New tax code: Women to lose special status

While senior citizens will continue to enjoy greater tax exemption, women tax payers will lose their special status under the proposed Direct Taxes Code.

The Bill proposes to raise the tax exemption limit for senior citizens above 65 years to Rs 2,50,000 per annum from Rs 2,40,000 at present.

The income tax exemption limit for general tax payers has been proposed at Rs 2,00,000, up from Rs 1,60,000 at present.

The Bill, however, is silent on women tax payers.

Under the existing rules, the income tax exemption limit for women tax payers is Rs 1,90,000 per annum, as compared to Rs 1,60,000 for general tax payers.

As there is no special category for women, their incomes will be taxed at the rates applicable for general tax payers.

However, tax experts believe that the government will later on include a 'women' category in the Bill when it comes up for deliberation in the Parliament Committee.

"The women category would be included later on in the DTC Bill.

It is possible that the exemption limit would also increase," PWC Executive Director (Tax and Regulatory Services) Ajay Kumar said.