Changes in the new tax regime: everything you need to know | Excel-based Income Tax preparation program for Non-Govt Employees (private) employees for F.Y.2023-24 and A.Y.2024-25.
In new tax regime, the income tax rates are lower and if a person opts for this regime, he cannot claim specified Tax deduction and exemption benefits.
Who can choose the new tax regime?
Only individuals and Indian Undivided Families (HUFs) can opt for the new tax regime & partnership firms, companies, associations of individuals, legal entities, and trusts cannot opt for New tax regime.
Are there any changes in the new tax regime for AY 2024-25/FY 2023-24?
Although the new tax regime was introduced through the Union Budget 2020, it underwent several changes through the Union Budget 2023. These changes are as follows:
1) Standard deduction
Earlier, under the new tax regime, there was no provision for the standard deduction. That is, individuals cannot claim the standard deduction on their income. But now, through the Union Budget 2023, people can claim this standard deduction, worth Rs. 50,000.
2) Standard tax system
The new tax regime will become the standard tax regime after filing the income tax return. However, if a person wants to declare ITR under the old tax regime, they have to select this option manually.
3) Changes in income tax rates
The new rates of the previous tax regime were multiple income taxes. This created a lot of confusion in people’s minds. Therefore, to alleviate this situation, the Government has amended the Income Tax Board rates. In addition, there is a reduction in tax liabilities through the new rates of the tax regime.
4) Basic discount limits
Under the latest new tax regime, the basic exemption threshold is Rs. 3 lakks. On the other hand, this limit remains the same as under the old tax regime, i.e. Rs. 2.5 Lakh.
5) Tax Exemption Limit for Total Income Up to 5 lakh / 7 Lakh
In addition to the above, the deduction limit under the new tax regime is now Rs. 7 lacs. That is, the taxable income of a person opting for the new tax regime is Rs. 7 Lakh, then he will have to pay zero tax on his income. But in the old tax regime, this limit remains the same i.e. Rs. 5 lakhs.
Download from the attached file as Automated Income Tax Preparation Excel-Based Software All in One for the Non-Government (Private) Employees for the F.Y.2023-24 and A.Y.2024-25
Feature of this Excel Utility:-
1) This Excel utility prepares and calculates your income tax as per the New Section 115 BAC (New and Old Tax Regime)
2) This Excel Utility has an option where you can choose your option as a New or Old Tax Regime
3) This Excel Utility has a unique Salary Structure for Non-Government Employees Salary Structure.
4) Automated Income Tax Form 12 BA
5) Automated Income Tax Revised Form 16 Part A&B for the F.Y.2023-24
6) Automated Income Tax Revised Form 16 Part B for the F.Y.2023-24
Author Bio
TO BE DOWNLOAD NET EXECEL ITR FORMAT