Income tax Calculation Example 2 For Assessment Year 2023-24 – Example 2
Example 2
For Assessment Year 2023-24
Calculation of Income Tax in the case of an employee below the age of sixty years having a handicapped dependent (With valid PAN furnished to employer).
S.No. | Particulars | Rupees |
1 | Gross Salary | 4,70,0(X) |
2 | Amount spent on treatment of a dependent, being person with disability (but not severe disability) | 7000 |
3 | Amount paid to LIC with regard to annuity for the maintenance of a dependent, being person with disability (But not severe disability) | 60,000 |
4 | GPF Contribution | 25,000 |
5 | LIP Paid | 10,000 |
6 | Interest Income on Savings Account | 12,000 |
Computation of Tax
S.No. | Particulars | Rupees |
I | Gross Salary | 4,70,000 |
2 | Less: Standard deduction u/s 16(ia) | 50,000 |
3 | Add: Income from Other Sources Interest Income on Savings Account | Rs 12,000 |
4 | Gross Total Income | 4,32,000 |
5 | Less: Deduction U/s 80DD (Restricted to Rs.75,000/- only) | 60,000 |
6 | Less: Deduction U/s 80C (i) GPF Rs.25,000/- (ii) LIP Rs.10,000/- | 35,000 |
7 | Less: Deduction u/s 8OTTA on Interest Income on savings account (restricted to Rs 10000/-) | 10000 |
8 | Total Income | 3,27,000 |
9 | Income Tax thereon/payable (includes Rebate of Rs 12500 as per Section 87A) | Nil |
10 | Add: Health & Education Cess @ 4%. | Nil |
11 | Total Income Tax payable | Nil |
12 | Rounded off to | Nil |
(a), 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.
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