Finance Minister Nirmala Sitharaman will be presenting Budget 2025 later today in the Parliament. It may have a number of interesting announcements and perhaps even relief for the common man as far as income tax is concerned. It also puts the spotlight on the fact that you need to file your income tax returns on basis of the changes made in last year’s budget (2024-25). Yes, you will need to focus on all the relevant inputs to file your income tax returns this year and the perfect way to do that is to take the help of an income tax calculator.
The best idea for a taxpayer is to prepare early to ensure there are no last minute glitches as well as to save as much tax as possible. Why pay when you can save the money in your bank account?
So, currently, a taxpayer’s focus should be on their tax-saving investments whether it is Section 80C & 80CCD(1B). There are many benefits available to income tax payers including HRA exemption, mediclaim policy, mediclaim policy for parents, house loan, education loan that the government has provided.
And if you are interested, then you can calculate your income status currently and know what else you need to do. All you have to do is check the NDTV Profit Income Tax calculator. Just click on the link here.
Do remember that this is for your income tax for the fiscal year 2024-25. And you can do that not just for the New Income Tax Regime, but also Old Income Tax Regime.
Changes in Personal Income Tax under NEW TAX REGIME announced in Budget 2024
* Standard deduction for salaried employees increased from Rs 50,000 to Rs 75,000.
* Deduction on family pension for pensioners enhanced from Rs 15,000 to Rs 25,000.
Check revised income tax rate structure:
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0-3 lakh rupees – Nil
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3-7 lakh rupees – 5 per cent
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7-10 lakh rupees – 10 per cent
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10-12 lakh rupees – 15 per cent
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12-15 lakh rupees – 20 per cent
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Above 15 lakh rupees – 30 per cent
Salaried employee in the new tax regime stands to save up to Rs 17,500/- in income tax.
Note: The Finance Act 2023 has amended the provisions of Section 115BAC w.e.f AY 2024-25 to make new tax regime the default tax regime. However, taxpayers have the option to opt out of new tax regime and choose to be taxed under old tax regime.
What is the difference between the old and new tax regime?
In case you were wondering, then know that the income tax slabs and rates are different in old and new tax regimes. Most importantly, a number of deductions and exemptions are allowed in Old tax regime to reduce the tax outgo.
However, the new income tax regime offers lower rates of taxes but permits only limited number of deductions and exemptions.
. Read more on Personal Finance by NDTV Profit.You can calculate your income tax status and know what else you need to do to save more. All you have to do is check the NDTV Profit Income Tax calculator for both Old Tax Regime and New Tax Regime. Read MorePersonal Finance, Budget
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