Income Tax Saving: If you earn 10.5 lakh rupees annually, then you will not have to pay tax of 1 rupee. For this, you can save income tax by investing in various schemes set by the government and under several sections.
Income Tax Saving: The last date for filing income tax returns for the financial year 2022-23 was July 31. Even after that, the facility of filing ITR has been given by the government, but penalty will have to be paid for it. Refunds have also reached the accounts of those who had filed income tax returns on time. Now income tax payers need to think about saving in income tax for the next financial year. In such a situation, information is being given here about it. If your annual salary is Rs 10 lakh, then you will not have to pay tax even a single rupee.
If your salary package is Rs 10 lakh and you pay a large part of your earnings as tax, then be very careful. Perhaps you must be thinking that there is no way to save tax. So if paying tax is right then you are wrong. Not only this, even if your salary package is Rs 10.5 lakh, you will not have to pay tax of 1 rupee. Let us understand the complete calculation …
On a salary of 10.5 lakhs, you fall in the slab of 30 percent tax. Because 30 percent income tax is levied on annual income above 10 lakhs.
This is complete math
- If your salary is Rs 10.5 lakh, then first deduct 50 thousand given by the government as standard deduction. In this way your taxable income has now become Rs 10 lakh.
- Now you can claim Rs 1.5 lakh under 80C. In this, you can claim children’s tuition fees, PPF, LIC, EPF, Mutual Funds (ELSS), home loan principal, etc. In this way your taxable income here becomes Rs 8.5 lakh.
- To make tax zero (0) on the salary of 10.5 lakhs, you will have to invest 50 thousand under National Pension System (NPS) under 80CCD(1B). In this way your taxable salary has come down to Rs 8 lakh.
- Now under Section 24B of Income Tax, you can claim tax exemption on home loan interest of Rs 2 lakh. In this way now your taxable income has come down to Rs.6 lakhs.
- Under Section 80D of Income Tax, you can claim medical health insurance premium of Rs 25,000 for your family (wife and children). In addition, senior citizens can claim ₹50,000 for health insurance premiums paid for parents. Your taxable income has come down to 5.25 lakhs after claiming total health insurance premium of 75 thousand.
- Now you have to donate 25 thousand rupees to any organization or trust to bring your taxable income up to 5 lakhs. You can claim it under section 80G of Income Tax. By donating 25 thousand, your taxable income has come down to Rs 5 lakh.
have to pay zero tax - Now your taxable income has become Rs 5 lakh. Let us tell you, on an income of Rs 2.5 to 5 lakh, your tax becomes Rs 12,500 at the rate of 5 percent. But there is an exemption from the government on this. In this case your tax liability becomes zero.
