8 Things To Know About Tax Slabs In New Regime

Outlook Money

How Is Tax Calculated?

Tax is computed using a tax slab on income. It implies that people pay taxes as per their income level.

new tax regime calculator

Tax Slab 1

No tax will be imposed on the person earning lower than Rs 3 lakh per annum.

Tax Slab 1

Tax Slab 2

People earning Rs 3-6 lakh per annum will be subjected to a 5 per cent tax on their income.

Tax Slab 2

Tax Slab 3

People earning between Rs 6 lakh and Rs 9 lakh per annum will be taxed at 10 per cent.

Tax Slab 3

Tax Slab 4

Annual income between Rs 9 lakh and Rs 12 lakh will be subjected to a tax of 15 per cent.

Tax Slab 4

Tax Slab 5

The people earning between Rs 12 lakh and Rs 15 lakh per annum is a subject to 20 per cent tax on their income.

Tax Slab 5

Tax Slab 6

The people earning more than Rs 15 Lakh per annum will be charged 30 per cent tax on their income.

Tax Slab 6

Tax Regime

Taxpayers may choose to stick with the old tax system, although the new tax regime is the default tax regime.

Compiled By Himani Verma

Tax System