incometax.gov.in Income Tax Slabs FY 2023-24 and AY 2024-25 Check Income Tax Rates Income tax and income tax slabs in India are based on rates, which are decided every year. Income tax slabs differ under the old and new tax regimes. The income tax slab applicable for the financial year from April this year will be 2024-25 and the assessment year will be 2025-26.
Based on multiple income tax slab systems, different tax rates are imposed on various income categories. When income increases the tax rate also increases. Income tax is managed by the Income Tax Department of the government. With this system, it allows a fair and progressive tax system in the country.
Income Tax Slabs Rates for FY 2023-24 / AY 2024-25 |
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| Old Regime | |||
| Slabs | Individuals (Age<60 years) | Resident Senior Citizens (>= 60 but <80 Years) | Resident Super Senior ( 80 years and above) |
| Up to Rs 2,50,000 | Nil | Nil | Nil |
| Rs 2,50,001 to Rs 3,00,000 | 5% | Nil | Nil |
| Rs 3,00,001 to Rs 5,00,000 | 5% | 5% | Nil |
| Rs 5,00,001 to Rs 10,00,000 | 20% | 20% | 20% |
| Above Rs 10,00,000 | 30% | 30% | 30% |
| New Regime | |||
Income Tax Rates 2024 |
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| Up to Rs 3,00,000 | Nil | ||
| Rs 3,00,001 to Rs 6,00,000 | 5% (Tax rebate u/s 87A) | ||
| Rs 6,00,001 to Rs 9,00,000 | 10% (Tax rebate u/s 87A up to Rs 7 Lakh) | ||
| Rs 9,00,001 to Rs 12,00,000 | 15% | ||
| Rs 12,00,001 to Rs 15,00,000 | 20% | ||
| Above Rs 15,00,000 | 30% | ||
Income Tax Slabs Under New Tax Regime for FY 2023-24, FY 2024-25
The new tax regime shown in Budget 2023 reflects lower tax rates but does not allow for most of the deductions and exemptions available under the old tax regime. Below are the income tax slabs for individuals under the new tax regime for FY 2023-24 (age 2024-25).
- Up to Rs. 3,00,000: NIL
- Rs. 300,001 to Rs. 6,00,000: 5% (Tax Rebate u/s 87A)
- Rs. 6,00,001 to Rs. 900,000: 10% (Tax Rebate u/s 87A up to Rs 7 lakh)
- Rs. 9,00,001 to Rs. 12,00,000: 15%
- Rs. 12,00,001 to Rs. 1500,000: 20%
- Above Rs. 15,00,000: 30%
Income Tax Slabs Under Old Tax Regime
The old tax system of income tax is divided into three parts-
- Indian residents below 60 years of age + all non-residents.
- 60 to 80 years: Resident Senior Citizen.
- Above 80 years: Resident Very Senior Citizens.
Here are the income tax slabs under the old tax regime of the Income Tax Act, 1961.
For Individuals (Below 60 Years) and HUF
- Up to ₹2.5 lakh: Nil
- ₹2,50,001 to ₹3 lakh: 5%
- ₹3,00,001 to ₹5 lakh: 5%
- ₹5,00,001 to ₹10 lakh: 20%
- Above ₹10 lakh: 30%
For Senior Citizens (60 Years and Above but Below 80 Years)
- Up to ₹2.5 lakh: Nil
- ₹2,50,001 to ₹3 lakh: Nil
- ₹3,00,001 to ₹5 lakh: 5%
- ₹5,00,001 to ₹10 lakh: 20%
- Above ₹10 lakh: 30%
For Super Senior Citizens (80 Years and Above)
- Up to ₹2.5 lakh: Nil
- ₹2,50,001 to ₹3 lakh: Nil
- ₹3,00,001 to ₹5 lakh: Nil
- ₹5,00,001 to ₹10 lakh: 20%
- Above ₹10 lakh: 30%
Why are The Changes Announced in the New Tax Regime in Budget 2023
Increase in basic exemption: Under the new tax regime, the basic exemption limit has been increased from Rs 2.5 lakh to Rs 3 lakh.
Revised Tax Slab: The revised tax slab is given below which is as follows-
- Up to ₹3 lakh: Nil
- ₹3 lakh to ₹6 lakh: 5%
- ₹6 lakh to ₹9 lakh: 10%
- ₹9 lakh to ₹12 lakh: 15%
- ₹12 lakh to ₹15 lakh: 20%
- Above ₹15 lakh: 30%
Standard Deduction Under the new system, a standard deduction of ₹50,000 for salaried individuals and up to ₹15,000 for family pension has been introduced.
Exemption under Section 87A Under the new tax regime, exemption under Section 87A has been increased. A person who personally has income up to Rs 7 lakh will not have to pay any income tax.
Default Tax Regime The new tax regime is now the default tax regime. Every person has to pay tax if tax is applicable on their income. Apart from this, if the taxpayer wishes, he can still opt for the old tax system.
Surcharge Rate Under the new income tax regime, the highest surcharge rate has been reduced from 37% to 25%.
Important Links
| Income Tax Official Website | Click Here |
| Home Page | Click Here |