Taxexcel

Rates of old and new tax regimes for A.Y 2022-23, Comparison of rates of old and new tax systems for A.Y 2022-23

The new income tax slab rates introduced in Budget 2020 after AY 2021-22 are reserved for taxpayers, where they are free to choose from the old regime's tax slab (F.Y 2021-22). The new tax slab has been made common for taxpayers of all ages to reduce the income tax rate to Rs 15,00,000. But, it denies 70 tax exemptions and deductions that are available as relief with the old regime tax rates.

The new tax system and the old tax system have the following income tax rates: -

Income tax rate slabs (Rs)	Old Regime	New Regime	Surcharge
Up to 2.50 lakh	nil	nil	Nil
2.50 lakh to 5.00 lakh	5%	5%	Nil
5.00 lakh to 7.50 lakh	20%	10%	Nil
7.50 lakh to 10.00 lakh	20%	15%	Nil
10.00 lakh to 12.50 lakh	30%	20%	Nil
12.50 lakh to 15.00 lakh	30%	25%	Nil
15.00 lakh to 50.00 lakh	30%	30%	Nil
50.00 lakh to 1.00 Cr	30%	30%	10%
1.00 Cr to 2.00 Cr	30%	30%	15%
2.00 Cr to 5.00 Cr	30%	30%	25%
5.00 Cr & above	30%	30%	37%

You may also, like- Automated Income Tax Preparation Excel Based Software for the West Bengal Govt Employees for the F.Y.2021-22[This Excel Utility can prepare at a time your Tax Computed Sheet as per Budget 2021 + Individual Salary Structure as per the W.B.Govt Employee’s Salary Pattern + Automated Income Tax H.R.A. Exemption Calculation + Automated Income Tax Form 16 Part A&B and Form 16 Part B]

4% Health and Education Benefit is applicable on all the above taxes

Money discount 12,500 u / s 87A is applicable for the tax slab of both old and new regimes, Rs. 5.00 lakhs.

Below additional surcharges are imposed on the very rich with the following income:

To show how the new tax slab rates can reduce your tax liability, we present the comparative study below, if you are prepared to avoid the authorized deductions of the old tax system:

When choosing a new tax slab: -

Option to use ITR for F.Y 2021-2022 (A.Y 2022-2023) on or before 31st July 2022

Business people / HUFs who do not have business income can choose between old and new rule tax slabs every year.

Business Those who have a business income, they get a chance to choose their options. Once done, they have to follow the rules every year unless they stop this source of income.

Note: - General tax deduction for salaried taxpayers approved at the old tax slab rate (removed to the new tax system)

You may also, like- Automated Income Tax Preparation Excel Based Software for the Assam State Govt Employees for the F.Y.2021-22[This Excel Utility can prepare at a time your Tax Computed Sheet as per Budget 2021 + Individual Salary Structure as per the Assam State Govt Employee’s Salary Pattern + Automated Income Tax H.R.A. Exemption Calculation + Automated Income Tax Form 16 Part A&B and Form 16 Part B]

The new tax slab denies 70 tax exemptions and deductions, e.g.

Travel Discount, tax-free once claimed in two-year block

Standard Deduction 50000 / -

• Depending on the house rent allowance (HRA), salary structure and payment of rent

Housing interest on the loan (Section 24) Rs 3.5 lakh for affordable housing, Rs 2 lakh for others

CC 80CCD (2) Reducing employer contribution to NPS of RS 50000 / -

Chapter VI-A 80C, 80CCC, 80CCD, RS 150,000 / -

80D, RS 25000 / - (Rs. 50,000 for parents and senior citizens)

80 TTA reduction (Savings Bank interest: Rs. 10,000)

• 80 TTB Interest Income (for Senior Citizens): Rs. 50,000

• 80 E deduction (pay interest for eight consecutive years)

80 DD deduction: (Rs. 75,000 to Rs. 1.25 lakhs depending on disability)

80 DDB discount: Rs. 40,000 (Rs. 1 lakh for senior citizens)

80EE, 80EEA, 80EEB,

80G (50-100%) reduction of donated money

80GG, 80GGA, 80GGC, 80IA, 80IAB, 80IAC, 80IB, 80IBA,

MPs / MLAs, and other allowances that used the tax slab of the old regime.

New Section 80JJAA approved for new employees.

You may also, like- Automated Income Tax Preparation Excel Based Software for the Andhra Pradesh State GovtEmployees for the F.Y.2021-22[This Excel Utility can prepare at a time your Tax Computed Sheet as per Budget 2021 + Individual Salary Structure as per the Andhra Pradesh State Govt Employee’s Salary Pattern + Automated Income Tax H.R.A. Exemption Calculation + Automated Income Tax Form 16 Part A&B and Form 16 Part B]

We offer simple schemes so that you can switch between old and new tax slab rates when you want to invest for a tax deduction:

1. Taxpayers earn up to Rs. 5 lakhs, fall under the exemption of INR 12,500 available under Section 87A and have zero tax liability. So, they are not coming under any available tax exemption.

2. For income up to Rs. 7.5 lakhs, if your investment amount of INR 1,25,000 or more is eligible for a tax deduction, opt for the old tax regime. But, if your investment is less than that, go for a new tax regime.

Particulars	Old Regime (In INR)	New Regime (In INR)
Taxable Income	7,50,000	7,50,000
Less Deduction Amount	(1,25,000)	-
Taxable Amount	6,25,000	7,50,000
Tax Calculation	(@20%) 37,500	(@10%)37,500

Note: The calculation is shown by subtracting the amount of CESS.

