Income Tax Slabs, Tax Rates 2024-2025 explained: Full guide to latest income tax slabs FY25 after Interim Budget 2024 – FAQs answered
Income Tax Slabs 2024-2025: Budget 2024, which was an Interim Budget, did not see any changes in the income tax slabs or income tax rates by Finance Minister Nirmala Sitharaman. If you as the common man, individual or salaried taxpayer are wondering what the income tax slabs and income tax rates are for financial year 2024-25 (Assessment year 2025-26), we have you covered.
The important thing to note is that while no changes in income tax slabs were announced both in the old tax regime and the new income tax regime, this may change when the new government presents the full year Budget 2024 after the Lok Sabha polls 2024.
What are the Income Tax Slabs 2024-2025 post Interim Budget 2024?
As noted above, in the interim budget for financial year 2024-25, the Finance Minister proposed to retain the tax rates as is. Hence, unless there is any change brought in during the final budget post the general elections, the personal income-tax rates applicable for the financial year 2024-25 will be as under:
Income Tax Slabs 2024-2025 For Old/Regular Tax Regime
| Income range (in INR) | Rates |
| Up to 250,000* | Nil |
| 250,001 to 500,000 | 5% |
| 500,001 to 1,000,000 | 20% |
| Above 1,000,000 | 30% |
These income tax slabs and income tax rates are applicable for individuals (residents below 60 years of age, NR and NOR) for the financial year 2024-25.
Also Check | Budget 2024 Income Tax Slabs FY25 Live Updates: No changes in tax rates; know income tax slabs & tax rates for 2024-25
Resident individual taxpayers whose total income does not exceed INR 500,000, will continue to be eligible for a tax rebate of Rs 12,500 or actual tax payable, whichever is lower.
Also remember that for resident individuals who are senior citizens that are above the age of 60, the basic exemption limit is Rs 3 lakh and for super senior citizens of age 80 years and above this basic exemption limit is Rs 5 lakh.
Income Tax Slabs 2024-2025 For New Income Tax Regime
The income-tax rates applicable under the new income tax regime or the Concessional Tax Regime for the financial year 2024-25 are:
| Income range (in INR) | Rates |
| Up to 300,000 | Nil |
| 300,001 to 600,000 | 5% |
| 600,001 to 900,000 | 10% |
| 900,001 to 1200,000 | 15% |
| 1,200,001 to 1,500,000 | 20% |
| Above 1,500,000 | 30% |
Under the new income tax regime, the eligibility limit for rebate will remain Rs 7,00,000 i.e., the tax rebate of up to Rs 25,000 will be available to taxpayers. Further, the marginal relief will also continue to be available to resident individuals whose net taxable income exceeds Rs 7,00,000 and the incremental income tax liability is higher than incremental income above Rs 7,00,000.
In addition to the taxes computed as per the slabs mentioned above, a surcharge will be levied on the income-tax of the individuals if their total income exceeds Rs 5,000,000. The rates of surcharge will be as under:
| Income (in INR) | Surcharge Rates under regular/ old tax regime | Surcharge Rates under New Tax Regime |
| Above 5,000,000 but less than 10,000,000 | 10% | 10% |
| Above 10,000,000 but less than 20,000,000 | 15% | 15% |
| Above 20,000,000 but less than 50,000,000 | 25% | 25% |
| Above 50,000,000 | 37% | 25% |
Further, a health and education cess is levied at the rate of 4%, for all individuals on the income-tax and surcharge (if applicable) computed as per the rates above.
Income Tax Slabs 2024-2025 FAQs answered
What are the income tax slabs for FY 2024-25?
In the Interim Budget 2024-25, Finance Minister Nirmala Sitharaman has not announced any changes to the income tax slabs and income tax rates for individual taxpayers. This means that the income tax slabs for 2024-25 will continue to be the same as they were in FY24, unless any changes are announced in the full year Budget that will be presented post Lok Sabha polls this year.
What is the standard deduction for FY 2024-25?
As per the Interim Budget 2024-2025, there is no change in the standard deduction for FY 2024-2025. It will remain at Rs 50,000 under both the old and the new income tax regime.
Will the tax slab change in FY 2024-25?
As per the Interim Budget 2024, no changes in the income tax rates for 2024-2025 have been announced so the tax rates will remain the same as earlier under both the income tax regimes.
What is the surcharge for financial year 2024-25?
In addition to the taxes computed as per the slabs in both old and new tax regime, a surcharge is levied on the income-tax of the individuals if their total income exceeds Rs 5,000,000. A table listing the surcharge rates under both old and new tax regime is given in this article.
How much tax do I pay on 7.5 lakhs?
If you are opting for the new income tax regime, then your income tax liability will be 0, taking into account the eligibility limit for rebate till Rs 7 lakh and the standard deduction of Rs 50,000.
For more news like this visit TOI. Get all the Latest News, City News, India News, Business News, and Sports News. For Entertainment News, TV News, and Lifestyle Tips visit Etimes
News Related-
Anurag Kashyap unveils teaser of ‘Kastoori’
-
Shehar Lakhot: Meet The Intriguing Characters Of The Upcoming Noir Crime Drama
-
Watch: 'My name is VVS Laxman...': When Ishan Kishan gave wrong answers to right questions
-
Tennis-Sabalenka, Rybakina to open new season in Brisbane
-
Sikandar Raza Makes History For Zimbabwe With Hattrick A Day After Punjab Kings Retain Him- WATCH
-
Delayed Barapullah work yet to begin despite land transfer
-
Army called in to help in tunnel rescue operation
-
FIR against Redbird aviation school for non-cooperation, obstructing DGCA officials in probe
-
IPL 2024 Auction: Why Gujarat Titans allowed Hardik Pandya to join Mumbai Indians? GT explain
-
From puff sleeves to sustainable designs: Top 5 bridal fashion trends redefining elegance and style for brides-to-be
-
The Judge behind China's financial reckoning
-
Arshdeep Singh & Axar Patel Out, Avesh Khan & Washington Sundar IN? India's Likely Playing XI For 3rd T20I
-
Horoscope Today, November 28, 2023: Check here Astrological prediction for all zodiac signs
-
'Gurdwaras are...': US Sikh body on Indian envoy's heckling by Khalistani backers