More than 63% of tax-paying Indians are still on the old tax regime, compared to the 37% who have moved to the new one, found a survey conducted by PB Fintech, the parent company of insurance marketplace Policybazaar. Among those choosing long-term investment plans and sticking to the old regime, provident fund investments continue to be the most popular, followed by life insurance and life insurance instruments. The survey also found out that a third of the respondents had not done any calculations before choosing the tax regime. On being probed about why they chose a specific tax regime, 46% said they favoured the old regime because of the tax-free status of their long-term investments and 26% cited their retirement plans as the reason. The survey also found out that 67% of the salaried section stuck to the old tax regime while the new tax regime was favoured by 49% businesspersons, the highest among all categories.

Source: Economic Times December 11, 2023 13:18 UTC