Note * : Fill all the fields on the above Income Tax Calculator
Income tax is not an unknown subject to any income earning person. Knowing the tax liability in advance helps an individual in tax planning. Karvy Value offers a simple calculator to calculate the tax liability of any individual post deductions offered under the income tax act. This would be helpful for the individual to invest in the required tax saving options.
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How to use this calculator?
You need to input the following details to get the desired results:
- Assessment Year – Choose the assessment year for which you want to know the tax liability. Ex: AY 2017-18, AY 2016-17, etc. AY 2017-18 is also known as FY 2016-17.
- Age – Select your age
- Gross Salary – Choose the gross salary as mentioned by your employer.
- Transport Allowance – Enter the transport allowance offered by the employer. Exemptions are allowed as per the applicable rules. Any changes in yearly budgets need to be factored in.
- HRA Exemption – House Rent Allowance (HRA) as offered by the employer needs to be entered. Exemptions differ based on the city you live in i.e. metro or non-metro.
- Section 80C Deduction – Deduction is allowed up to Rs. 1.5 lakh per financial year. It is subject to change, though.
- Section 80D Deduction – Enter the health insurance premium, if any.
- Section 80E Deduction – Enter the amount of education loan premium, if any. There is no limit on the deduction available for education loans.
- Interest on Home Loan – Any interest paid on home loan can be availed as deduction u/s 24.
- Other Deductions – Enter any other deductions, if applicable
- Click on Calculate to know the total amount of tax payable for the year.
By knowing the amount of tax payable in advance, proper tax planning can be done so that further tax saving options can be explored to minimize the total tax payable.