Income Tax Slab & Rates 2020-2021
| Income Tax Slab | Tax Rates As Per New Regime | Tax Rates As Per Old Regime |
| ₹0 – ₹2,50,000 | Nil | Nil |
| ₹2,50,001 – ₹ 5,00,000 | 5% | 5% |
| ₹5,00,001 – ₹ 7,50,000 | ₹12500 + 10% of total income exceeding ₹5,00,000 | ₹12500 + 20% of total income exceeding ₹5,00,000 |
| ₹7,50,001 – ₹ 10,00,000 | ₹37500 + 15% of total income exceeding ₹7,50,000 | ₹62500 + 20% of total income exceeding ₹7,50,000 |
| ₹10,00,001 – ₹12,50,000 | ₹75000 + 20% of total income exceeding ₹10,00,000 | ₹112500 + 30% of total income exceeding ₹10,00,000 |
| ₹12,50,001 – ₹15,00,000 | ₹125000 + 25% of total income exceeding ₹12,50,000 | ₹187500 + 30% of total income exceeding ₹12,50,000 |
| Above ₹ 15,00,000 | ₹187500 + 30% of total income exceeding ₹15,00,000 | ₹262500 + 30% of total income exceeding ₹15,00,000 |
The Finance Minister introduced new tax slab in Union Budget, 2020 wherein there is an option for individuals and HUF (Hindu Undivided Family) to pay taxes at lower rates without claiming deductions under various sections. The following Income Tax slab rates are notified in new tax regime vs old tax regime:
income tax india new regime slab rates are not differentiated based on age group. However, under old tax regime the basic income threshold exempt from tax for senior citizen (aged 60 to 80 years) and super senior citizens (aged above 80 years) is ₹ 3 lakh and ₹ 5 lakh respectively.
However, under new tax regime person cannot claim up to 70 income tax deductions while calculating taxes. Hence, every person has to make his/her own calculation as per old and new tax regime and calculate which one is beneficial based on type of investments made and returns earned on those investments.
Is the due date for filing tax return same for all taxpayers?
No. The due date for filing income tax return is not the same for all tax payers. In case of Individuals & HUF, who are not required to get audited, the due date for filing the return is 31st July.
What is the time period considered for the purposes of income tax?
Income tax is calculated on annual basis in India. It is calculated for the financial year starting from 1st April and ending on 31st March
Who decides the IT slab rates and can they change?
Yes, IT slab rates can be changed. If there are changes in IT slab rates for the financial year then they are introduced in the Budget for that year and presented in Parliament.
Do I need to file Income Tax Return (ITR) if my annual income is below ₹ 2.5 lakh?
The taxation process is dependent on a number of factors. Please get in touch with a personal tax advisor.
Are there separate slab rates for males and females?
No. The slab rates for males and females are the same.
Are there separate slab rates for different age groups?
Yes. There are separate slab rates for tax payers aged below 60 years, between 60 to 80 years (senior citizens) and above 80 years (super senior citizens).
Will my income be taxed if I am an agriculturist?
The agricultural income is exempt from income tax. However, if an agriculturist has non-agricultural income then it would be taxable.
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