Fy 2024-25 & Ay 2025-26: Income Tax Slab Must-knows

By Author: TaxHelpdesk
Total Articles: 49
Comment this article

Income tax slab rates play a pivotal role in determining the tax liability of individuals in India. These rates are instrumental in calculating the taxes due on an individual’s income and are subject to variations based on the chosen tax regime — the Old Tax Regime and the New Tax Regime.

What Exactly is an Income Tax Slab FY 2024–2025?

The Income Tax Slab for FY 2024–2025 is a structured system that assigns different tax rates to different income ranges. These rates escalate as the individual’s income increases, aligning with India’s progressive tax system where tax rates rise with income increments.

Income Tax Slab Rates under the Old Tax Regime

Under the Old Tax Regime, the Income Tax Slab rates for FY 2024–2025 are categorized based on age groups and income levels of individuals. These groups include Indian Residents above 60 years and non-residents, Resident Senior Citizens aged between 60 to 80 years, and Resident Super Senior Citizens aged 80 years and above.

The tax rates under the Old Tax Regime for FY 2024–2025 are as follows:

Individuals Age (Below 60 years):
...
... Up to ₹2.5 lakhs: NIL
₹2.5 lakhs to ₹3 lakhs: 5%
₹3 lakhs to ₹5 lakhs: 5%
₹5 lakhs to ₹10 lakhs: 20%
Above ₹10 lakhs: 30%
Resident Senior Citizens (Age is between 60–80 years):
Tax rates aligned with those for individuals below 60 years.
Resident Super Senior Citizens (80 years and above):
Tax rates aligned with those for individuals below 60 years.
New Tax Regime Slab Rates FY 2024–2025

In the New Tax Regime for FY 2024–2025, significant revisions have been introduced through the Union Budget. Taxpayers can now save an additional Rs. 17,500 in taxes, and there are adjustments in standard deductions and family pension deductions. The comparison between tax slab rates under the new tax regime pre and post-Union Budget is as follows:

Tax Slab for FY 2023–24 and Tax Slab for FY 2024–25:
Upto ₹3 lakh: Nil
₹3 lakh — ₹7 lakh: 5%
₹7 lakh — ₹10 lakh: 10%
₹10 lakh — ₹12 lakh: 15%
₹12 lakh — ₹15 lakh: 20%
More than 15 lakh: 30%
Comparison of Income Tax Slab Rates under the Old and New Tax Regime Over the Years

The table below illustrates the evolution of income tax slab rates for different age groups across various fiscal years under the Old Tax Regime and the New Tax Regime:

[View the detailed comparison table here]

Income Tax Slab Rates for Domestic Companies and Partnership Firms

Domestic companies and partnership firms have specific tax rates based on their turnover and registration type. For instance, companies opting for different sections under the Income Tax Act have varying tax rates, ranging from 15% to 30%.

Income Tax Slab Rates for HUFs

Hindu Undivided Families (HUFs) are taxed at the same rates as individuals under the income tax slab rates for FY 2024–2025.

In conclusion, understanding the income tax slab rates for FY 2024–2025 is crucial for individuals, companies, and partnership firms to calculate their tax liabilities accurately. For expert guidance on tax-related matters or assistance with income tax filings, consult or contact “TaxHelpdesk” for tailored services and support.