Union Budget 2026: Big Announcement Expected on Income Tax Old Regime?

• Finance Minister Nirmala Sitharaman will present the Union Budget 2026 on February 1st, her 9th consecutive budget.
• Speculation suggests a significant announcement regarding the Income Tax Old Regime might be made, as the government has focused on tax reforms.
• The new income tax regime, introduced in Union Budget 2020, has become increasingly popular due to continuous government efforts to make it attractive.
• While the new regime offers lower tax rates, it lacks most exemptions and deductions available in the old regime, such as those under Section 80C, 80D, and 24B.
• The government has not made changes to the old regime despite taxpayer demands for increased deductions, leading to a natural decline in its appeal.

Why It Matters: Taxpayers await Union Budget 2026 for potential announcements on the Income Tax Old Regime amidst new regime's growing popularity.