![]() What is the basic exemption limit under the new tax regime for FY 2023-24?The basic income exemption limit is Rs 3 lakh from April 1, 2023. Income tax slabs for senior citizens aged above 60 years but below 80 years under old tax regime In the new tax regime, the basic tax exemption limit was Rs 2.5 lakh irrespective of the age of the taxpayer till FY 2022-23. However, for senior citizens (above 60 years but below 80 years) and super senior citizens (above 80 years of age) the basic tax exemption limit is Rs 3 lakh and Rs 5 lakh, respectively, in the old tax regime. However, they will be required to file income tax return.ĭo keep in mind that the basic tax exemption limit is Rs 2.5 lakh for individuals below the age of 60 years during the financial year. This benefit was applicable till FY 2022-23. Individual having net taxable income up to Rs 5 lakh were not be required to pay any tax in both the regimes as rebate under Section 87A is available in both tax regimes. If they opt for the new tax regime, they can switch back to the old tax regime only once in their life. In case an individual has a business income, they cannot choose the tax regime as per their convenience every year. Surcharges will be levied on incomes above Rs 50 lakh.Īccording to the income tax laws, a salaried person can opt for the new tax regime as per their convenience in every financial year. *Cess will be levied at rate of 4% on income tax amount. Income tax slabs and rates for resident individuals below 60 years of age, NRI and HUFs Till FY 2022-23 (March 31, 2023), the new tax regime offered 6 tax slabs and lower tax rates as compared with the old income tax regime. It also helps to ease the compliance burden for the salaried taxpayers. The new tax regime was announced for individuals who were unable to claim the full benefits of the deductions and tax exemptions available. Under the new tax regime, the individual will forego 70 deductions and tax exemptions, which includes HRA tax exemption, LTA tax exemption, deduction up to Rs 1.5 lakh under Section 80C and so on.Īlso read: Salaried, pensioners to pay nil tax on income up to Rs 7.5 lakh in new tax regimeĪlso read: You will end up paying 40% of your one month's gross salary as income tax for a minor income rise ![]() Else, he/she can opt for the new concessional income tax regime, without any common tax deductions and tax exemptions. ![]() Hence, a salaried individual gets the option to opt for the old tax regime and continue to avail common tax deductions and tax exemptions. Till FY 2022-23, old tax regime was the default option. What were the income tax slabs till FY 2022-23 (AY 2023-24)?The new tax regime was announced in Budget 2020 and became effective from financial year 2020-21 (April 1, 2020). Mutual Funds Spend P2P Data Center Fuel Rates Diesel Rates Petrol Rates Bank Pan Number Bank holidays Penny Stocks MF Ratings & NAV Top Performing Schemes Top Star Rated Schemes Top Tax Saving Schemes Highest Risk Adjusted Return New Fund Offers Forthcoming Dividends NPS Top Performing NPS Scheme Most Consistent NPS schemes ETF Perfomance Latest Prices Listed Bonds Traded in Cash Market ULIPs ULIP Schemes Calculators Recurring Deposit Calculator Fixed Deposit Calculator LTCG Tax Calculator Income Tax Calculator Rent Receipt Generator SIP Calculator IFSC Bank Code NPS Calculator Invoice Generator EPF Calculator House Property Income HRA Calculator Sukanya Samriddhi Calculator Education Loan Calculator Car Loan Calculator Home Loan Calculator Personal Loan Calculator Risk Tolerance Calculator Financial Fitness Calculator Buy Online Health Insurance Car Insurance 2 Wheeler Insurance Interest Rates Recurring Deposit Rates Fixed Deposit Rates Bank Fixed Deposits Rates Post Office Schemes Rates MCLR Loan EMI Participate & Win Stocks & Shares ET Wealth ET Wealth Editions Buy Wealth Magazine ET Wealth Newsletter
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