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Income Tax Calculator |
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we have attempted to give below a simple income-tax calculator which helps individual taxpayers to estimate the tax liability at a given income level. The income tax rates applicable for financial year 2007-2008 and financial year 2008-2009 of individuals are listed below: |
| EXISTING SLAB RATES (FINANCIAL YEAR 2007-2008) |
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Tax Rates |
Category
|
I |
II |
III |
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TAX RATES
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Male
(age upto 64 years)
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Resident Female
(upto 64 years)
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Senior Citizens
(65 and above) |
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Taxable Income (Rs.)
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Rate %
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Taxable Income (Rs.)
|
Rate %
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Taxable Income (Rs.)
|
Rate %
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0-110,000
|
NIL
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0-145,000
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NIL
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0-195,000
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NIL |
110,001-150,000
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10
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145,001-150,000
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10
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195,001-250,000
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20 |
150,001-250,000
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20
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150,001-250,000
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20
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250,001 onwards
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30 |
250,001 onwards
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30
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250,001 onwards
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30
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| EXISTING SLAB RATES (FINANCIAL YEAR 2008-2009) |
|
Tax Rates |
Category
|
I |
II |
III |
| |
|
|
|
TAX RATES
|
Male
(age upto 64 years)
|
Resident Female
(upto 64 years)
|
Senior Citizens
(65 and above) |
| |
|
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Taxable Income (Rs.)
|
Rate %
|
Taxable Income (Rs.)
|
Rate %
|
Taxable Income (Rs.)
|
Rate %
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0-150000
|
NIL
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0-180000
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NIL
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0-225000
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NIL |
150001-300000
|
10
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180000-300000
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10
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225001-300000
|
20 |
300001-500000
|
20
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300001-500000
|
20
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300001-500000
|
30 |
500001 onwards
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30
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500001 onwards
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30
|
500001 onwards |
30 |
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Surcharge: Surcharge of 10% of the total tax liability is applicable where the total income exceeds Rs.10 lakhs.
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Cess: An education cess of 2% and a secondary and higher education cess of 1% is payable on the amount of income tax and surcharge.
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"Marginal Relief: This relief is provided to ensure that the additional income tax payable, including surcharge, on excess of income over Rs.10 lakhs is limited to the amount by which the income is more than Rs.10 lakhs."
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The following steps should be followed while using the tax calculator:
- Step 1. Enter the total income which is chargeable to tax at normal rates in the right most column.
- Step 2. Enter the total amount of investments eligible for deductions under Section 80C of the Income-tax Act ('Act').
- Step 3. The total income-tax payable will be calculated by the tax calculator on the basis of the details provided in Step 1 and Step 2.
- Note 1: The shaded portion a ppearing in the tax calculator is an illustrative example and no amounts should be entered in this portion. The individual tax payer should use the last column to calculate the total tax liability.
- Note 2: In computing the total income the amounts paid or deposited in the previous year, towards premium on Life Insurance policies, Provident Funds, specified mutual funds, tuition fees for children etc. can be claimed as a deduction to the maximum of Rs 100,000 per annum under Section 80C of the Act.
- Note 3: This is a simple tax calculator and will help individual tax payers in arriving at the estimated tax liability. It may not be applicable to all situations. The individuals should not rely on this calculator for finding out the actual income-tax liability.
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