The Excel-based Income Tax Calculator serves to compute taxes on various sources of income, including salary, pension, gifts, fixed deposits, bank interest, house rent, and capital gains (both short and long-term).
New Tax Regime Scheme (Section 115 BAC)- Income Tax rates for the financial year 2025-26/2026-27
| For Everyone | |
| Upto Rs. 4,00,000 | Nil |
| Rs. 4,00,001 to Rs. 8,00,000 | 5 per cent |
| Rs. 8,00,001 to Rs. 12,00,000 | 10 per cent |
| Rs. 12,00,001 to Rs. 16,00,000 | 15 per cent |
| Rs. 16,00,001 to Rs. 20,00,000 | 20 per cent |
| Rs. 20,00,001 to Rs. 24,00,000 | 25 per cent |
| Above Rs. 24,00,000 | 30 per cent |
New Tax Regime Scheme (Section 115 BAC)- Income Tax rates for the financial year 2024-25
| For Everyone | |
| Upto Rs. 3,00,000 | Nil |
| Rs. 3,00,001 to Rs. 7,00,000 | 5 per cent |
| Rs. 7,00,001 to Rs. 10,00,000 | 10 per cent |
| Rs. 10,00,001 to Rs. 12,00,000 | 15 per cent |
| Rs. 12,00,001 to Rs. 15,00,000 | 20 per cent |
| Above Rs. 15,00,000 | 30 per cent |
Old scheme: Income Tax rates for the financial year 2018-19/ 2019-20/ 2020-21/ 2021-22/ 2022-23/ 2023-24/ 2024-25/ 2025-26/ 2026-27
| For Men | |
| Upto Rs. 2,50,000 | Nil |
| Rs. 2,50,001 to Rs. 5,00,000 | 5 per cent |
| Rs. 5,00,001 to Rs. 10,00,000 | 20 per cent |
| Above Rs. 10,00,000 | 30 per cent |
| For Women | |
| Upto Rs. 2,50,000 | Nil |
| Rs. 2,50,001 to Rs. 5,00,000 | 5 per cent |
| Rs. 5,00,001 to Rs. 10,00,000 | 20 per cent |
| Above Rs. 10,00,000 | 30 per cent |
| For a resident individual of 60 years or above (Senior Citizens) | |
| Upto Rs. 3,00,000 | Nil |
| Rs. 3,00,001 to Rs. 5,00,000 | 5 per cent |
| Rs. 5,00,001 to Rs. 10,00,000 | 20 per cent |
| Above Rs. 10,00,000 | 30 per cent |
| For a resident individual of 80 years or above (Very Senior Citizens) | |
| Upto Rs. 5,00,000 | Nil |
| Rs. 5,00,001 to Rs. 10,00,000 | 20 per cent |
| Above Rs. 10,00,000 | 30 per cent |
Kindly access the Income Tax Calculator through the provided links, tailored to your specific financial year/assessment year. This tool is designed to be user-friendly, and suitable for individuals with basic proficiency in Microsoft Excel.
- FY 2026-27 (AY 2027-28):
Income Tax Calculator for financial year 2026-27 (151.5 KiB, 2,893 hits)
- FY 2025-26 (AY 2026-27):
Income Tax Calculator for financial year 2025-26 (151.5 KiB, 31,993 hits)
- FY 2024-25 (AY 2025-26):
Income Tax Calculator for financial year 2024-25 (150.5 KiB, 31,035 hits)
- FY 2023-24 (AY 2024-25):
Income Tax Calculator for financial year 2023-24 (149.5 KiB, 26,867 hits)
- FY 2022-23 (AY 2023-24):
Income Tax Calculator for financial year 2022-23 (148.5 KiB, 14,188 hits)
- FY 2021-22 (AY 2022-23):
Income Tax Calculator for financial year 2021-22 (147.5 KiB, 10,838 hits)
- FY 2020-21 (AY 2021-22):
Income Tax Calculator for financial year 2020-21 (141.5 KiB, 24,643 hits)
- FY 2019-20 (AY 2020-21):
Income Tax Calculator for financial year 2019-20 (125.0 KiB, 57,963 hits)
- FY 2018-19 (AY 2019-20):
Income Tax Calculator for financial year 2018-19 (125.0 KiB, 75,042 hits)
- FY 2017-18 (AY 2018-19):
Income Tax Calculator for financial year 2017-18 (117.5 KiB, 47,201 hits)
- FY 2016-17 (AY 2017-18):
Income Tax Calculator for financial year 2016-17 (136.5 KiB, 41,346 hits)
- FY 2015-16 (AY 2016-17):
Income Tax Calculator for financial year 2015-16 (263.0 KiB, 55,298 hits)
- FY 2014-15 (AY 2015-16):
Income Tax Calculator for financial year 2014-15 (136.0 KiB, 85,348 hits)
- FY 2013-14 (AY 2014-15):
Income Tax Calculator for financial year 2013-14 (130.5 KiB, 60,077 hits)
- FY 2012-13 (AY 2013-14):
Income Tax Calculator for financial year 2012-13 (119.0 KiB, 95,057 hits)
- FY 2011-12:
