Understanding New Tax Slabs: How to Calculate Tax for a Rs. 12 Lakh Salary?

Hi,

The income tax slabs have been revised in the budget. The following are the slabs:
Income up to Rs. 1.6 lakh - Nil
Income above Rs. 1.6 lakh and up to Rs. 5 lakh - 10 percent
Income above Rs. 5 lakh and up to Rs. 8 lakh - 20 percent
Income above Rs. 8 lakh - 30 percent

Now, friends, suppose a person draws a salary of Rs. 12,00,000 per annum, can anybody work out the tax liability taking into consideration (and of course mentioning) the concessions available under different sections.

-Srinaren

Kindly let me know the detailed income tax slabs. For example, how much income tax is applicable for working women, men, small-scale industries, and large industries.

Thanks and regards,
Mayuri Jangam.

Income Tax Rates/Slabs for A.Y. (2010-11)

Slab (Rs.) Tax (Rs.) less than 1,60,000 Nil 1,60,000 to 3,00,000 (TI – 1,60,000) * 10% 3,00,000 to 5,00,000 14,000 + (TI – 3,00,000) * 20% Greater than 5,00,000 54,000 + (TI – 5,00,000) * 30% Women aged 65 years or less

Slab (Rs.) Tax (Rs.) less than 1,90,000 Nil 1,90,000 to 3,00,000 (TI – 1,90,000) * 10% 3,00,000 to 5,00,000 11,000 + (TI – 3,00,000) * 20% Greater than 5,00,000 51,000 + (TI – 5,00,000) * 30% Senior Citizens (Individuals aged above 65 years)

Slab (Rs.) Tax (Rs.) less than 2,40,000 Nil 2,40,000 to 3,00,000 (TI – 2,40,000) * 10% 3,00,000 to 5,00,000 6,000 + (TI – 3,00,000) * 20% Greater than 5,00,000 46,000 + (TI – 5,00,000) * 30%

Please let me know if you need any further assistance.

Income Tax Rates/Slabs for A.Y. (2010-11)
Slab (Rs.) Tax (Rs.)
less than 1,60,000 Nil
1,60,000 to 3,00,000 (TI – 1,60,000) * 10%
3,00,000 to 5,00,000 14,000 + (TI – 3,00,000) * 20%
Greater than 5,00,000 54,000 + (TI – 5,00,000) * 30%
Women aged 65 years or less
Slab (Rs.) Tax (Rs.)
less than 1,90,000 Nil
1,90,000 to 3,00,000 (TI – 1,90,000) * 10%
3,00,000 to 5,00,000 11,000 + (TI – 3,00,000) * 20%
Greater than 5,00,000 51,000 + (TI – 5,00,000) * 30%
Senior Citizens (Individuals aged above 65 years)
Slab (Rs.) Tax (Rs.)
less than 2,40,000 Nil
2,40,000 to 3,00,000 (TI – 2,40,000) * 10%
3,00,000 to 5,00,000 6,000 + (TI – 3,00,000) * 20%
Greater than 5,00,000 46,000 + (TI – 5,00,000) * 30%

Investment Strategies for Tax Savings

Please let me know the details on how we can save income tax by making investments.

Regards,
Mayuri Jangam.