Income Tax Calculator FY 2022-23

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Income from salary

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0

Income from house property

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In case the individual has opted for new regime,
  1. Interest for a self-occupied property is not allowed as deduction.
  2. Loss from a let-out property is allowed as set off against income of other let-out property.
  3. Loss under the head House Property shall not be allowed to set off from any other head of income.
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The maximum deduction available on interest paid on mortgage loan on self-occupied property is restricted to INR 2,00,000.
+ Add #2 Property Details
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0

Income from capital gains

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Short term capital gain under section 111A on sale of shares or units of equity oriented fund on which securities transaction tax is paid
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Covered under section 112
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Long term capital gain under section 112A on sale of shares or units of equity oriented fund on which securities transaction tax is paid
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0

Income from other sources

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0

Deductions

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INCLUDES: Life insurance premium, provident fund contribution, home loan principal component, children tuition fees etc.
Max deduction ₹1,50,000
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Your contribution to National Pension System ("NPS").
Max deduction ₹50,000
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Employer's contribution to National Pension System ("NPS"). Please restrict the input value to 14% of basic salary and dearness allowance in case the contribution is made by the Central or State Government or 10% of basic salary and dearness allowance in case of any other employer. Also, the deduction is allowed within the overall limit of ₹7,50,000 prescribed for employer's contribution to Provident Fund, NPS and Superannuation fund
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INCLUDES: Deduction for medical insurance premium paid for self, spouse, dependent children up to ₹25,000. Additional deduction of ₹25,000 is allowed in respect of premium paid for parents aged less than 60 years. For senior citizen, (that is 60 years or more the limit) deduction is enhanced to ₹50,000.
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Interest paid on education loan
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Interest on a home loan sanctioned during 01.04.2019 to 31.03.2022 for a residential house property having stamp value up to ₹45,00,000. The individual does not own any residential house property on the date of sanction of loan. If deduction is allowed under this section, deduction of such amount cannot be allowed under any other provision of the Act.
Max deduction: ₹1,50,000
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Interest on loan sanctioned during 01.04.2019 to 31.03.2023 for an electric vehicle.
Max deduction: ₹1,50,000
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Interest on deposits (not being time deposits) in a savings account with a bank or post office - not applicable for Senior Citizens
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Interest on deposits (including time deposits) with a bank or post office - applicable for Senior Citizens
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0

Schedule of Advance tax liability

ParticularsOld RegimeNew Regime
Total Tax Liability00
Tax Deducted at Source00
Tax Collected at Source00
Tax Payable00
InstallmentOld RegimeNew Regime
Cumulative Tax Payable by the Installment DateTax Payable for the InstallmentCumulative Tax Payable by the Installment DateTax Payable for the Installment
1st Installment 15% of Balance tax is payable by 15 June0000
2nd Installment 45% of Balance tax is cumulatively payable by 15 Sept0000
3rd Installment 75% of Balance tax is cumulatively payable by 15 Dec0000
4th Installment 100% of Balance tax is cumulatively payable by 15 Mar0000
Finance Act 2020 introduced simplified optional personal tax regime ("new tax regime"), with an objective of easing the compliance burden of the taxpayer as well as administrative burden of the tax authorities. The new tax regime offers lower slab rates, without considering almost 70 exemptions and deductions. This FY 2022-23 tax calculator computes tax as per the old tax regime and the new tax regime, to give you a quick view of savings (if any) under the new tax regime.

New tax regime

Under the optional new tax regime, an individual will have an option to pay tax at the reduced slab rates (mentioned below), subject to giving up almost 70 exemptions & deductions:
  • Income up to ₹250,000 Nil
  • ₹2,50,001 to ₹5,00,000- 5%
  • ₹5,00,001 to ₹750,000- 10%
  • ₹750,001 to ₹10,00,000- 15%
  • ₹10,00,001 to ₹12,50,000- 20%
  • ₹12,50,001 to ₹15,00,000- 25%
  • Above ₹15,00,000- 30%
Under the new tax regime, following exemptions and deductions (amongst others), cannot be claimed:
  • House Rent Allowance, Leave Travel Concession etc.
  • Standard deduction on Salary of INR 50,000; and deduction of professional tax
  • Loss under the head "House Property"
  • Almost all of the deductions available under Chapter VI-A of the Act [excluding employer's contribution to National Pension System (‘NPS’), which will be allowed as a deduction even under the new regime]. List of such common deductions disallowed under the new regime are:
    • 80C (life insurance premium, employee's contribution to Provident Fund, investment in Public Provident Fund etc.) up to INR 150,000
    • 80CCD(1B) (your contribution to NPS) up to INR 50,000
    • 80D (Medical insurance) up to maximum of INR 100,000
    • 80E (interest on education loan)
    • 80EEA/ 80EEB (interest on specified loans) up to INR 150,000
    • 80G (donation)
    • 80TTA/ 80TTB (deduction of specified interest income) up to INR 10,000/ INR 50,000
New tax regime can be opted on year on year basis for taxpayers earning income other than business income. However, for taxpayers having business income, such option can be changed only once in subsequent years.


Disclaimer

This tax calculator works under certain assumptions to calculate estimated tax liability; and may not provide accurate results in all circumstances. Thus, your actual tax liability may be different. Readers are advised to seek appropriate professional tax advice and compute their tax based on applicable provisions of the Income-tax Act, 1961 and Income-tax Rules, 1962.