Income Tax Calculator for financial year 2011-12 (116.0 KiB, 198,880 hits)
- FY 2010-11:
Income Tax Calculator for Financial Year 2010-2011 (97.5 KiB, 162,705 hits)
- FY 2009-10:
Income Tax Calculator for Financial Year 2009-2010 (72.0 KiB, 71,416 hits)
- FY 2008-09:
Income Tax Calculator for Financial Year 2008-2009 (71.5 KiB, 28,692 hits)
Changes in FY 2020-21 (Budget Feb 2020):
- Optional new tax regime – No change in the existing tax slab rates, but a new tax regime has been proposed. If individuals don’t take exemptions and deductions, they would be taxed at reduced tax rates.
- Additional 1.5 lacs deduction available u/s 80EEA on home loan interest subject to the following conditions:
a) The loan must be taken between April 1, 2019, and March 31, 2021;
b) The value of house property must not exceed Rs 45 lakh; and
c) Individuals should not own any house on the date of sanctioning of the loan.
Changes in FY 2019-20 (Budget July 2019):
- Additional 1.5 lacs deduction available u/s 80EEA on home loan interest subject to following conditions:
a) The loan must be taken between April 1, 2019, and March 31, 2020;
b) The value of house property must not exceed Rs 45 lakh, and
c) Individual should not own any house on the date of sanctioning of the loan. - 15% surcharge between 1 to 2 crores of taxable income, 25% between 2 to 5 and 37% above 5 crores.
Changes in FY 2019-20 (Interim Budget Feb 2019):
- Full tax rebate (u/s 87A) for taxable income (after all deductions/exemptions) upto Rs 5 lakhs.
- Standard deduction increased for salaried persons from 40,000 to 50,000.
- No notional rent for second self-occupied house property under income from house property.
- TDS deduction on fixed deposits threshold increased from existing 10,000 to 40,000.
- Section 54 exemption is applicable for up to two house property purchase (once a life) if capital gains are less than or equal to 2 crores.
- Income tax slabs remain the same as the previous year.
- Anonymous and online system for assessments: Within the next 2 years, scrutiny to be done without any physical interface between taxpayer and tax officer and to be done electronically without disclosing each other’s identity. We wrote it as one of our suggestion in Open Letter to Narendra Modi in Dec 2016.
Changes in FY 2018-19:
- Removal of conveyance allowance and medical reimbursement and Addition of standard deduction of Rs 40,000
- Cess on tax increased from 3% to 4% (education and healthcare cess)
- LTCG introduced @ 10%, for gains exceeding 1 lakh earned from listed stocks/equity-linked mutual funds
- Section 80D now allows up to Rs 50,000 deduction for plan taken for senior citizens
- New section 80TTB added for senior citizens which allow up to Rs 50,000 deduction for income from saving bank interest or income from fixed/recurring deposits. But 80TTA (10,000 deductions for saving bank interest) and 80TTB cannot be applied together. Under section 194A the threshold for deduction of tax at source on interest income for senior citizens has been raised from Rs. 10,000 to Rs. 50,000
- Capital gain bonds u/s 54EC duration increased to 5 years from 3 years
Changes in FY 2017-18:
- The reduced income tax rate on income between Rs. 2.5 lakh and Rs. 5 lakh to 5 per cent from 10 per cent.
- Reduced Section 87A rebate from Rs. 5,000 to Rs. 2,500. And no rebate will be applicable for taxpayers having income above Rs. 3.5 lakh.
- Additional Surcharge of 10%, if taxable income is above 50 lakhs.
- Max loss from house property for let out property can be 2 lakhs.
- Period for applicability of long term capital gains for house property reduced to 2 years from 3 years, and base year changes to April 2001 for indexation computation.
