Question

Which among the following income tax rate is applicable to a normal resident individual
other than senior and super senior citizen in India at present?

(i) Up to Rs. 2,50,000 – Nil
(ii) Rs. 2,50,000 to Rs. 5,00,000 – 5%
(iii) Rs. 5,00,000 to Rs. 10,00,000 – 10%
(iv) Above Rs. 10,00,000 – 20%

• A. Only (i) and (ii)
• B. Only (i), (iii) and (iv)
• C. Only (iii), (iv)
• D. All the above

Answer 1

Answer:

A. Only (i) and (ii)

Income tax is levied on the income earned by all the individuals, HUF, partnership firms , LLPs and Corporates as per the Income tax Act of India.

In the case of individuals, tax is levied as per the slab system if their income is above the minimum threshold limit (known as basic exemption limit ).

Current Income tax Slab & rate are given below:-

Net Taxable Income	Tax Slab Rates FY 22-23
Up to Rs 2.5 lakh	Exempt
Rs 2,50,001 to Rs 5 lakh	5%
Rs 5,00,001 to Rs 7.5 lakh	10%
Rs 7,50,001 to Rs 10 lakh	15%
Rs 10,00,001 to Rs 12.5 lakh	20%
Rs 12,50,001 to Rs 15 lakh	25%
Over Rs. 15 lakh	30%