Income Tax Slabs in India are announced by the finance minister every year. Currently, there are two different Income Tax regimes.
Under the new regime, tax benefits cannot be availed. Under the old regime, taxpayers can avail of tax benefits.
This year, the finance minister Nirmala Sitharaman has announced the Union Budget for 2022 on 1 February 2022. In the latest budget, no changes have been proposed for the existing income tax slabs and rates.
What is the Income Tax Slab?
Individual taxpayers will need to pay the income tax based on the slab system they fall under. Depending on the income of the individual, he/she may fall under a different tax slab.
Therefore, individuals with a higher income will need to pay more tax. The slab system was introduced to maintain a fair tax system in the country.
Income Tax Slab for FY 2022 - 23 (AY 2023 - 24)
Up to Rs.2.5 lakh
Above Rs.2.50 - Rs.5 lakh5% of the total income that is more than Rs.2.5 lakh
Above Rs.5 lakh - Rs.7.50 lakh10% of the total income that is more than Rs.5 lakh + Rs.12,500
Above Rs.7.50 lakh - Rs.10 lakh15% of the total income that is more than Rs.7.5 lakh + Rs.37,500
Above Rs.10 lakh - Rs.12.50 lakh20% of the total income that is more than Rs.10 lakh + Rs.75,000
Above Rs.12.50 - Rs.15 lakh25% of the total income that is more than Rs.12.5 lakh + Rs.1,25,000
Above Rs.15 lakh30% of the total income that is more than Rs.15 lakh + Rs.1,87,500