India Income Tax Slabs - Direct Tax Code 2011-2012

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New Direct Tax Code in 2011-2012, India

Government of India has proposed a new Direct Tax code or Direct Taxes Code to replace the old Indian Income Tax Act of 1961. This Direct Tax code is an attempt to simply the tax-life of an individual. The way it works is that the income tax slabs are increased, however several deductions (e.g. deduction on housing loan) and tax-breaks are taken away. A detailed post will be written about Direct Tax Code. Below you will find the proposed income tax slabs under the Direct Tax code will be debated in the Parliament and if approved, will be implemented in 2011-2012.

Income Tax rates or Tax Slabs under Direct Tax Code : Table

Direct Tax Code slabs, 2011-2012, Men

Income: upto 1.6 lacs	no income tax
Income : 1.6 lacs to 10 lacs	10 %
Income : 10 lacs to 25 lacs	20 %
Income : above 25 lacs	30 %

Direct Tax Code slabs 2011-2012, Women

Income : upto 1.9 lacs	NO TAX
Income : 1.9 lacs to 10 lacs	10 %
Income : 10 lacs to 25 lacs	20 %
Income : above 25 lacs	30 %

Direct Tax Code slabs 2011-2012, Senior Citizen

Income : upto 2.4 lacs	NO TAX
Income : 2.4 lacs to 10 lacs	10 %
Income : 10 lacs to 25 lacs	20 %
Income : above 25 lacs	30 %

Education cess and surcharge on total income tax

It is not clear whether education cess and surcharge will be applicable on income tax collected under direct tax code. According to the current indian income tax act, in addition to the income tax calculated according to the above income tax slabs, a 3% of Education cess is charged on the total Income tax paid (not on the total taxable income). If the taxable income exceeds Rs. 10 lacs, a 10% surcharge on the total income tax (not on the total taxable income) is also charged.

Posts related to Income Tax rates in India Direct Tax Code Rates 2011-2012 Income Tax Rates for year 2010-2011 Income Tax Rates for year 2009/2010 Income Tax Rates India - Financial Year 2008/2009 and 2009/2010. The IT slabs for 2009/2010 are the same as the slabs in 2008/2009. Income Tax Calculator - 2008/2009 (also good for A.Y. 2009/2010 since the tax slabs are unchanged for 2009/2010). This Income Tax Calculator is in Excel Spreadsheet format. India Income Tax deductions - Various Income Tax deductions under section 80C, section 80D, section 80DD, section 80G, section 80GG, section 80E, section 24, etc. and their max. tax exemption limits allowed under the Indian Income Tax Act discussed in this post. All Indian IT deductions in one single post. Tax deduction under Section 80C: The most common income tax deduction for Indians discussed in detail. Use this for your personal tax planning and save upto Rs. 33,000 Income Tax. How to pay your Indian Income Tax online? How to check your Income Tax Refund Status online?