Understanding Income Tax
Income tax is a direct tax levied on the income earned by individuals and entities. Understanding the tax structure and available deductions can significantly reduce your tax liability.
Tax Slabs for FY 2026-25
The government offers two tax regimes - the old regime with various deductions and the new regime with lower rates but fewer deductions.
New Tax Regime:
- Up to ₹3,00,000 - NIL
- ₹3,00,001 to ₹6,00,000 - 5%
- ₹6,00,001 to ₹9,00,000 - 10%
- ₹9,00,001 to ₹12,00,000 - 15%
- ₹12,00,001 to ₹15,00,000 - 20%
- Above ₹15,00,000 - 30%
Tax Saving Options
You can reduce your tax liability through various legal means:
- Section 80C: Up to ₹1.5 lakh (PPF, ELSS, Life Insurance)
- Section 80D: Health Insurance Premium
- Section 80E: Education Loan Interest
- HRA Exemption: For salaried individuals
Expert Tips
Plan your taxes at the beginning of the financial year for maximum savings. Don't wait until March to make tax-saving investments.
Professional Help
Tax planning requires expertise. Our team at InputTax.in can help you optimize your tax structure legally and efficiently.