- Individual and HUF taxpayers to deduct tax at source @ 5% of the rent paid by them in case the amount of the rent exceeds Rs. 50,000 per month.
Changes in FY 2016-17:
1. Rebate increased to 5000 from 2000 u/s 87A
2. Like NPS, tax deduction also available for APY (Atal Pension Yojana)
This excel calculator supports the inclusion of the following components, explanation for each is also provided along:
House Rent Allowance (HRA): Rent receipts can be shown for taking tax benefit for living in a rented house. Income tax exemption for HRA will be least of the following:
- The actual amount of HRA received as a part of the salary.
- 40% (if living in non-metro area) or 50% (if living in metro area) of (basic salary+Dearness allowance (DA)).
- Rent paid minus 10% of (basic salary+DA).
In some cases, the deduction for both HRA and home loan interest (u/s 24) can be taken together in case owned house is not in the same city or not at a commutable distance to office.
Transport/Conveyance allowance: Rs 800 per month is non taxable if salary has this component. This would not be exempted in case of employee also avail of car reimbursement. No proofs/bills required to submit for this exemption.
Children education allowance: Per school-going child 1200 per annum is non-taxable. Maximum for 2 children, so max 2400 per annum becomes non-taxable.
Grade/Special/Management/Supplementary Allowance: That’s a general component in the industry to complete CTC amount after putting 35-40% into basic and 20% in HRA. This is not an expense, but this head is kept just to put the rest of the CTC amount into some component.
Arrears: Generally arrears are fully taxable, but the employee may claim exemption u/s 89(1). One would need to compute income tax on the arrears if it would have been received in the actual year. Now the difference of income tax between payment year and actual year would be allowed for deduction.
Gratuity: If the amount is received before completion of five years of service with the employer, it should be taxable. Else it would be non-taxable up to Rs 10 lakh in the case of non-government servants. In the case of Government service employees, it would be fully non taxable.
Leave travel allowance (LTA): Two trips on a block of four years can be claimed for exemption for travel done inside India. The following amount would be non-taxable:
- Where journey is performed by rail; railway-fare in first AC class by shortest route to the destination.
- Where places of origin and destination are connected by rail but the journey is performed by any other mode than first AC class fare by the shortest route to the place of destination.
- Where the place of origin of journey and destination, or part thereof, are not connected by rail and journey is performed by any other transport; then (i) If a recognised public transport system exists between such places the first class or deluxe class fare of such transport by the shortest route, or, (ii) If in other case, first AC class fare for the distance of the journey by the shortest route, as if the journey has been performed by rail.
- The actual amount received
- The cash equivalent of leave balance (max 30 days per year of service)
- Maximum of 10 months of leave encashment, based on last 10 months average salary
- Rs. 3 Lakh
Performance Incentive/Bonus: This component would be fully taxable.
Medical allowance/Reimbursement: This component is on-taxable up to 15000 per year (or Rs 1250 per month) on producing medical bills.
Food Coupons – Non-taxable up to 50 Rs per meal. So a 22 working month and one meal per day would make Rs 1100 as non taxable. Sodexo or Accor ticket coupons may also be provided by the employer for the same.
Periodical Journals: Some employers may provide a component for buying magazines, journals and books as a part of knowledge enhancement for business growth. This part would become non-taxable on providing original bills.
Professional Development Allowance: If original bills are submitted to the employer, this allowance may become non-taxable. Generally payment done towards any technical course fee, certification etc done to enhance professional knowledge can be reimbursed.
Uniform/Dress Allowance: Some sections of employees mat get an allowance for the purchase of office dress/uniform. In such a case, the component would become non-taxable.
Telephone reimbursements – In some cases, companies may provide a component for telephone bills. Employees may provide actual phone usage bills to reimburse this component and make it non-taxable.
Internet Expenses – Employer may also provide reimbursement of internet expenses and thus this would become non taxable.
Car expense reimbursements – In case the company provides a component for this and employee use the self-owned car for official and personal purposes, Rs 1800 per month would be non-taxable on showing bills for fuel or can maintenance. This amount would be Rs 2400 in case the car is more capacity than 1600cc.
Driver salary – If the employee pays the driver salary for a self-owned or company-owned car, Rs 900 per month may become non-taxable if the employer provides a component for it.
