© 2024 JETIR November 2024, Volume 11, Issue 11 www.jetir.org (ISSN-2349-5162) JETIR2411598 Journal of Emerging Technologies and Innovative Research (JETIR) www.jetir.org f861 A STUDY ON DEFAULT TAX REGIME WITH SPECIAL REFERENCE TO SALARY INCOME INDIVIDUALS OF KEONJHAR DISTRICT OF ODISHA Dr. Ajit Kumar Baral Asst. Prof. in Commerce Govt. Women's College, Keonjhar. Abstract: - Income tax policy changed every year with a view to provide a simplified and user-friendly version of tax structure for every tax payer. Recent changes have been made in-connection withconsidering new tax regime as default tax regime. This article tries to focus default tax regimestructure and its changes with regards to salaried person. The objectives of the study include: -To know the latest changes made on new tax regime, to know the shortcomings and perceptions of salaried person regarding adoption of optional tax regime and to make a comparative study of old and new tax regime. The data is collected from primary source with the help of questionnaire and also some secondary published available sources. The study found that respondents opting old tax regime get the benefits of large varieties of exemptions and deductions which will not only save the tax liabilities but also give a lumpsum steady return. Most of the respondents also suggested that the new tax regime is better than the old tax regimein the matter of paying lower rate of tax. Keywords: - Default tax regime, Assessee, Exemptions and Deductions, Tax evasion Introduction: - Tax is the principal revenue collecting mechanism of the country as well as of the state.Government formulates various developmental and sustainable programmes through this tax revenue. Income tax is the major part of direct tax framed according to the Income tax act 1961, which is subjected to be revised every year with an objective to give a simplified version of taxfor every tax payer. In the union budget 2020 it was decided to provide optional tax regime from the financial year 2020-21 to the assesses regarding payment of tax liabilities as per his/her choice. From the financial year 2023-24 it was termed as default tax regime although have to exercise the option to pay tax according to both old tax regime and new tax regime every year except for persons having income from the head of business or professions. Belated return can not be filed in old tax regime.