What are the tax slabs as per old regime?
What are the tax slabs as per old regime?
New tax regime – More slabs, lower tax rate but no way to reduce taxes
| Tax Slab(₹) | Old Tax Rates | New Tax Rates |
|---|---|---|
| 0 – 2,50,000 | 0% | 0% |
| 2,50,000 – 5,00,000 | 5% | 5% |
| 5,00,000 – 7,50,000 | 20% | 10% |
| 7,50,000 – 10,00,000 | 20% | 15% |
How much tax do I pay on 13 lakhs?
Under the old regime, with deductions, these individuals pay 20% income tax. Similarly, people earning Rs 10 lakh to Rs 12.5 lakh pay 20 per cent, and those earning Rs 12.5 lakh to Rs 15 lakh pay 25% — against 30 per cent earlier.
How can I save tax on 13.5 lakh?
1. Reduce Your Taxable Income by Up To Rs 1.5 Lakhs (Section 80C, 80CCC, 80CCD)
- Unit Linked Insurance Plans (ULIPs)
- Pension or Annuity Plans from Life Insurance Companies.
- Public Provident Fund (PPF) & Employee Provident Fund (EPF)
- New Pension Scheme Tier-I Account.
- Senior Citizen Savings Scheme.
How can I avoid tax on 12 lakhs?
Tax Deductions under Section 80(C)
- Investments in PPF (Public Provident Fund)
- Investments in EPF (Employee Provident Fund)
- Investments in ELSS funds (Equity-Linked Savings Scheme)
- Investments in NSC (National Savings Certificates)
- Payment of premiums against Life Insurance Policies.
Which tax slab is better for 30 lakhs?
Tax slabs and rates under the new tax regime
| Annual income | Old tax rate | New tax rate |
|---|---|---|
| Rs. 7.5 lakhs to Rs. 10 lakhs | 20% | 15% |
| Rs. 10 lakhs to Rs. 12.5 lakhs | 30% | 20% |
| Rs. 12.5 lakhs to Rs. 15 lakhs | 30% | 25% |
| Rs. 15 lakhs and above | 30% | 30% |
Can we switch back to old tax regime?
While Filing an ITR Anytime in the financial year before the ITR filing, you cannot switch to another regime.