Gift from relatives vs non relatives: Gifts from relatives would be non-taxable with no limits attached. Following relations are covered under the non-taxable rule:
- Spouse of the individual
- Brother or sister of the individual
- Brother or sister of the spouse of the individual
- Brother or sister of either of the parents of the individual
- Any lineal ascendant or descendant of the individual
- Any lineal ascendant or descendant of the spouse of the individual, Spouse of the person referred to in clauses (2) to (6).
If gifts received from non-relative persons is worth more than Rs.50000, one is liable to pay the tax on whole value. Gift can be in form of a sum of money (in cash/cheque/bank draft/electronic transfer) or any articles.
Agricultural Income: If one has only only agricultural income, then it is fully exempt from income tax. If other income also there, a rebate on agricultural income would be provided at a 10-30% rate depending on the actual amount of agricultural income.
House rent Income: 30% of the rental income can be reduced as a standard deduction for repairs, maintenance etc. irrespective of the actual amount spent.
Bank/Fixed deposit/Post Office/NSC/SCSS interest: Interest earned on bank account, fixed deposits, post office, debt mutual funds/fixed maturity plans(kept less than one year) would be added to taxable income and taxed as per slab rates.
Short Term Gains from Share Trading/Equity Mutual funds: if stocks/equity mutual funds are sold before one year, 15% tax would be payable on such gains. STT should have been on transaction.
Long term gains from Share Trading/Equity Mutual funds: If stocks/equity mutual funds are kept for more than a year before the sale, it would be long term gains and such gains would be fully exempt from income tax. Securities transaction tax (STT) must have been paid on transactions for availing this exemption.
Section 80C, 80CCD and 80CCC deductions– One can claim his investments/payments under section 80C, 80CCC and 80CCD, up to 1.5 lakh (1 lakh before FY 2014-15) combined limit. Amount can be invested in:
- Tax saving mutual funds (ELSS) with three years lock-in
- Five-year tax-saver bank Fixed deposits
- Public provident fund (PPF)
- National Savings Certificate (NSC) or National Service Scheme (NSS)
- Employer contribution into New Pension Scheme (NPS) (Section 80CCD)
- Life insurance/Unit Linked Insurance Plan (ULIP) premium
- Employee’s contribution towards Employee provident fund (EPF)
- Home loan principal amount payment (only if you have got possession of the house)
- Senior citizen savings scheme (SCSS), if your age is more than 60 years
- Post office tax-saving deposit or tax saving bonds
- Pension scheme/Retirement plans (Secion 80CCC)
- Tuition fees paid for children education
- Sukanya Samriddhi Scheme
Section 80D : Maximum deduction of up to 25,000 (15,000 before FY 2015-16) under medical or health insurance offered by life insurers taken for self and family. An additional deduction of up to 15,000 for buying cover for dependent parents. If parents/assessee are senior citizens, they can claim a deduction of up to Rs 30,000.
Section 80DD : Deduction of 75,000 for maintenance of a disabled dependent. If the disability is severe, the deduction amount will be 125,000.
Section 80E : Tax relief on interest payments on education loan taken for higher studies for self, spouse or child. There is no maximum limit on this deduction.
Section 80G: The eligibility is 50% or 100% of the donation amount subject to an overall ceiling of 10% of your gross total income to certain funds and charitable institutions.
Section 24/Home loan interest payment : The maximum limit is of 1.5 lakh on interest payments of a home loan for a self-occupied house. There is no ceiling on the amount of deduction if the house is let out or deemed to be let out. House rent would need to show in income in case house is not self-occupied.
Section 80U (Disabled/Handicapped person): Deduction can be claimed if a person has a disability. The allowed dedudtion for Rs 75,000. This deduction goes up to Rs. 100,000 in case disability is severe.
Section 80DDB deduction (Medical treatment expenses): Expenses done for medical treatment for self, spouse, dependent children, parents, brothers and sisters. Maximum deduction can be Rs 40,000 (goes up to 80,000 in case the patient is a senior citizen). Deduction is only allowed in the case of following diseases:
- Neurological Diseases where the disability level has been certified to be of 40% and above,
(a) Dementia
(b) Dystonia Musculorum Deformans
(c) Motor Neuron Disease
(d) Ataxia
(e) Chorea
(f) Hemiballismus
(g) Aphasia
(h) Parkinson’s Disease - Malignant Cancers
- Full Blown Acquired Immuno-Deficiency Syndrome (AIDS)
- Chronic Renal failure
- Haematological disorders :
(a) Hemophilia ;
(b) Thalassaemia.
