The new slabs for Income Tax in India were proposed in the Union Budget 2010 by Finance Minister, Pranab Mukherjee. Given the new tax slabs that are expected to be in force from the FY 2010-11 or Assessment Year 2011-12 we have prepared an Income Tax Calculator for financial year 2010-11 for your convenience.
Broadly speaking, the tax slabs exempt all income below INR 1,60,000 whereas the income between INR 1,60,000 and INR 5,00,000 is proposed to be taxed at the rate of 10%. The next income tax slab lies between INR 5,00,000 and INR 8,00,000 for which the rate of taxation is 20%. Finally, all income above INR 8,00,000 would be taxed at the rate of 30%.
Also, the minimum turnover limit for small businesses for mandatory audit has been raised to INR 60,00,000. Similarly, in case of individuals, professional receipts exceeding INR 15,00,000 would be subjected to compulsory audit for filing of Income Tax Return.
Using the income tax calculator 2010-11 attached with this post you can see that for most of the individuals having income levels above INR 3,00,000 there is a steady reduction in the overall income tax liability. This is a clear step to reduce the overall tax burden from the shoulders of Indian Middle class which typically has income between 3,00,000 to 10,00,000 rupees per-annum – and especially so for the salaried people.
Please find the income tax calculator 2010-11 attached. This calculator caters to Assessment Year 2011-12 ( AY 2011-12).
Income Tax Calculator for Financial Year 2010-2011 (97.5 KiB, 148,793 hits)
Related posts:
hi pankaj
I want to know whether there is tax exemption for higher studies’ fee such as MS,M tech ( IE.for amount of fees paid) ,when someone is employed and studying simultaneously and the said fees are paid from salary only ?
Thanks
Rohan
@Rohan
There is no exemption for fees paid towards your higher education.
But If education loan is availed, whole interest paid is deductible from taxable income under section 80-e.
Hi Pankaj,
I am salaried employee and travel to and fro to office on my own and cost me around Rs4000 to Rs5000/PM. Can i claim tax deduction, if so what is the maximum amount i can claim and how to calculate for tax deductions.
Thanks in advance
Raman
@Raman
There is no as such tax deduction available for such expenses.
Your employer can add conveyance allowance (max 800 per month non-taxable) or petrol (1800 pm non taxable, 2400 in case of big car) and driver (900 per month non-taxable) reimbursements to your package structure.
If that happens these amount won’t be included to your taxable income.
Hello Pankaj ji,
I am a accountant and working parttime bookkeeping with so many retailers and traders in shimla city distt of himachal pradesh.
So I wants know how can be calculate the income tax ( formula of calculation )
cause here i download a excel sheet made by you. is not match with formula , i am calculating ( Total Income- rebate slab ) * rates of tax
Example (410151-160000)*10% amount should 25015 but your excel shows 23015
here is the differance of rs 2000/- why ? sir please guide me the calculation than i can deposit the tax of my all clients.
@Rakesh
We have crossed checked and its coming as 25015 only.
Please check sheet at your end. Gender has been rightly selected as Male and all other exemptions are correctly put.
In case you are not able to find issue, please send excel on help@pankajbatra.com
Ok
I shall be check if its not done , than sent u excel sheet
@Rakesh
Seems like you are using Tax calculator sheet for 2011-12 for computing income tax of FY 2010-11.
Please download sheet for FY 10-11
Thanks
Sir Need some more help please , here is one figure i.e insurance policy rs 35000 and tds received 18380. sir how can i calculate it please guide me
@Rakesh
You can put insurance policy and TDS deducted under C63 and D:O101 cells to compute income tax.
Pankaj ji
I shall be Deposit Rs/500 in icici bank account bt after 10th of sep 2011.
Thanks fos to guide me and sir when i put TDS amount in excel it is not less fron the payable amount in xcel Example (22160-18380 )=3780 but it not shows like this
@Rakesh
If problem is not sorted now also, Please send excel at help@pankajbatra.com.
Hi Pankaj,
I have worked for 3 companies in financial year Apr’2010 – Mar’2011. Ist Company – 1st Apr’2010 – 4th June’2010 IInd Company – 16th June’2010 – 26th Nov’2010 IIIrd Company – 29th Nov’2010 – Till Date
Now, I have 3 Form 16 from my all companies. The Question is, Ist & IInd company has not considered HRA exemption in FORM 16 and total salary is put under Income Head.
