What is the rate of income tax (new regime) payable for financial year 2021-2022, by an individual who is under 60 years of age, and has a net income of less than ₹5 lakhs but more than ₹2.5 lakhs?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. 5%
- As per the 2021-22 income tax slabs, taxation of income of resident individuals below 60 years is as follows:
- Income up to Rs 2.5 lakh is exempt from tax,
- 5 per cent tax on income between Rs 250,001 to Rs 5 lakh.
- 20 per cent tax on income between Rs 500,001 and Rs 10 lakh
- 30 per cent tax on income above Rs 10 lakh.