Taxes in FY2025-26: New Slabs, 30% Tax at Rs 24 Lakh, 20% at Rs 20 Lakh

Understanding the New Tax Slabs for FY2025-26

As the dust settles from Budget 2025, taxpayers across India are gearing up to navigate the revised tax landscape. With new tax slabs introduced, the financial year 2025-26 brings significant changes, particularly regarding income tax rates that could impact your take-home pay.

Key Changes in Tax Slabs

In a move aimed at providing relief to middle-class taxpayers, the government has revised the tax slabs. The new threshold for the lower tax rates has been raised to Rs 4 lakh, up from the previous Rs 3 lakh. This adjustment means that individuals earning between Rs 3 lakh and Rs 4 lakh will enjoy the benefit of zero tax, marking a significant win for those on the lower end of the income spectrum.

New Tax Rates Explained

Under the new regime, the income tax rates are as follows:
– **Income up to Rs 4 lakh**: 0% tax
– **Income from Rs 4 lakh to Rs 8 lakh**: 10% tax
– **Income from Rs 8 lakh to Rs 12 lakh**: 15% tax
– **Income from Rs 12 lakh to Rs 20 lakh**: 20% tax
– **Income above Rs 20 lakh**: 30% tax, which now kicks in at Rs 24 lakh
This means that if your net salary is Rs 20 lakh, you will be taxed at a rate of 20%, while a net salary of Rs 24 lakh will see a 30% tax applied.

Why You Should Care

Understanding these new tax slabs is crucial for effective financial planning. With the right strategies, you can optimize your tax liabilities and keep more of your hard-earned money in your pocket.

Make the Most of Your Savings with Looffers.com

While you’re planning your finances, don’t forget about maximizing your savings. Looffers.com is your go-to platform for discovering the best deals and discounts across various categories. Whether it’s electronics, fashion, or travel, Looffers.com helps you save money effortlessly.
Stay informed, stay savvy, and embrace these changes to make the most of your financial future!

We will be happy to hear your thoughts

Leave a reply

Looffers = Loot + Offers
Logo
Compare items
  • Total (0)
Compare
0