The correct answer is C: 14 per cent.

In the Union Budget 2022, the tax deduction limit for both Central and State government employees was increased from 10% to 14%. This helps bring state government employees' social security benefits on par with central government employees. Additionally, a taxpayer can now file an updated return on payment of taxes within two years from the end of the relevant assessment year. Income from transfer of digital assets (cryptocurrency) is charged at 30% tax plus 1% TDS on each transaction.