Income Tax slab for AY 2024-25 and financial year 2023-24 as per Finance Bill 2023 is as follows :
In Salaried Tax filing of return for F.Y. 2023-24, Individuals or HUF or AOP (Other than cooperative society) or BOI or AJP have to pay taxes as per tax rates mentioned in table below, tax rates vary depending on age of the person:
Budget 2023 Link >> https://www.indiabudget.gov.in/doc/Finance_Bill.pdf
Please note 115BAC(1A) becomes the default tax regime from FY 2023-24 and a person( Individual/HUF/AOP(except cooperative societies/BOI/Artificial Judicial Person) if wants to still opt for Old tax regime then he has to file relevant form. Below slab rates are applicable only if a person has not opted for Slab rates as per Old tax regime.
| Age Up to 60 & Net total Income | Tax Rate |
| Up to 3,00,000 | Nil |
| 3,00,001 – 6,00,000 | 5% |
| 6,00,001 – 9,00,000 | 15,000 + 10% above INR 6,00,000 |
| 9,00,001 – 12,00,000 | 45,000 + 15% above INR 9,00,000 |
| 12,00,001 – 15,00,000 | 90,000 + 20% above INR 12,00,000 |
| Above 15,00,001 | 150,000 + 30% above INR 15,00,000 |
Revised Optional Slab Rates under Section 115BAC for F.Y. 2023-24 & A.Y. 2024-25 are
Individuals have an option for F.Y. 2023-24 to opt in to pay tax as Section 115BAC instead of paying tax as per normal slab rates as per above tables.
PLEASE NOTE: Section 115BAC Slab rates are same for all group of individuals. No separate slab rate for senior citizen or super senior citizen.
Default Slab Rates under Section 115BAC for F.Y. 2023-24 & A.Y. 2024-25
| Age Up to 60 & Net total Income | Tax Rate |
| Up to 3,00,000 | Nil |
| 3,00,001 – 6,00,000 | 5% |
| 6,00,001 – 9,00,000 | 15,000 + 10% above INR 6,00,000 |
| 9,00,001 – 12,00,000 | 45,000 + 15% above INR 9,00,000 |
| 12,00,001 – 15,00,000 | 90,000 + 20% above INR 12,00,000 |
| Above 15,00,001 | 150,000 + 30% above INR 15,00,000 |
Old tax regime rates for FY 2023-24, If specially opted for
| Age Up to 60 & Net total Income | Tax Rate |
| Up to 2,50,000 | Nil |
| 2,50,000 – 5,00,000 | 5% |
| 5,00,000 – 10,00,000 | 12,500 + 20% above INR 5,00,000 |
| Above 10,00,000 | 112,500 + 30% above INR 10,00,000 |
| Age greater than 60 less than 80 (Senior Citizen) & Net Total Income | Tax Rate |
| Up to 3,00,000 | Nil |
| 3,00,000 – 5,00,000 | 5% |
| 5,00,000 – 10,00,000 | 10,000 + 20% above INR 5,00,000 |
| Above 10,00,000 | 1,10,000 + 30% above INR 10,00,000 |
| Age greater than 80 (Super Senior Citizen) & Net Total Income | Tax Rate |
| Up to 5,00,000 | Nil |
| 5,00,000 – 10,00,000 | 20% above INR 500,000 |
| Above 10,00,000 | 100,000 + 30% above INR 10,00,000 |
What is Section 115BAC
Individual/HUF/AOP/BOI/AJP has an option for F.Y. 2023-24 to opt out to pay tax as Section 115BAC instead of paying tax as per normal slab rates. However, the slab rates of 115BAC becomes default tax regime from FY 2023-24 and a person has to opt for old tax regime by filing relevant form.
115BAC is tax on income of individuals and Hindu undivided family (HUF) and from FY 2023-24 it if default tax regime for Individuals/HUF/APO/BOI/AJP. This section provides option to PERSONS for FY. 2023-24 to opt out from this default tax slab rates and pay tax as per Old tax rates.
Assessee can opt out of this section once anytime after the year in which it was opted. However, once he opts out, he/she will not able to opt in again in any of the coming years.
Also refer other articles >> https://www.taxledgeradvisor.com/business-tax-filling/
https://www.taxledgeradvisor.com/salaried-tax-filing/
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