Particulars	Old Regime (In INR)	New Regime (In INR)
Taxable Income	10,00,000	10,00,000
Less Deduction Amount	(1,87,500)	-
Taxable Amount	8,12,500	10,00,000
Tax Calculation	(@20%) 75,000	(@15%) 75,000

3. If your income is up to Rs. 10 lacks, or if your investment amount of Rs.1,87,500 or large is entitled to a tax exemption, choose Old Tax Regime. But, if your investment is less than that, go for a new tax regime.

Note: The calculation is shown by subtracting the CESS amount.

4. For an income of Rs. 12.5 lakhs, if your investment amount is eligible for a tax deduction of Rs. 2,10,000 or more, opt for the old tax regime. But, if your investment is less than that, go for a new tax regime.

For an income of Rs. 15 lakhs, if the amount of your investment is eligible for a tax deduction of Rs. 2,50,000 or more, opt for the old tax regime. But, if your investment is less than that, go for a new tax regime. Income above Rs. 15 lakhs is taxable at both tax slab rates of 30% and can be changed depending on your investment plan.

Download Automated Income Tax Preparation Excel Based Software for the Government & Non-Government Employees for the F.Y.2021-22

Main feature of this Excel Utility-

#This Excel Utility can prepare at a time your Tax Computed Sheet as per Budget 2021

# Individual Salary Structure as per the Govt & Non-Govt Employee’s Salary Pattern

# Automated Income Tax H.R.A. Exemption Calculation U/s 10(13A)

# Automated Income Tax Arrears Relief Calculator U/s 89(1) with Form 10 E For the F.Y.2021-22

# Automated Income Tax Form 16 Part A&B and Form 16 Part B]

Share It

No Comments

Income tax exemption within 80. Once you start earning, you need to understand your tax liability,

how much you have to pay and how much you can save. It sounds complicated enough, but it doesn't

have to be. The government has given many exemptions under various sections of the Income Tax Act,

which you can take yourself.

But to do this you must first understand what the different sections of the Income Tax Act have to offer. One of them is Section 01 of the Income Tax Act. Under Section 80, there are various options for investment deduction, premium payment, loan repayment etc.

If your annual income makes you liable to pay higher income tax, then it is time to consider Section 80.

Section 80C. Income tax deduction under

The Income Tax Act provides a special combination of activities, including Section 80C, Section 80CCC and Section 80CD, which taxpayers can use to reduce their taxable income. By investing your income in this work you will get Rs.1.5 Lakh as an exemption.

You may also, like- Automated Income Tax Preparation Excel Based Software for the Non-Govt employees for theF.Y.2021-22 as per the new and old tax regime

Tax Saving FD: By investing in these you will get double the benefit of tax exemption and higher return. Tax saving FD is an ideal investment option for those who want to invest their money in low-risk instruments.

P.P.F. is one of the tax saving options for many investors and taxpayers. Since this is a government-established savings scheme with a maximum term of 15 years, your money is not only safe but also guaranteed return. Interest earned on PPF is tax-free.

N.S.C.: Another option is to choose NSC Max to limit Rs. 1.5 Lakh.

L.I.C.: Max Limit Rs. 1.5 Lakh U/s 80C

Home Payments: The premiums paid for the capitalization of your home loan are eligible for a tax deduction.

Pay tuition fees: If you pay a certain amount for yourself, your spouse or children, you can claim a tax deduction

• EPF (Employee Provident Fund): Under the Employees Provident Fund Act, about 12% of the employee's salary fund is contributed to the employees' provident fund investment. This contribution is eligible for an employee tax deduction.

You may also, like- Automated Income Tax Preparation Excel Based Software for the West Bengal State Govt employees for the F.Y.2021-22 as per the new and old tax regime

Senior Citizen Savings Scheme: If you invest in SCSS as an investment or are planning to retire, this amount may be claimed as a deduction under Section 80.

Section 80 of the Income-tax Act proposes to reduce the contribution to the CCC pension fund - if you invest in a pension scheme paid by public or private sector insurers, the premium you pay for this fund can be used to claim deductions under Section 80 C. .80 CCC. . It comes within the maximum money range. 1.5 lakh

The Income Tax Department gives a discount on the premium paid for 80D medical insurance - you will get Rs. 25,000 in any financial year. This insurance policy can be for you, your spouse or your children. If one of the insured members is 60 years of age or above, the tax-deductible will be Rs. 30,000 additional tax deduction on parental medical insurance Rs. 25,000. In this case, the age of the parents is 60 years or more; You can claim up to Rs 30,000. The maximum allowable discount under section 80D is Rs. 60,000.

Section 80E of the Income Tax Act exempts interest paid on education loans taken for higher education. So, if you provide an education loan for higher education for yourself, your wife or your children, you can claim a tax deduction on the amount of interest paid for it.

Section 80GG: Those who are not getting any House Rent from their Employer, can use this section 80GG. Max Rs.2000/- Per Month or Rs.60,000/- per annum.

Under Section 80U Max Limit Rs.75000/- for below 60 years and Rs.1.5 Lakh for the Senior Citizen above 60 Years

Download Auto-Fill Income Tax Salary Arrears Relief Calculator U/s 89(1) with Form 10 E from the F.Y.2000-01 to F.Y.2021-22 in Excel