Mr. Pranab Mukherjee has annouced new Tax Slabs for us so that we can enjoy more on cafes, apps, movies and gadgets.
Up to 2 lakh rupees – NIL
2 lakh – 5 lakh rupees – 10%
5 lakh – 10 lakh rupees – 20%
Above 10 lakh rupees – 30%
Now if you have a package of lets say 7 Lakhs per annum then how you would get taxed? lets check that…
For your first 2 Lakhs our government is kind enough to forgive you. so NIL. for next 3 Lakhs you will need to shell out 10% that is… INR 30,000. For the next income of INR 5,00,000 to INR 7,00,000 it is 20% so another INR 40,000. So for a annual income of 7 Lakhs you are taxed for INR 54,000 + Education Cess + Surcharge = INR 71,140.
Now looking at this figure you may want to save your taxes. If you are on a job… well only options is to make investments and save few bucks.
Below is a good calculator from InvestmentYogi