Currently, income up to Rs 2.5 lakh for resident individuals (age below 60 years) is exempt from tax. Similarly, for senior citizens aged 60 years and above but below 80 years, income up to Rs 3 lakh is exempt from tax. Income up to Rs 5 lakh is exempt from tax for super senior citizens (age 80 years and above).
What is income limit for no tax?
Rebate of up to Rs 12,500 is available under section 87A under both tax regimes. Thus, no income tax is payable for total taxable income up to Rs 5 lakh in both regimes.
In Budget 2014, the minimum tax-exemption limit was raised from Rs 2 lakh to Rs 2.5 lakh. Along with that deduction, limit under section 80C was hiked by Rs 50,000 to Rs 1.5 lakh and deduction on interest paid on a housing loan to Rs 2 lakh. This can be further explained as follows.
What are the limits under the Income Tax Act?
Threshold Limits A. Basic Exemption 1. Maximum amount of income which is not chargeable to Income-tax in case of Individual, HUF/ AOP/ BOI/ Artificial Juridical Person Rs. 2,50,000 2.
How much income can be exempted from income tax?
You are exempted from income tax if your income does not exceed Rs 2.5 lakh. However, this exemption is only for individuals under 60 years of age. If you are between ages 60 and 80, you are exempted from income tax with an income of up to Rs 3 lakh. For individuals aged 80 years and above, the limit is enhanced to Rs 5 Lakh.
Which is the maximum amount of income which is not chargeable to income tax?
Maximum amount of income which is not chargeable to Income-tax in the hands of a resident super senior citizen (who is at least 80 Years of age at any time during the previous year) Rs. 5,00,000 3A.
What are the income limits for earned leave?
*While computing unutilized earned leave, earned leave entitlements cannot exceed 30 days for each year of service rendered to the current employer **Average salary = Average Salary*** of last 10 months immediately preceding the retirement
