New Tax Regime Vs Old Tax Regime – What to choose?
Once again we have the same question, what we had two years back, what to choose – New Tax Regime or Old Tax Regime? This is because in the Budget 2023, some changes have been made in the new tax regime to make it more attractive. The basics have remained the same, that the old tax regime will have a fewer tax slabs and high tax rates with all the deductions and exemptions available. While the new tax regime will have more tax slabs, with comparatively lower tax rates, without claiming any exemptions / deductions. Only individuals and Hindu Undivided Family (HUF) can exercise this option to pay tax as per the new tax regime. The new tax slabs are applicable for incomes earned between April 1, 2023 and March 31, 2024. Let’s discuss the important points one by one, in the simplified manner. (1) What are the tax slabs as per the new tax regime and old tax regime applicable for FY 2023-24? Tax slabs as per the new tax regime: Net Income Range Income tax rates under new t...