed inadequate due to soaring healthcare and everyday expenses.
• Experts suggest increasing the Section 80TTB limit for interest income (currently Rs 50,000) to Rs 75,000 or Rs 1 lakh to prevent avoidable tax deductions.
• Medical inflation (12-14% annually) makes existing Section 80D deduction limits for health insurance inadequate, especially for seniors.
• Industry experts advocate for targeted tax relief, including higher exemption limits, updated insurance deductions, and senior-specific provisions in both tax regimes.

Why It Matters: Budget 2026 must address the financial strain on senior citizens by revising tax exemptions and deductions.