Income Tax Slab Rates and Deductions for the Financial Year 2022-23 (AY 2023-24)

Income Tax Slab Rates and Deductions for the Financial Year 2022-2023 (AY 2023-24). Income Tax assessment Slab Rate ,Deductions Income tax slab rates and income tax deductions in India for Financial Year (FY) 2022-23   Income Tax Deductions . The calculation of income tax in India is based on income tax slabs and rates for the applicable financial year (FY) and assessment year (AY). The income tax slabs for FY 2022-23 were announced as part of the Union Budget 2022-23 and the income tax slab rates for FY 2022-23 (AY 2023-24) are the same as income tax slabs and rates in FY 2021-22 (AY 2022-23). But before we check out the income tax slab rates for FY 2022-23 (AY 2023-24), let’s first take a closer look at what an income tax slab is, the types of taxable income in India and some of the key differences between the new and the old tax regime.

 

What is Income Tax Slab?
Income tax is simply the tax you need to pay on income during a financial year. In India, the income tax system is progressive in nature i.e. if you have low income, you pay lower tax and if you have high income, you pay tax at a higher rate.

In order to determine the rate at which income tax needs to be paid, the Government of India has introduced income tax slabs and applicable rates. The income tax slab specifies a range within which a pre-determined rate of taxation is applicable. Based on the income tax slab a taxpayer falls in, the applicable income tax rate is identified which is used to calculate the income tax liability for the applicable fiscal.

Currently Indian tax payers can choose between 2 different tax regimes – the old tax regime and the new tax regime. The income tax slabs and rates for FY 2022-23 (AY 2023-24) are different based on whether the tax payer has chosen the new or the old tax regime to compute tax liability for the fiscal.

Income Tax Slab Rates and Deductions for the FY 2022-23 (AY 2023-24)

Income Tax Slab Rates AY 2023-24 for Individuals Below 60 Years, NRIs and HUFs

1.) Standard deduction from salary and profession tax
2.) House Rent Allowance
3.) Housing Loan Interest
4.) Leave Travel Allowance
5.) Deductions under Chapter VIA of the Income tax Act, 1961 such  section 80C (life insurance premium), section 80CCC (pension premium), 80D (health insurance premium), 80TTA (bank interest), etc.

However, individuals who would like to continue to claim applicable exclusions and deductions may do so, but they will have to follow the existing tax rates, which are as follows:

Income Tax Slabs for the Individual Male (Below 60 Years Age) for the Assessment Year 2021-22: