<h1>Union Finance Minister Introduces Rs. 40,000 Standard Deduction for Salaried Taxpayers, Replacing Transport and Medical Exemptions.</h1> The Union Finance Minister announced a standard deduction of Rs. 40,000 for salaried taxpayers, replacing existing exemptions for transport allowance and medical expense reimbursements. This change, benefiting approximately 2.5 crore salaried employees and pensioners, aims to reduce tax liability and paperwork. Differently-abled individuals will continue to receive transport allowance at an enhanced rate, and medical reimbursements for hospitalization will persist. The revenue impact of this decision is estimated at Rs. 8,000 crores. The Finance Minister noted no further changes in personal income tax rates, emphasizing the perceived income disparity between salaried individuals and business persons.