Highlights of Changes Proposed in the New Tax Regime [Section 115BAC]

Best Taxation Service

We are a thriving firm of Chartered Accountants with the goal of providing a one-stop shop for all financial services.

Business Strategy & Growth

We believe integrity is the quintessential value that is the engine behind getting things done in the organization.

Highly Dedicated Worker

You can put your trust in the economic realm and expect the best outcome. With a strong team that possesses the necessary skill set .

1. The new tax regime under section 115BAC is now the “Default Tax Regime”. Taxpayers can still opt to pay under the old tax scheme.

2. In addition to Individuals and HUFs, now AOP, BOI and Artificial Juridical Persons will also be covered under section 115BAC.

3. Revised slab rates under section 115BAC are as follows:

Net Income Range	Tax Rate
Upto Rs. 3,00,000	Nil
From Rs. 3,00,001 to Rs. 6,00,000	5%
From Rs. 6,00,001 to Rs.9,00,000	10%
From Rs. 9,00,001 to Rs. 12,00,000	15%
From Rs. 12,00,001 to Rs. 15,00,000	20%
Above Rs. 15,00,000	30%

4. The threshold limit of total income for rebate under section 87A for the default tax regime is increased from Rs. 5 lakhs to Rs. 7 lakhs, thus increasing the maximum rebate to Rs. 25,000.

5. Employees paying tax as per the default tax regime can now claim standard deduction under section 16.

6. The highest rate of surcharge for assessees under the default tax regime is reduced from 37% to 25%