Income Tax Calculator

Introduce yourself to a journey of financial genius with the Income Tax Calculator, your trusted guide to unlocking the mysteries of annual tax liabilities. Consider a calculator so simple that it makes the difficult chore of calculating taxes a piece of cake. This calculator simplifies complex data by smoothly incorporating the most recent Union Budget tax bands, providing a clear picture of your yearly tax obligations. The government collects income tax on an individual's earnings. The income tax rules apply to individuals, Hindu Undivided Families (HUFs), businesses, cooperative organizations, trusts and other institutions. Tax slabs are used to assess a person's income tax based on their age and earnings. A person's taxable income is calculated after adjusting for any exemptions, deductions, and rebates. The deductions, exemptions, and other rules may be amended based on the Union Budget proposed for every fiscal year. To make computations easy, you may now use the Income Tax Calculator to calculate your taxable income. India currently has two different income tax regimes and people can choose to pay taxes under either the new income tax regime or the old tax regime. This has created a lot of confusion among taxpayers about the choice between the old and new tax regimes. The new tax regime is chosen by default, starting FY 23-24. As an individual taxpayer, you are free to select old or new tax regime as long as you do not have any business/profession income and you file your return within the due date. If you do have business or professional income, you can only switch once in a lifetime within the due date. The government ultimately desires to make taxpayers move to the new system and eventually phase out the old one. Budget 2020 established a new tax framework in which tax slabs were restructured. Those who choose the new regime will have comparatively lower tax rates but they will be unable to claim several exemptions and deductions, including HRA, LTA, 80C, 80D, and others. The old regime provides over 70 exemptions and deductions including HRA and LTA, that can reduce your taxable income and cut your tax payments. Section 80C is the most popular deduction, allowing taxpayers to reduce their taxable income by up to Rs.1.5 lakh. Now with that said, let us step into the Wonderland of Financial Clarity: The old vs new tax regime selector! The steps of using this income tax calculator are: Step 1: In the income details tab, add your Salaried Income, Rental Income, Business Income, and Other Income. Step 2: In the 'Deduction details' section, add in the amounts for Interest on the Home loan (Section 24b). Step 3 (old regime): In the 'Deductions' section, add in the amounts as per the old regime: 1. 80C, 80CCD(1), 80CCC - 80C (Term Insurance policies, PPF, ELSS Funds, EPF etc), 80CCD(1) (National Pension Scheme), 80CCC (Annuity/Pension plans) 2. 80D - (Health Insurance Policies for self, spouse, dependent children and parents) 3. 80E - (Interest on Education Loan) 4. Other deductions Step 3 (new regime): In the Deductions section, add in the amounts as per the new regime: 1. NPS deductions 2. Other deductions Enter these details diligently and voila! Witness the magic as this calculator explains the differences and guides you through the maze of tax regimes. Find the right path for your tax planning journey, see if it's better to choose an old regime or a new regime.

Income Tax Slab Rates For FY 2022-23 (AY 2023-24) for resident or NRI below age 60 & HUFs. NOTE: 1. The income tax exemption limit is up to Rs 2,50,000 for Individuals & NRIs below 60 years and HUFs. 2. Surcharge and cess will also be applicable.

1. Instant Tax Clarity: Calculate your income tax burden quickly and easily, determining how much you owe depending on your age, income and investments. 2. Optimise Savings: Investigate the impact of tax-saving instruments on your taxable income to uncover ways to maximise your savings and lower your overall tax burden. 3. Informed Decision-Making: Confidently navigate between the Old and New Tax Regimes, making informed decisions that correspond with your financial goals. Remain up to date on the most recent Union Budget developments for successful financial planning.