My IIIrd company has considered HRA exemption but that is from 29th Nov’2010 to 31st Mar’2011. Now, when I am calculating my Income to submit ITR, as per form 16, it is coming to pay an additional 12000+ INR as Income Tax. That is due to the HRA not considered by previous 2 companies.
If they have considered, Additional tax is coming to only 1200.
Please suggest, Is there an option in filling ITR, where I can still take an HRA Exemption. I have my all Pay Slips for that period and also Rent Agreements and Rent Receipts. Also, the Final Settlement letter given by the company.
Please reply to pawandeep.solutions@gmail.com
Thanks & Regards
Pawan Deep Singh
@Pawan
your query has already been answered on http://www.socialfinance.in/questions/1488/need-advice-my-previous-company-has-not-considered-my-hra-exemption-in-form-16
Hey Pankaj,
Your Excel is great, i just need one help,
How to find out my take home, i mean what cells i have to use to calculate.
Regards
Latha.
@Latha
Row 113 and 114 in 2011-12 file and 106-107 in 2010-11 file shows in hand or take home figures.
iam an employee my salary is 8000 per month want to know does it have tax deduction?my sir says its tax deduction
@Aparna
If you are not a permanent employee and works on contract job, company will deduct TDS on payments.
It will be deducted every month at rate of 10%.
is the tax calculated every month or year wise? if monthly how?
Hi Pankaj,
I miscalculated my Taxable income. (e.g. it was like ****05, so it should have been treated as ****10.But coz I’m not aware if this fact I assumed it to be ****05 )
Now as per, “Intimation U/S 143(1)” that CPC have sent to me via e-mail (I used e-filling), my total taxable income is Rs 4943 whereas I have paid Rs 4842.
What should I do now?
Do I need to pay Re 1, if yes, How?
Is this e-mail, “Intimation U/S 143(1)” is a notice?
Please guide.
Hi Pankaj,
One more query..regarding this financial year.
I have took a loan of 15Lac & also possession have been taken.
Property is in the of me & my mother.
So , bank insisted loan should also be in the name of both.
But, the whole loan is paid me.
So, can I take 100% rebate on tax or only 50% as its in the name of me & my mother.
Please suggest.
@Praveen
If whole interest payment is done by you, you can claim full 100% interest claim subject to 1.5 lac annual limit.
Same with principal payment, you can claim full 100% principal payment under 80C, subject to total 1 lac limit in 80C.
@Praveen
It should not be an issue and you need not to worry for same. This small amount is not really an issue.
But if you really want to pay it, it can be paid online on this link: Pay Tax Online (Use only Internet explorer for this).
Select challan type as CHALLAN NO. /ITNS 280 and continue. Select (0021) INCOME-TAX (OTHER THAN COMPANIES) in tax applicable field and Select (300) SELF ASSESSMENT TAX in type of payment.
Select bank through which you want to pay.
Intimation U/S 143(1) is not a demand notice but a assessment report.
If Purchase are more than rs. 90 Lakhs, and sales are Rs. 10 Lakhs, will tax audit be applicable?
@Shakir
I think audit won’t be applicable as sales are less than 60 lacs.
Dear Pankaj ji
I am working in Gulf from last 4 years but i hv not file any returns, how can i regularise the filing of retuns. and are there any issues.?
@A K Joshi
If your Indian income was below taxable range, it was not mandatory to file income tax return.
There won’t be an issue if you have not filed income tax return for these years.
how much income tax should i pay if i worked only for 7 months for a salary of 30,000 and was on leave for the rest of year
@Surekha
Please download income tax calculator and compute income tax liability yourself.
You can put salary for remaining 5 months as zero in calculator.
Hi Pankaj,
Your Tax caluclator is really good and help full.
One clarification; after calculating the taxable total income should 160000 be subtracted and then the tax be calculated.
Regards,
Rajesh
@Rajesh
There is a misconception that 1.6 lakh is tax exemption/deduction.
In reality, on first 1.6 lakh there is zero percent income tax.
So if a person has taxable income of 3 lakh, tax would be (1.6L x 0%) + (1.4L * 10%)
Dear Pankaj,
As you said
If a person has taxable income of 3 lakh, tax would be (1.6L x 0%) + (1.4L * 10%)
Now here is my query
If my total CTC is 7 lakh, the tax calculation will be
(1.8L X 0%) + (5.2L X 20%)
or
(1.8L X 0%) + (5L X 10%) + (0.2L X 20%) … ?
