Income tax salary-wise details: How to calculate tax if salary is over ₹12.75 lakh
Income Tax new slabs: Those with a salary of up to ₹12.75 lakh will not be required to pay any taxes.
Finance minister Nirmala Sitharaman on Saturday announced tax cuts for the middle class as she presented her eighth consecutive Union Budget in the parliament. She said those who have an annual salary of ₹12 lakh will not be required to pay any income tax. But how much income tax will people with a salary of ₹13 lakh pay? Here's how to calculate.
Those with a salary of up to ₹12.75 lakh will not be required to pay any taxes.
Individuals with an annual income of ₹24 lakh or more can save around ₹1.10 lakh in income tax.
According to government's calculations, people with income of ₹13 lakh a year will save ₹25,000 on tax liability.
People having annual income of ₹14 lakh will save ₹30,000, ₹15 lakh ( ₹35,000), ₹16 lakh ( ₹50,000), ₹17 lakh ( ₹60,000).
In case of income of ₹18 lakh the savings would be ₹70,000, ₹19 lakh ( ₹80,000), ₹20 lakh ( ₹90,000).
Those earning ₹21 lakh will stand to save ₹95,000 in their tax liability, ₹22 lakh ( ₹1 lakh), ₹23 lakh ( ₹1.05 lakh crore).
For those with income of more than ₹12 lakh and filing ITR under the new tax regime, the Budget has revised the tax slabs for computing tax liability on income earned in the 2025-26 fiscal.
Under the new slab, income up to ₹4 lakh will be exempt. A 5 per cent tax will be levied for income earned between ₹4 and 8 lakh, 10 per cent for ₹8-12 lakh, 15 per cent for ₹12-16 lakh.
A 20 per cent income tax will be levied on income between ₹16 and 20 lakh, 25 per cent on ₹20-24 lakh and 30 per cent above ₹24 lakh per annum.
With inputs from PTI
