 |
Download complete Ebook |
 |
Table of Contents |
 |
5.1 Calculate TAXABLE INCOME
Taxable Income = NET Income – Total Deductions
This is the actual non-savings part of the NET income upon which one is expected to pay tax to the government.
|
TABLE 4 –Taxable Income |
|
| NET Income from Table 2 | |
| Total Deductions from Table 3 | |
|
(Difference) |
|
| Taxable Income | |
Next step is to ascertain where your Taxable Income fits in the Income Tax slab table.
5.2 Compute INCOME TAX
Income Tax is calculated on the NET Income.
Use this table ( & a calculator )to compute your Income Tax that need to be paid
|
General tax payers |
||
| Income tax slab (in Rs.) | Tax |
Approx Tax Amount in Rs |
| 0 to ₹ 2,00,000 | No tax | 0.00 |
| ₹ 2,00,001 to ₹ 5,00,000 | 10% | ₹ 20,000 – ₹ 50,000 |
| ₹ 5,00,001 to ₹ 10,00,000 | 20% | ₹ 1,00,000 – ₹ 2,00,000 |
| Above ₹ 10,00,000 | 30% | >₹ 3,00,000 |
|
Female Tax Payers |
||
| Income tax slab (in Rs.) | Tax | |
| ₹ 0 to ₹ 2,00,000 | No tax | 0.00 |
| ₹ 2,00,001 to ₹ 5,00,000 | 10% | ₹ 20,000 – ₹ 50,000 |
| ₹ 5,00,001 to ₹ 10,00,000 | 20% | ₹ 1,00,000 – ₹ 2,00,000 |
| Above ₹ 10,00,000 | 30% | >₹ 3,00,000 |
|
Senior citizens (Aged 60 years but less than 80 years) |
||
| Income tax slab (in Rs.) | Tax | |
| 0 to₹ 2,50,000 | No tax | 0.00 |
| ₹ 2,50,001 to ₹ 5,00,000 | 10% | ₹ 25,000 – ₹ 50,000 |
| ₹ 5,00,001 to ₹ 10,00,000 | 20% | ₹ 1,00,000 – ₹ 2,00,000 |
| Above ₹ 10,00,000 | 30% | >₹ 3,00,000 |
|
Very senior citizens (Aged 80 and above) |
||
| Income tax slab (in Rs.) | Tax | |
| 0 to ₹ 5,00,000 | No tax | 0.00 |
| ₹ 5,00,001 to ₹ 10,00,000 | 20% | ₹ 1,00,000 – ₹ 2,00,000 |
| Above ₹ 10,00,000 | 30% | >₹ 3,00,000 |
|
Table of Contents |
|