Income tax Calculation Example 2 For Assessment Year 2023-24 – Example 7
Example 7
For Assessment Year 2023-24
A. Calculation of Income tax in the case of a retired employees above the age of sixty years but below the age of 80 years and having gross pensions of:
i)Rs.5.00,000/-
ii)Rs.8.50.000/-,
iii)Rs. 13,00,0001-.
B What will be the amount of TDS in case of above employees. if PAN is not submitted by them to their DDOs/Offices:
| Particulars | Rupees (i) | Rupees (ii) | Rupees (iii) |
| Gross Pension | 5,00,000 | 8,50,000 | 13,00,000 |
| Contribution of P.P.F. | 70 | 1.00,000 | 1,50,000 |
solution: Computation of Total Income and tax payable thereon:
| Particulars | Rupees (i) | iinpves (ii) | Rupees (iii) |
| Gross Pension | 5,00,000 | 8,50,000 | 13.00,000 |
| Less: Standard deduction u/s 16(ia) | 50,000 | 50,000 | 50,000 |
| Less: Deduction U/s 80C | 70 | 1,00,000 | 1,50,000 |
| Taxable Income | 3.80,000 | 7,00,000 | 11.00,000 |
| Tax thereon (includes Rebate as per Section 87A | Nil | 50,000 | 1,40,000 |
| Add: Health & Education Ccss 66 4%. | Nil | 2 | 5.6 |
| Total tax payable | Nil | 52,000 | 1.45.600 |
” or Aadhaar number, as the case may be. # It may be noted that tax liability may not be the same in case the taxpayer opts for concessional tax regime under section 115BAC of the Act.”