Professional tax: Professional tax deducted from salary by employer should be removed from taxable salary before computation of income tax.
Employer contribution of EPF/New pension scheme(NPS): Employer contribution does not become part of employee’s income and hence income tax is not payable on this part.
Tax deducted at Source (TDS) deduction: As per income tax rules, all payment which is taxable in nature should be done after deduction of taxes at the source itself. Hence employer computes income tax on salary payment and deducts it every month. This TDS is based on employee’s saving/investment declaration at the start of year. If investments for tax saving is not done, large amount may be deducted in the last few months.
In-Hand monthly salary: After deduction of all components like TDS, EPF etc in hand monthly salary is computed.
In-Hand monthly salary without reimbursements: Some of the employees get reimbursements components separately in a different payment other than salary, So this figure shows in hand salary w/o reimbursement components like medical, telephone, internet bills, driver salary etc.
Total income this year: This figure shows the whole year’s income from all sources combined.
Advance tax schedule: As per income tax rules, 30% of income tax should be paid by 15th Sept, 60% by 15th Dec and the rest by 31st March. If its not followed one may be charged interest penalty u/s 234C.
If you want to use a simple web based calculator, you may try, official income tax calculator by income tax department
Disclaimer: We are not responsible for any inaccuracies in the income tax computed by this tool. If one finds any issue, they can report same to us through contact us page and we would try to fix the problem as soon as possible.
Hello sir,
Could you please tell me that under which section allowance paid tpwards
1) Professional Development and 2) Books and Periodicals can be exempted and what are the provisions for the same for F.Y. 2012-13 and F.Y. 2013-14.
Thank you,
Regards,
Prashant
@Prashant
These are not standard income tax deductions/exemptions.
Employer may reimburse these expenses as business expense on producing original bills. So these does not form part of employee’s salary in that case and no tax would be applicable hence.
Retirement (60years)leave salary 300days encashment taxable?
@Shibnath
If Govt employee, non taxable.
Hi Pankaj,
The tax calculator which you have created is very useful and the site is very informative. Thank you very much for sharing.
Regards,
Krishna
@Krishna
Thanks for the appreciation 🙂
can we add our contribution to nps (10%of our salary) + our employer contribution (10% salary) both in our deductions from gross salary for fy 2012-13.
@Vipul
Your contribution would go u/s 80C and employer part would go under 80CCD(2).
HI Pankaj,
I have a doubt on Interest earned by Banks.
1. IN case of interest earned in saving account aloong with FD is less than 10K in a year, then do I need to show it while filing ITR?
2. And if I have only income from bank interests and that is say 20K, so My yearly income will be 20 K, then will I have to pay tax on that? Can I get my TDS reimbursed after filing ITR, which ITR will have to be used?
3. DO I need to add Interest earned on RD in my ITR?
Thanks
@Kumar
1. Interest earned on savings bank account, Fixed deposits and Recurring deposits needs to be shown in income from other sources section in ITR. It does not matter if amount is less than 10,000 or more.
2. You can claim refund for extra TDS deducted by filing ITR. ITR1 can be used if income is only from bank interest and/or from salaries.
3. Yes, interest earned on RD (recurring deposit) is also taxable and needs to be added to income from other sources.
Hi Pankaj,
Thanks for your help!!
I have more query,
1. if I have to show interest earned in ITR even if it is less than 10 K then what is the use of sec 80TTA. Will I not get benefit of this section?
“Deduction of upto 10,000 for interest from savings bank accounts under a new section 80TTA.”
How to get this benefit?
2. for interest earned thro’ RD Will i have to show interest on yearly basis or will it get added in the year of maturity of RD account?
Thanks.
@Kumar
1. You will have to first show interest income in ITR and then get 80TTA deduction for same. Like 80C, 80D etc deductions, 80TTA would also have a field in ITR.
2. Interest has to be added on yearly basis. Even if its not paid, but it should be on accrual basis.
Hi Pankaj,
thanks for the help.. 🙂 but again I have one doubt.
I requested ” Interest Certificate on deposit A/Cs” for my account, there it is showing Interest on only Saving account and not on RD. Then how will one be able to track the interest accrued on yearly basis?
If I check my RD deposit A/C there it just shows accumulated interest till date, so it will not be possible for one to track it on yearly basis.
Any way to track down the interest earned?
Thanks in advance.!!
