Income Tax Slab Rates and Tax Benefits in Budget for Fy 2024-25 - Postalstudy | Post Office Blog | Materials for | Exams

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Income Tax Slab Rates and Tax Benefits in Budget for Fy 2024-25

Comparative Analysis of Income Tax Slab Rates: Interim Budget vs. Current Budget for FY 2024-25

Overview

This article presents a detailed comparison of the income tax slab rates under the interim budget and the current budget for the financial year 2024-25. The analysis focuses on three different gross income levels: ₹10 Lakh, ₹12 Lakh, and ₹15 Lakh. The comparison highlights the tax benefits under the current budget compared to the interim budget.

Income Tax Calculation for Gross Income of ₹10 Lakh

Interim Budget Slab Rate:

Income Range

Tax Rate

Tax Amount

0-3 Lakh

0%

₹0

3-6 Lakh

5%

₹15,000

6-9 Lakh

10%

₹30,000

9-10 Lakh

15%

₹7,500

Total Tax

₹52,500

Current Budget Slab Rate:

Income Range

Tax Rate

Tax Amount

0-3 Lakh

0%

₹0

3-7 Lakh

5%

₹20,000

7-9.25 Lakh

10%

₹22,500

Total Tax

₹42,500

Tax Benefit:
Interim Budget Tax - Current Budget Tax = ₹52,500 - ₹42,500 = ₹10,000

Income Tax Calculation for Gross Income of ₹12 Lakh

Interim Budget Slab Rate:

Income Range

Tax Rate

Tax Amount

0-3 Lakh

0%

₹0

3-6 Lakh

5%

₹15,000

6-9 Lakh

10%

₹30,000

9-11.50 Lakh

15%

₹37,500

Total Tax

₹82,500

Current Budget Slab Rate:

Income Range

Tax Rate

Tax Amount

0-3 Lakh

0%

₹0

3-7 Lakh

5%

₹20,000

7-10 Lakh

10%

₹30,000

10-12 Lakh

15%

₹18,750

Total Tax

₹68,750

Tax Benefit:
Interim Budget Tax - Current Budget Tax = ₹82,500 - ₹68,750 = ₹13,750

Income Tax Calculation for Gross Income of ₹15 Lakh

Interim Budget Slab Rate:

Income Range

Tax Rate

Tax Amount

0-3 Lakh

0%

₹0

3-6 Lakh

5%

₹15,000

6-9 Lakh

10%

₹30,000

9-12 Lakh

15%

₹45,000

12-14.50 Lakh

20%

₹40,000

Total Tax

₹1,30,000

Current Budget Slab Rate:

Income Range

Tax Rate

Tax Amount

0-3 Lakh

0%

₹0

3-7 Lakh

5%

₹20,000

7-10 Lakh

10%

₹30,000

10-12 Lakh

15%

₹30,000

12-14.25 Lakh

20%

₹45,000

Total Tax

₹1,25,000

Tax Benefit:
Interim Budget Tax - Current Budget Tax = ₹1,30,000 - ₹1,25,000 = ₹15,000

Conclusion

The comparative analysis reveals that the current budget offers a mix of benefits and increased liabilities depending on the income bracket. Specifically:

  • For a gross income of ₹10 Lakh, the current budget offers a benefit of ₹10,000.
  • For a gross income of ₹12 Lakh, the current budget offers a benefit of ₹13,750.
  • For a gross income of ₹15 Lakh, the current budget offers a benefit of ₹15,000.

These calculations emphasize the importance of understanding specific tax slab details to optimize financial planning for the fiscal year 2024-25.


With regards,
K C Sahoo,
Accounts Officer, DoT HQ, New Delhi



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