Income Tax Calculator New Regime

The union budget 2020 introduced a new personal income tax regime for individual taxpayers.

Income tax calculator new regime. If an employee wants to go for the new. From the middle class taxpayers the choice is yours. The income tax department appeals to taxpayers not to click on hyperlinks contained in such phishing mails not to respond and not to share information relating to their credit card. Follow these steps to find out whether you will save money with the new tax slabs or whether you should stick with the old tax slabs.

The central board of direct taxes cbdt via a circular dated april 13 has clarified that employers will have to deduct tds from salary for financial year 2020 21 as per the tax regime new or old chosen by the employee. So while deciding which income tax regime to choose you must consider the compulsory investments and voluntary investments. The income tax department never asks for your pin passwords or similar access information for credit cards banks or other financial accounts through e mail. Income tax calculator 2020.

So comparison of income tax liability under both the regimes will be very easier. As a result the concessional tax regime may not always be beneficial to the taxpayer. But it is always necessary to compare the income tax liability under existing income tax provisions and new tax regime. The central board of direct taxes cbdt vide circular no.

Highlights of changes in fy 2020 21 in income tax. 8 2020 dated april 13 2020 has clarified that an employer will have to deduct tds for fy 2020 21 from an employee s salary on the basis of the tax regime chosen by the employee else by default tds would be deducted as per old tax regime rates. This excel based income tax calculator can be used for computing income tax on income from salary pension gifts fixed deposit and bank interest and you will get the result accordingly to your tax regime selection. New tax regime vs existing tax regime.