Income tax slab as updated in budget

Slab and rate of interest
Individual rate
2.5 lakh to 5.00 lakh – 5%
5 lakh to 7.50 – 10%
7.50 lakh to 10 lakh @ 15%
10 lakh to 12.50 lakh @ 20%

12.50 lakh to 15.00 lakh @ 25%
Above 15 lakh @ 30 %

Subject to certain exemptions been removed

If you wish to avail deduction old rate can be availed.
So it would be optional.

Edit: 2.5 lakh to 5 lakh would be at 5%

The condition listed at (iva) above, means that the individual or HUF opting for taxation under the newly inserted section
115BAC of the Act shall not be entitled to the following exemptions/ deductions:
(i) Leave travel concession as contained in clause (5) of section 10;
(ii) House rent allowance as contained in clause (13A) of section 10;
(iii) Some of the allowance as contained in clause (14) of section 10;
(iv) Allowances to MPs/MLAs as contained in clause (17) of section 10;
(v) Allowance for income of minor as contained in clause (32) of section 10;
(vi) Exemption for SEZ unit contained in section 10AA;
(vii) Standard deduction, deduction for entertainment allowance and employment/professional tax as contained in
section 16;
(viii) Interest under section 24 in respect of self-occupied or vacant property referred to in sub-section (2) of section 23.
(Loss under the head income from house property for rented house shall not be allowed to be set off under any
other head and would be allowed to be carried forward as per extant law);
(ix) Additional deprecation under clause (iia) of sub-section (1) of section 32;
(x) Deductions under section 32AD, 33AB, 33ABA;
(xi) Various deduction for donation for or expenditure on scientific research contained in sub-clause (ii) or sub-clause
(iia) or sub-clause (iii) of sub-section (1) or sub-section (2AA) of section 35;
(xii) Deduction under section 35AD or section 35CCC;
(xiii) Deduction from family pension under clause (iia) of section 57;
(xiv) Any deduction under chapter VIA (like section 80C, 80CCC, 80CCD, 80D, 80DD, 80DDB, 80E, 80EE, 80EEA,
80EEB, 80G, 80GG, 80GGA, 80GGC, 80IA, 80-IAB, 80-IAC, 80-IB, 80-IBA, etc). However, deduction under
sub-section (2) of section 80CCD (employer contribution on account of employee in notified pension scheme) and
section 80JJAA (for new employment) can be claimed.
As many allowances have been provided through notification of rules, it is proposed to carry out amendment of
the Income-tax Rules, 1962 (the Rules) subsequently, so as to allow only following allowances notified under section 10(14) of
the Act to the Individual or HUF exercising option under the proposed section:
(a) Transport Allowance granted to a divyang employee to meet expenditure for the purpose of commuting between
place of residence and place of duty
(b) Conveyance Allowance granted to meet the expenditure on conveyance in performance of duties of an office;
© Any Allowance granted to meet the cost of travel on tour or on transfer;
(d) Daily Allowance to meet the ordinary daily charges incurred by an employee on account of absence from his
normal place of duty.
It is also proposed to amend rule 3 of the Rules subsequently, so as to remove exemption in respect of free food and
beverage through vouchers provided to the employee, being the person exercising option under the proposed section, by the
employe