Taxable Income Slabs for FY 2023-24: New & Old Tax Regime

  • Published on: 11 Apr 2024
Taxable Income Slabs for FY 2023-24: New & Old Tax Regime

The taxable income slabs divide the taxpayers into different categories and assign them different tax rates. These categories depend on the age of the taxpayers, as mentioned below:

  • Individuals under 60 years and all the non-residents 
  • Resident senior citizens, which includes taxpayers over 60 years to up to 80 years
  • Resident super senior citizens consisting of taxpayers over 80 years of age

These slabs also vary depending on the regime you opt for. By knowing these slabs and the tax rates, you can plan your finances and taxes accordingly. Read on to know the tax slabs for income tax under the old and new regimes, tax rates for taxpayers of different ages and more. 

Tax Slabs for FY 2023-24

As per the Union Budget 2023, the government announced the revised taxable income slabs. While some citizens can opt for the old regime, others can pay taxes as per the new regime. The rates for the old and new tax slab of income tax are as follows. 

Tax Rates for the Old Tax Regime 

Income SlabsRates for Taxpayers up to 60 Years & NRIsRates for Taxpayers over 60 Years and up to 80 YearsRates for Taxpayers Above 80 Years
Up to ₹2.5 lakhsNilNilNil
Between ₹2.5 lakhs and ₹3 lakhs5%NilNil
Above ₹3 lakhs and less than ₹5 lakhs5%5%Nil
Between ₹5 lakhs and ₹10 lakhs20%20%20%
₹10 lakhs and above30%30%30%

Tax Rates for the New Tax Regime 

Income SlabsRate for All Taxpayers
Up to ₹3 lakhsNil
Between ₹3 lakhs and ₹6 lakhs5%
Between ₹6 lakhs and ₹9 lakhs10%
Between ₹9 lakhs and ₹12 lakhs15%
Between ₹12 lakhs and ₹15 lakhs20%
₹15 lakhs and above30%

For taxpayers with income exceeding a certain threshold, other tax rates known as surcharges will also apply. The applicable rates are as follows: 

Income SlabTax Rates
Above ₹50 lakhs and less than ₹1 crore10% of the net income
Above ₹1 crore and below ₹2 crores15% of the net income
₹2 crores and above25% of the net income

Who Can Opt for the Old and New Tax Regime? 

The slab of income tax in India also depends on the nature of your income. Here’s how taxpayers can choose between the old and new tax regimes. 

Nature of IncomeRegime Applicable 
Salary income or any other income attracting TDSEmployees have the option to choose the regime at the beginning of the financial yearIf they don’t have a preference, the new regime appliesTaxpayers cannot change the regime in the middle of the financial yearThey have the option to shift to the old regime at the beginning of the next financial year 
Income from business and professionTaxpayers with business or professional income can only choose the regime once

Knowing these deductions helps you accurately calculate your net taxable income when filing your taxes. Moreover, they allow you to save more from your income and invest funds for a secure future. However, if you need assistance for financial emergencies or planned expenses, you can opt for a Fibe Instant Personal Loan

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FAQs on Income Tax Slabs

What is the new income tax slab for FY 2024-25?

As per the Union Budget 2023, individuals earning a total income of up to ₹2.5 lakhs are not liable to pay tax. If your net annual income is over ₹2.5 lakhs, you must pay tax as per the applicable tax rate. 

Is filing income tax returns compulsory?

Yes, all individuals above 18 years with taxable income must pay taxes. 

Is there any standard deduction for FY 2023-24?

All individuals can claim standard deductions up to ₹50,000 under the old and new tax regime for FY 2023-24. 


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