OLD VS NEW TAX RATES FOR FY 2023-24/ AY 2024-25
Understanding about tax regimes for the Financial Year 2023-2024/ Assessment Year 2024-2025.
Tax Slab rates Under both the regimes for Financial Year 2023-24.
OLD TAX REGIME |
NEW TAX REGIME |
||
TAX SLAB (IN Rs.) |
TAX RATE |
TAX SLAB (IN Rs.) |
TAX RATE |
0-250000 |
0% |
0-300000 |
0% |
250001-500000 |
5% |
300001-600000 |
5% |
500001-1000000 |
20% |
600001-900000 |
10% |
>1000000 |
30% |
900001-1200000 |
15% |
|
|
1200001-1500000 |
20% |
|
|
>1500000 |
30% |
TAX REBATE U/s.87A |
||
|
OLD REGIME |
NEW REGIME |
AMOUNT OF REBATE |
Rs.12,500 if total
income does not exceed Rs.5,00,000. |
Rs.25000 if total
income does not exceed Rs.700,000 |
MARGINAL TAX REBATE |
Not applicable |
Applicable |
DEFAULT TAX REGIME |
||
|
IF FILING BEFORE DUE DATE OF FILING i.e., 31.07.2024 |
IF FILING AFTER DUE DATE OF FILING i.e., 31.07.2024 |
DEFAULT REGIME |
NEW TAX REGIME |
NEW TAX REGIME |
CHANGING TAX REGIME |
ALLOWED |
NOT ALLOWED |
Aditya is earning a total annual income of Rs. 7,15,000 for FY 2023-24 and he is opting for a new tax regime. His tax liability as per the tax rates available under the new regime will be Rs. 26,500. Here we can see that by a slight increase of Rs.15,000 in his income he is liable to pay the tax of Rs. 26,500.
Hence, in this case, he will be eligible to claim the relief as calculated below:
Marginal relief = Tax liability – Income over Rs. 7 lakhs
= 26,500 – 15,000
= 11,500
So, now he has to pay taxes Rs.15,000 (26500-11500) plus education cess and interest if any.
What deductions and exemptions are allowed under both the regimes?
Particulars |
Old Tax Regime |
New Tax Regime |
Standard Deduction of Rs. 50,000 |
☑ |
☑ |
HRA |
☑ |
⮽ |
LTA |
☑ |
⮽ |
Food allowance |
☑ |
⮽ |
Professional Tax |
☑ |
⮽ |
Interest on home loan on Self-Occupied Property |
☑ |
⮽ |
Interest on home loan on Let-Out Property |
☑ |
☑ |
Deduction U/s.80C |
☑ |
⮽ |
Employee’s OWN contribution to NPS |
☑ |
⮽ |
Employer’s Contribution to NPS |
☑ |
☑ |
Deduction U/s.80D |
☑ |
⮽ |
Deduction U/s.80E |
☑ |
⮽ |
Deduction U/s.80G |
☑ |
⮽ |
Deduction U/s.80TTA/80TTB |
☑ |
⮽ |
Exemption on Gratuity U/s.10(10) |
☑ |
☑ |
Exemption on Leave Encashment U/s. 10(10AA) |
☑ |
☑ |
Comments
Post a Comment