@Kumar
You can ask bank to provide interest certificate and TDS certificate (in case tax is deducted)
good work…..very informative
Just one confusion regarding PF contribution of Employees, In your sheet it seems that the PF contribution of Employees add into the Gross income but it is as per my knowledge should be deductable under chapter I VI-A.
Please correct if i am right
regards,
Bhavesh Soni
@Bhavesh
Employee’s PF contribution is added to total income only. Later they get tax deduction for same u/s 80C upto Rs 1 lac.
Cell C71 has deduction in the calculator for employee’s PF contribution.
Hello,
In the latest income tax calculator (FY 13-14), the computation for Home loan interest component seems to be incorrect as whatever the value I put in cell C66 (say 10 lacs!), the same appears in the cell P66 and also gets deducted from the Gross income. Could you please check and correct?
Regards
@Sachin
Already answered on SocialFinance: http://www.socialfinance.in/questions/4293/income-tax-calculator-2013-14?page=1#4301
Ok I got the Point you want to say. Thanks.
Sir I would like to know about the housing loan principal amount and interest paid.
One of our Employee got housing loan for purchase a flat at kolkata but he is working in gujarat and paid rent for his rented house, so he will able to get deduction of house loan interest in the head of House property income and take the deduction under chapter VI-A and also claim for house rent allowances too.
Regards,
Bhavesh
@Bhavesh
Yes, person is allowed to avail tax benefit under both HRA and home loan, in case he is not living in his house but paying rent elsewhere.
Hi Pankaj,
I want to know if I withdraw my EPF while changing the organization, the amount is considered as income or its tax free component. My current organization suggest to withdraw instead of transfer.
My preference is transfer.
@Vijay
In case you have already completed five years in EPF account (five years of contribution), then amount would be non-taxable.
Else most part of the withdrawal amount would become taxable.
These five years can be with one company or more than one, but in case its more than one company, EPF amount from earlier should have been transferred to latest one.
Thanks Pankaj for your suggestion.
As I have not completed five years in present organization. However, I would like to save tax, if depositing the acquired amount to next organization EPFO will help me?
If yes, is it apart from the limit of 1Lakh (which usually cover EPF contribution, Mutual fund, tax saiving FD etc.).
@Vijay
If you want to save tax, you should transfer old PF account amount into new one.
Hi Pankaj,
I want to understand that in normal case there is a cap on volunteer EPF investment (I think its 70K) so does this applies to the amount I deposit after getting from my present organization.
Thanks. 🙂
@Vijay
EPF contribution comes under 80C deduction and has 1 lakh maximum deduction limit.
If you deposit 1 lakh into your EPF account, you can get 1 lakh deduction u/s 80C. This limit is combined with other 80C deductions like ELSS mutual funds, insurance, ULIPs, five year tax saving fixed deposits, PPF etc.
Thanks Pankaj.
Hi Pankaj,
My previous organization have a default policy to initiate EPF withdrawal if EPF transfer form is not reaching in 60 days from relieving. I have requested them to hold for further 2 week, which they have accepted. However, my present organization failed to send the form in time and my previous employer have initiated EPF withdrawal.
I am now in situation that I need to pay tax on the amount I am going to receive as I was there ~3 yrs only. Is there any way I can save tax on amount, other than putting back in the EPF as volunteer deposit.
Again, the amount I receive along with investment I already made this year will make total investment under 80D more than 1.5L.
Need help.
@Vijay
There is no way to save this tax, not even by putting back into EPF as volunteer deposit.
Hi Pankaj,
A little further query, I came across similar kind of situation when I resigned from previous employer. That time I found a calculation for the taxable part of total EPF contribution. its as below:
———–
5) If an amount is withdrawn before completion of continuous service of 5 years, the fund will be treated as Unrecognized Provident Fund and tax will be levied as follows:
a. Employer’s contribution to provident fund and interest on employer’s contribution will be taxed under the head? Salaries?
b. Employee’s contribution will not be charged to tax.
c. Interest on employee’s contribution will be taxed under the head Income from other sources?
———–
If this is correct?
Also, what about the Pension fund contribution. Whether I will receive same fully OR with some tax deduction OR ZERO (no refund). 🙂
@Vijay
Yes, its correct. See this page for more details: http://www.socialfinance.in/questions/1002/how-to-calculate-tax-on-epf-withdrawal
Pension fund withdrawal won’t be taxable and you would receive it. But you won’t receive amount fully (as per my experience with 3 EPF withdrawals), don’t know what’s their calculation, but amount was less than total contributed.
