Struggling with Tax Calculations in My HR Role – Can Anyone Help Me Out?

Tax Calculation Assistance Needed

I am working as an executive HR point of contact (SPOC) in a France-based MNC. I am unable to understand the tax calculation, and it is not part of my job, but I have to do it because I have been suffering from mental torture for the last two months. Please guide me on this. Details are mentioned below:

- **Name:** ABC
- **Basic:** 22,000
- **HRA:** 11,000
- **Conveyance Allowance:** 2,000
- **Education Allowance:** 400
- **Special Allowance:** 3,000
- **Monthly Gross:** 38,400
- **Annual Gross:** 460,800
- **Annual Bonus:** 50,000
- **Annual Income Total:** 510,800

- **PF:** 2,640
- **Annual PF:** 31,680
- **P.Tax:** 150
- **Annual P.Tax:** 1,800

Please provide the tax calculation with annual income after deducting tax for unmarried men and women, as well as married men and women on an urgent basis.

Thanks & Regards,

Hi,

I am enclosing a tool for calculating the tax. I hope it might help you to calculate. I feel it is better if you could have added the medical allowance to reduce the tax.

To calculate the TDS, you should require all the savings details as well.

Are these tax calculations done by the finance team, right?

You can update the relevant details in the appropriate fields, and by default, it will calculate the tax.

Dear Sweksha, as you asked, there is no bar for married/unmarried or male/female in income tax. Mr. Jeeva has helped you with a tool through which TDS (Income Tax) can be calculated. However, before reaching any tax deductions, there are many exemptions, allowances, and deductions that can be subtracted from the salary before making any tax deduction. The scenario can vary from person to person. For better understanding, please note the following:

- HRA Exemption (almost 50%): Can be more or less as per the actual situation.
- Conveyance: $19,600 per annum.
- 80C Deductions: $1.50 lakh per annum.

I have made the calculation based on the details provided by you. I hope this meets your requirements.

Kind regards

To calculate a salary increment sheet with PF and ESI calculations, you need to consider various factors. Firstly, determine the percentage increase in salary for each employee. This can be based on performance evaluations, industry standards, or company policies.

Next, calculate the Provident Fund (PF) contribution, which is a mandatory deduction made by both the employer and the employee towards a retirement savings account. The PF calculation is usually a percentage of the employee's basic salary.

Similarly, calculate the Employee State Insurance (ESI) deduction, which provides medical and cash benefits to employees in case of sickness, maternity, or injury. The ESI deduction is also a percentage of the employee's gross salary.

Ensure that the salary increment sheet accurately reflects the revised salary, PF deduction, and ESI deduction for each employee. This information is crucial for payroll processing and financial planning within the organization.