@Amit
Below are the slab income tax rates for FY 2011-12 (AY 2012-13) for a man below 60 years age.
Upto Rs. 1,80,000 – Nil
Rs. 1,80,001 to Rs. 5,00,000 – 10 per cent
Rs. 5,00,001 to Rs. 8,00,000 – 20 per cent
Above Rs. 8,00,000 – 30 per cent
So In case 7 lakh taxable income, income tax would be (1.8L x 0%) + (3.2L x 10%) + (2L x 20%)
Your Income tax calculator is great but there is no option of putting Agricultural income anywhere.
How to account for agricultural income?
@S.K Srivastava
Thanks for suggestion.
As agricultural income is not taxable, it was not put. But we will add that provision soon.
Sir i have two house and my total rental income is 614000/ i have raised a house loan of rs800000/ and my LIC installment is 3640/per anm plz help me to compute my income tax for current year
@Arvind
Please download and use income tax calculator excel to compute your income tax liability yourself.
Great tool. Kudos.
Noticed that
- If I enter Home Loan and self occupied, it limits the interest to 1.5L s per rule. Does the excel remove the HRA automatically or I need to remove them from a month
- If I enter as a rented home, whatever interest I enter is detected from total income. Is that the tax rule? Any reference on this?
- How to get the editable version?
@Rajaram
HRA and home loan exemption depends on two fields.
C57 cell: On loan and Self Occupied/On loan but Rented out
C39 cell: Availing both HRA and Home loan exemption/Availing Only HRA Benefit/Availing Only Home loan exemption
Case 1: Availing both HRA and Home loan exemption and On loan and Self Occupied: It may happen when you get possession of own house in between financial year. Interest exemption would be limited to 1.5 lac and HRA deduction would be computed based on normal formula of basic salary, rent paid and HRA received.
Case 2: Availing both HRA and Home loan exemption and On loan but Rented out: It may happen that you own a house in a different city but job is in different city. So you don’t live in your own house and have rented it out. This case should not be selected in case you already own a house in same city or at a commutable distance from office and have got possession of house.
In this case its advisable to show house rent (if its not rented, a notional rent has to be shown). There is no limit of interest exemption in this case and whole interest payment (even more than 1.5 lac) can be exempted.
Case 3: Availing Only HRA Benefit and Anything in cell C57: HRA deduction would be computed based on normal formula of basic salary, rent paid and HRA received. This case should not be selected in case you already own a house in same city or at a commutable distance from office and have got possession of house.
Case 4: Availing Only Home loan exemption and On loan and Self Occupied: HRA deduction won’t be computed. Max interest exemption would be 1.5 lacs.
Case 5: Availing Only Home loan exemption and On loan but Rented out : HRA deduction won’t be computed. In this case its advisable to show house rent (if its not rented, a notional rent has to be shown). There is no limit of interest exemption in this case and whole interest payment (even more than 1.5 lac) can be exempted.
Dear Pankaj
Can you please help me out about the tax calculation details and how much saving s i need to have .
My salary is 36k per month nd i have invested in 4 policies nearly abt 100000per year, So can u help me to understand the savings details & upto what amount i can invest to avoid taxes.
@Sunil
Please download and use income tax calculator for compute income tax and deductions.
If I leave India on May 29, 2012 and remain outside the country (I will be in India just for 59 days in FY 2012-13) and conduct business outside India & pay taxes to the foreign government then will I be considered NRI for FY 2012-13. Would I be exempted from adding my overseas business income here in IT Return for AY 2013-14?Please confirm. Thank you.
@Shiv
From FY 2012-13, once direct tax code is applicable, a person will be deemed as resident only if he has also resided in India for 365 days or more in the preceding four financial years, together with 60 days in any of these fiscal years.
So if you have lived in India for more than 365 days (total) during duration Apr 2008 – Mar 2012 and stays less than 60 days in India in FY 2012-13, you would still be normal residents and have to pay income tax on global income in India.
This definition as you mentioned is still unclear. One is deemed resident only if s/he together with 60 days but as I mentioned if I am not in India for more than 59 days so above definition if resident does not fulfil and one should be deemed as Non-resident.
Do you agree?
