Tax Law Changes – Individuals (FY 2010-11):     1] Exemption and Tax Rates:     Basic exemption from personal income tax in the case of all assesses.     New income slabs and tax rates are:-     Income up to Rs. 1,60,000 -- NIL     Rs.1,60,001 to Rs.5,00,000 -- 10%     Rs.5,00,001 to Rs.8,00,000 -- 20%     Rs.8,00,001 and above -- 30%     In case of a RESIDENT woman assesses the exemption limit increased from Rs.1,80,000 to Rs.1,90,000; for a RESIDENT senior citizens, the threshold limit increased from Rs.2,25,000 to Rs. 2,40,000     (Surcharge is Not Applicable)     (Education Cess @3 % on income tax)     2] Short-Term Capital Gains (STGC):     Capital gain arising from sale transaction of equity shares/ unit of an equity oriented fund, subject to STT is same as per last year. 15 % on STCG plus education cess     3] Investments under Section 80C:     The limit for maximum deduction available under Sections 80C, 80CCC and 80CCD (combined together) is Rs. 1,00,000/- (Rs. one lac only). An additional deduction upto a maximum of Rs. 20,000/- will be available from Assessment Year 2011-12 (FY 2010-11) for investment in Infrastructure Bonds     4] Deduction for Medical Insurance Premiums:     Additional deduction of Rs.15, 000 allowed under Section 80D to an individual paying medical insurance premium for his/her parent or parents and in case of senior citizen limit has been increased to Rs.20000     5] Banking Cash Transaction Tax (BCTT):     BCTT is being withdrawn with effect from April 1, 2009.     6] Reserve Mortgage:     Loan installments/amounts received by the Senior Citizen under Reserve Mortgage scheme will be exempt from tax and the property mortgaged under the scheme will not be considered as transfer and hence capital gains will not arise on such mortgage.