Dear Sir,
Thanks for your free income Tax calculator. But there is an little bit confusion.
My Gross salary is 24000 and break up is
Basic Salary 10,000
House Rent Allowance (HRA) 6,000
Transport/Conveyence Allowance 4,000
1- After deducting 9600 as Transportation allowance my total Taxable income is 230400/- out of which income tax on total income is 1040. I am supposing you have deducted 220000/- then calculate tax. Pls correct this problem or clarify this point.
2- If i add FD interest below 10000/- p.a. it will be whole add to the taxable income
kindly look into this. i am highly appreciate your efforts and this will be helpfull for me.
@Ashish
1. As per new rules, there is a tax credit of Rs 2000 available if income is less than 5 lakhs. Normally tax would be 3040 (10% of 30400), but after deducting rs 2000, it becomes 1040.
2. There is no exemption/deduction available for interest on Fixed deposits. Deduction is only applicable on saving bank account interest upto Rs 10,000.
Thank u Sir for your quick reply. If this is the case my tax liability will be 1040. what amount should i invest in PPF and 5 years tax saving FD.
@Ashish
As you are in 10% slab rate, you would need to invest 10 times tax amount to save tax fully.
If your invest 10400 in PPF or tax saving FD, tax would become zero.
I have offer for salary 1500000 Anual in which 12500 tax will cut as consultant tax as per offer letter. It didnt include information about income tax. so now may I know how much tax I have to pay monthly on this income.
@Vikram
In case you are working as an consultant and not an employee, company would only deduct 10% TDS on payments.
You will have to file income tax return as income from business/profession. You can deduct all business expenses from income and then pay taxes as per slab rates only on net income.
Hi, Pankaj,
Thank you for your tax calculation sheet, its very very good, but I need one clarification about children education allowance, for example my children residing in hostel and we paying the fee, in that case I can get exemption upto four hundred in month for each child month, but in this calculator is showing max. limit of 2400/-. please can you clarify …
Regards
Srinvias B
@Srinivas
Max limit is Rs 100 per month per child upto max two children. So max allowed benefit would be Rs 2400 per year only.
Dear Pankaj,
thanks for your immediate reply and may i know is there any maximum limit for clime the Leave Travel Allowance?
Srinivas B
@Srinivas
You can claim any amount, there is no max limit. But max amount provided would be limited to whatever LTA component you have in package.
Hi Pankaj,
Please clarify one doubt in HRA Calculation, in the IT calculator sheet, I entered Rs. 23,000/- HRA for Metro city. Actual Rent paid Rs. 15000/- per month. there exempted amount updated only 10,400/-. Please let me know on which based its calculated and what is the formula was applied here….
Srinivas B
@Srinivas
HRA exemption would be minimum of following figures:
1. HRA component in salary
2. 50% of basic salary (+DA, if any)
3. Rent paid – 10% of basic salary (+DA, if any)
Dear Pankaj
thanks for making this excellent tool available to all.
does this calculate loss from rented house if total outgoings exceed rental income?
@Bill
Yes, it deducts whole interest amount without any limit in case of rented out property.
Hello Pankaj Sir,
I have taken a Housing loan to buy a house in Hyderabad and staying there with my family. However, in April 2013 i have moved to Gurgaon for 1 year on job assignment and paying rent of Rs. 15K monthly. My Parents still stays in the house which i bought in Hyderabad and me and my wife moved to Gurgaon in rented house. Is it possible for me to claim Housing loan principal, Interest in Hyderabad and claim HRA in Gurgaon
@Sai
Yes, you can take both HRA exemption and home loan interest/principal tax benefits.
i am a indian women my salary is 580000 P.A. how to calculatetax
@Goud
Please download excel income tax calculator and compute taxes by putting in monthly income figures.
Hello Sir,
I have purchased a flat in the 2009 and opted for 100000/- home loan. for the first year 2009-10, i have paid Pre-EMI and from 2010 onwards i am paying EMI. Unfortunately the flat was not yet completed. My flat would be 16 kms distance from my office location. Can i claim the EMI as tax excemption?
Please suggets me.
@Ganesh
If possession of flat is not done within three years of loan, no income tax benefit would be available for interest payment.
Hi Pankaj,
is there any particular clause for LTA Eligibility?
@Srinivas
Can you please explain your question in detail.