Latest Income Tax Slabs, Income Tax Rates and Income Tax Limits for 2019-20
In India, the new year is celebrated on 1st January while the financial year begins on 1st April every year. For some people, the former involves making new resolutions and lifestyle changes while for the latter, some people change the way they spend money or manage their finances.
Recently, the income tax rates, income tax limits, and income tax slabs were decided for FY 2019-20. In case you want to know what kind of tax you are liable to pay for the current financial year and what is the new income tax slab then do read on to know more about the changes made this year in tax slabs by the Indian government.
The proposals of the interim budget 2019 came into effect from April 1, 2019. Some of the important proposals are:
- A rebate of Rs 12,500 will be available for taxpayers with taxable income up to Rs 5 lakh.
- This rebate will be available under Section 87A of the Income Tax Act. However, income tax slabs and rates for the FY 2019-20 remain unchanged.
There is a proposal to hike standard deduction by Rs 10,000 to Rs 50,000 from Rs 40,000.
Key factors based on which, income tax slabs are applicable include:
- Income of assessee
- Residential status of the assessee
- Assessment year
- Rate of tax
- Charge of income tax
- Maximum amount / threshold limit till income is not chargeable/taxable
- Gross income
Given below are the latest income tax (I-T) slabs applicable for financial year 2018-19 (assessment year 2019-20).
Income tax slabs for resident Individual below 60 years of age
Income tax slabs for resident individual between 60 and 80 years of age (Senior Citizen)
Income tax slabs for resident individual above 80 years of age (Super Senior Citizen)
Source: Economic Times
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