This calculator is for resident individuals and does not account for loss under the head "Capital Gains".

Financial Year ("FY"): This means a period of 12 months (April to March) for which income is being taxed/ assessed.

Income Tax Comparison

Pre-Budget 2020-21Post-Budget 2020-21
ParticularsOld RegimeNew RegimeOld RegimeNew Regime
Gross Total Income0000
Deductions0000
Tax Payable0000

About Income Tax Calculator

The income tax calculator is an user-friendly online tool that is designed to provide an estimation of how much income tax you are liable to pay in a financial year after the Union Budget is presented. The calculator helps you with an approximate figure of your income tax liability by taking various data into consideration such as your income, house rent allowance (HRA) exemption, deductions, etc.

How to use Income Tax Calculator?

  1. 1. Choose your age bracket. This determines your tax slab rates that are applicable.
  2. 2. Select if you're a salaried employee or not.
  3. 3. Enter your salary breakup details such as Basic Salary, Dearness Allowance, House Rent Allowance (HRA), other allowances and perquisites.
  4. 4. Deduct exemptions on salary income (other than HRA) which are not allowed under new tax regime (e.g. Education allowance, Hostel allowance, Leave travel allowance, etc.)
  5. 5. Deduct HRA Exemption under Section 10(13A).
  6. 6. If you live in a rented house, enter the rent amount paid.
  7. 7. Less any professional tax paid.
  8. 8. Click on "Next".
  9. 9. Fill all the details in the "Income From House Property" section.
  10. 10. Fill details in the section "Income From Capital Gains."
  11. 11. Enter fields in "Deductions" under Section 80C, Section 80CCD(1B), Section 80CCD(2), Section 80D, Section 80E, Section 80EEA, Section 80EEB, Section 80TTA, and Section 80TTB.
  12. 12. Click on "Calculate Tax" and your taxable income and the tax payable will be displayed on screen....

Note: You can enter 0 in whichever fields not applicable.

How to calculate Income Tax?

Income Tax in calculated on your taxable income based on the applicable tax slab for you. Your taxable income is obtained by adding together all the income sources such as salary, rent, capital gains, etc. to get your gross income and then the deductions and exemptions you are eligible for are subtracted from it. Taxes which you have already paid in the form of TDS or advance tax will be adjusted while calculating the income tax.

Calculate Income Tax as per the old regime:

In the old tax regime, you benefit from standard deduction and can claim tax exemptions on HRA and LTA, and special allowances to get your income from salary. To this, add income from different sources, for example - house property, business/profession, capital gains, etc. to find your gross total income. Other than this, you can also claim deductions under Section 80C, 80D, 80TTA, etc., to get your taxable income.

Your taxable income is taxed at a specific tax slab rate and cess is added to give you your total income tax payment.

Calculate Income Tax as per the new regime:

In the new tax regime, you refrain from most exemptions and deductions, such as HRA, LTC, standard deduction, deduction under Sections 80C, 80D, 80E, 80G, and others. Add your income from other sources to income from salary to find your gross total income. Your taxable income is taxed at the concessional tax slab rates and cess is added to give you your total tax payment.

Income Tax slabs under old and new regime for FY 2022-23

Income range per annumTax Rate as per Old RegimeTax Rate as per New Regime
Upto Rs 2.50 Lakh No Tax No tax
Rs 2.50 Lakh – Rs 5 Lakh 5% 5%
Rs 5 Lakh – Rs 7.50 Lakh 20%10%
Rs 7.50 Lakh – Rs 10 Lakh 20% 15%
Rs 10 Lakh – Rs 12.50 Lakh 30% 20%
Rs 12,50,000 – Rs 15,00,000 30%25%
Above Rs 15,00,000 30%30%


Note: Under the old tax regime, the basic exemption limit is Rs 3,00,000 for a person aged between 60 years to 80 years old and Rs 5,00,000 for a person 80 years old or above.

Under the new tax regime, tax slab is same for all individuals irrespective of their age.


What is the eligibility criteria to file Income Tax?

Any resident of India with gross total income of more than the basic exemption limit must file ITR or income tax returns. However, if an individual's total income is less than the taxable limit, he/she can file a NIL return.

Other entities that file Income Tax Returns in India are:
Associations of Persons (AoPs)
Hindu Undivided Family (HUF)
Corporate firms
Local authorities
Organisations
Charitable trusts
Body of Individuals (BOI)
Artificial juridical persons


Depending on the total income of the taxpayer, the correct ITR form must be filled.

FAQs

  1. How much income tax should be paid on salary?
    It simply depends on your taxable income and the income tax slab applicable to you. Your taxable is what you get after subtracting the exemptions and deductions from your gross total income, which includes your salary (less HRA, standard deduction, etc. for the old regime) and other sources income.

    The tax slab for new tax regime and old tax regime is different.
  2. What is the difference between deduction and exemption?
  3. How will the new tax regime work for a person?
  4. Is the new tax regime optional? Can I change the option for any financial year?
  5. Which income is non-taxable in India?
  6. What is the maximum limit for non-taxable income?
  7. What if you do not pay income tax?
  8. Is HRA taxable?
  9. Does everyone have to file income tax returns (ITR)?