@Shiv
There is other condition you have to fulfill to make you with non-resident status which is: You should not have lived in India for more than 365 days (total) during previous four years.
Sir,
I joined new company on 16th Aug, 2011 and I have CTC per annum is 3 Lakhs. but uptil march i will complete only 7 months. upto march I will get total salary of 1,75000 which is less than 1,90000. So still I hav to pay any tax ? If no then wether I hav to fill any form?
Thank You
@Alka
If you were not doing any job before Aug, 2011 and this 1.75 L is your total income in financial year 2011-12, then you won’t need to file income tax return as your income is below taxable range.
LET ME KNOW UNDER WHICH SECTION ARE CAR REIMBURSEMENT EXPENSES NON TAXABLE AS AN ALLOWANCE.
@Hiren
There is no standard rule for income tax exemption for car reimbursement allowance.
This facility can only provided by employer and reimbursed back on actual bills.
dear sir, my friend is changed company in 10th jan 2011 ( both companies are pvt sector company) I have doubt about how to calculate taxable income from salary
is it is correct
PARTICULAR AMT AMT AMT
SALARY INCOME
A *EMPLOYER (i)
SALARY U/S 17(1) 508388
PERQUISTES U/S 17(2) 0
LIEU SALARY U/S 17(3) 100000 608388
**EMPLOYER (ii)
SALARY U/S 17(1) 176935
PERQUISTES U/S 17(2) 14600
LIEU SALARY U/S 17(3) 0 191535 799923
B LESS ALLOWANCE U/S 10
*EMPLOYER (i)
CONVENCE 7200
MEDICAL ALLOWANCE 15000
EDU.ALLOWANCE 1800 24000
**EMPLOYER (ii)
CONVENCE 0
MEDICAL ALLOWANCE 0
EDU.ALLOWANCE 0 0 24000
1 BALANCE (A-B) 775923
LESS DIDUCTIONS
*EMPLOYER (i)
a ENTERTAINMENT ALLOWANCE 0
b TAX ON EMPLOYMENT 1900 1900
**EMPLOYER (ii)
a ENTERTAINMENT ALLOWANCE 0
b TAX ON EMPLOYMENT 0 0
C 2 AGGREGATE OF (a) (b) 1900
CHARGEABLE INCOME UNDER HADE OF SALARY (1-2) 774023
LESS HOUSING LOAN 147650
GROSS TOTAL INCOME UNDER HEAD OF SALERY 626373
LESS DIDUCTIONS
DIDUCTIONS U/S 80C,80CCC,80CCD
U/S 80C
LIFE INSURANCE PRIMIUM 18000
PAYMENT ON HOUSING LOAN 58294
PROVIDENT FUND
*EMPLOYER (i)
27252
**EMPLOYER (ii)
9799 37051
0
DIDUCTABLE AMT. 100000
U/S 80CCC
*EMPLOYER (i)
0
**EMPLOYER (ii)
0 0
U/S 80D
*EMPLOYER (i)
MEDICAL ALLOWANCE 15000
**EMPLOYER (ii)
0 15000
AGGRATE DIDUCTION U/S 80C,80CCC,80CCD,80E,80G 115000
TOTAL INCOME UNDER HEAD OF SALARY 511373
@Harsh
Please download income tax calculator and compute income tax yourself.
thanks sir
but i am confuse at how to campute taxable salary income from 2 employer?
@Harsh
In income tax calculator, there are monthly fields, so you need to enter income month-wise. It does not matter how many employers you had in this year.
Hello Sir,
I have been working in Belgium for almost 5 months now. I have been paying tax on my Income earned here. Probably I will stay for more than 183 days in the year 2011-2012. I have only 3 questions:
1.I have transfered some amount in my Indian Savings Bank Account. Will it be taxable as the amount is transfered before I have gained NRI status.
2.Should I open a new NRI Bank account or should I convert my existing Savings Accounts?
3.What necessary notification should I make to my Insurance Companies, Banks and other financial institutions?
Regards
DK
@DK
1. As such there is no income tax on amount transfer to your Indian account. But interest earned in Indian account would be taxable in India.
2. You should open a NRE account or get your existing account converted into this. If this is done, interest in such account would not be taxable. You can transfer amount from foreign accounts to this one in India. This account would be converted back to normal resident account when you come back to India and gain resident status.
3. You should inform your country change to your insurance company and banks to avoid any inconvenience in future.