New Income Tax slab.
Finance Minister Nirmala Sitharaman presented her fifth Union Budget on February 1 for the year 2023-2024.
Every person is very curious to know about the new tax slab announcement. according to budget 2023-24 Tax slab increased details of new slab are followed.
New Income Tax Slab 2023-24
| Net Annual Income Range | New Regime Tax Rate |
|---|---|
| INR 0-3 lakh | Nil |
| INR 3-6 lakh | 5% |
| INR 6-9 lakh | 10% |
| INR 9-12 lakh | 15% |
| INR 12-15 | 20% |
| Above INR 15 lakh | 30% |
In the above table you can easily see that in new tax regime 0-3 lakh income comes under tax free and if your gross salary under 7 Lakh then you don’t have to pay any tax. This mean income limit for rebate of income tax increased from 5 lakh to 7 lakh.
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We will explain you every thing with examples.suppose we have 3 people with differnt gross salary.
1.690000
2.780000
3.925000
In the first condition this person is tax free because his gross salary under 7 lakh. for second condition where gross salary is 780000 this one comes under tax payer group.so total tax for this person is
for 0-3 Lakh tax is NIL for next 3-6 Lakh 5% which is 15000 INR.for rest amount 180000 tax rate is 10% which is 18000 INR.So the total taxable amount is 33000 INR.
Same thing apply for the no 3.he has more then 9 lakh so his total tax is 15000+30000+3750=48750 INR.
Process is same but the slabs now changed.one question will come in your mind is that what about old regimes.so the answer in present govt announcement that new tax regime is default but if you want to choose old regime then you have option to choose old regime.
Old tax regime are followed you can check your slab for old and new regime which is suitable for you can choose.
Old Regime Tax slab Details
| NET INCOME RANGE | OLD REGIME TAX RATE | NEW REGIME TAX RATE |
| INR 2.5 lakh to INR 3 lakh | Nil | 5% |
| INR 3 lakh to INR 5 lakh | 5% (tax rebate u/s 87A is available) | 5% (tax rebate u/s 87A is available) |
| INR 5 lakh to INR 7.5 lakh | 20% | 10% |
| INR 7.5 lakh to INR 10 lakh | 20% | 15% |
| INR 10 lakh to INR 12.5 lakh | 30% | 20% |
| INR 12.5 lakh to 15 lakh | 30% | 25% |
| Above INR 15 lakh | 30% | 30% |
For senior citizen New Tax slab(Above 60 to 80 years).
| NET INCOME RANGE | OLD REGIME TAX RATE | NEW REGIME TAX RATE |
| INR 2.5 lakh to INR 3 lakh | Nil | 5% |
| INR 3 lakh to INR 5 lakh | 5% (tax rebate u/s 87A is available) | 5% (tax rebate u/s 87A is available) |
| INR 5 lakh to INR 7.5 lakh | 20% | 10% |
| INR 7.5 lakh to INR 10 lakh | 20% | 15% |
| INR 10 lakh to INR 12.5 lakh | 30% | 20% |
| INR 12.5 lakh to 15 lakh | 30% | 25% |
| Above INR 15 lakh | 30% | 30% |
For senior citizen New Tax slab(Above 80 years)
| NET INCOME RANGE | OLD REGIME TAX RATE | NEW REGIME TAX RATE |
| Up to INR 2.5 lakh | Nil | Nil |
| INR 2.5 lakh to INR 5 lakh | Nil | 5% |
| INR 5 lakh to INR 7.5 lakh | 20% | 10% |
| INR 7.5 lakh to INR 10 lakh | 20% | 15% |
| INR 10 lakh to INR 12.5 lakh | 30% | 20% |
| INR 12.5 lakh to 15 lakh | 30% | 25% |
| Above INR 15 lakh | 30% and new regime No tax |
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