• Notification Date: 14-02-2023
• Notification No: N/A

Income Tax Calculator for Senior Citizens 2023-24- Old Regime Better for upto Rs 10 lakh Income

Senior Citizens can now calculate their tax liability for Assessment Year 2023-24 and Assessment Year 2024-25 by using the following Income Tax calculator. To use the calculator, you will have to provide basic inputs like total income, various deductions under Sections 80C, 80D, 80 TTB etc. 

Since the announcement of the new income tax slab rates under the New Tax Regime, everyone is curious to find out which regime will be better for him/her. It is important to note here that the revised slabs under the New Tax Regime announced in Budget 2023 would be applicable from next year, i.e., AY 2024-24. 

In the current year (AY 2023-24) old slab rates under both new and old regimes will apply. 

For illustration purposes, we have used the Income Tax Calculator to find out tax liability on Rs 10 lakh annual income in AY 2023-24 and AY 2024-25. 

Assumptions: 

1.Annual Income: Rs 10 lakh 

2. Section 80C investment: Rs 1.5 lakh 

3. Section 80D expenses: Rs 50,000 

4. Interest on deposits for deduction under Section 80TTB: Rs 50,000 

By putting all the above inputs in the calculator, it shows that the tax liability under the Old Regime will be lower than the New Regime in AY 2023-24. The calculator shows that the tax liability for AY 2023-24 under Old Regime will be Rs 52,000 while under the New Regime, it will be Rs 78,000. 

Even for AY 2024-25, Old Regime fares better than New Regime. The Income Tax calculator shows that the tax liability under Old Regime in AY 2024-25 will be Rs 52,000 in the above case. The tax liability under New Regime in AY 2024-25 will be Rs 54,600. 

It should be noted that the final tax liability of a person will vary from case-to-case basis. Therefore, one should use the above calculator to check out the liability and the regime which is better for the taxpayer.