Income Tax Calculator is an easy way to calculate your tax runs through an estimated based formula, and every employee or individual holding a business needs to fill their IT returns by roughly calculating with help of the Income Tax Calculator.
This will make them understand how much tax must pay and how much already paid for further earnings. This formula lets you understand if any excess amount deducts in terms of Income Tax returns and the same may credit back to your account.
This is a must to use, as per Government of India regulation those who have an earning of 5 Lakhs and above per every year. They entitled to fill the Income Tax based on their earning and spending in different criteria.
Uses of Income Tax Calculator
To make you more clear, here are some points projects by 99employee.com. This must be aware of so that you will know the importance of an Income Tax Calculator.
Tax Planning: The ministry of Finance has released their union budget and has given a new tax regime. This has left everyone questioning their IT returns value which can only solve using an Tax Calculator. By using the calculator they can plan in an easier way and fill the ITR. This is based on the finance ministry regime.
Time-Saving: Getting a detailed plan to file the ITR is a time taking proves, in such a situation you just need to use the Tax Calculator and fill in your details as asked, and the calculator will automatically get the result on your screen which will give you better undressing on your spends.
Easy and Free to Use: There are numerous Income Tax Calculators available from various Banks and financial institutes which can use in one click. Moreover there is no charge and they also provide a convenient way to get your calculated Income Tax.
Basic to Calculate Income Tax
The Income Tax Calculator does use some of your information which uses a formula and then calculates the exact income tax for an individual. The calculation may differs for individual, business, or partnership firms. The below are some basic points to use while calculating the Income Tax on income from
- Income from House Property
- Business and Profession
- Other Sources
- Income from capital Gain
One should use the Income Tax Calculator found online. This designed with Indian Income Tax formula and they do consider various sections of Income Tax.
Calculate Income Tax
The Income Tax may calculate by using the online tool found by different financial instructions. Income Tax doesn’t have as it must have to look at each of your earnings from different sources.
The entire sources should update in the official calculator source at incometaxindia.gov.in/pages/tools/income-tax-calculator.aspx. You may check at any time for exact results.
This will automatically give a result by looking into your Form 16. The total value of income from salary may deduct by tax. In case excess tax deducted, the same will refund by Income Tax department.
How much tax should one pay from their salary?
The Income Tax paid as per the income tax slab your falling in. For individuals who are below 60 years may pay 5% to 30% from their income from 2.5lakhs and till 15Lakhs. This is based on the income slab, and Income Tax calculated and applied.
What is the maximum non-taxable limit?
The maximum limit of non-taxable income is 2.5 lakhs which set for individuals under section 87A. The rebate of 2,500 may applicable if your salary is below 3.5 Lakhs. If you have tax savings then added upon you will not asked for any Income Tax for that excess income.
Is Income Tax calculates for TDS?
No, the Income Tax calculator may use to calculate the Income Tax value deducts from your account. Nowhere directly related to Tax Deducted at Source. It allows you to calculate the liability for that based on your spending and earning.