Best Income tax calculator FY 2020-2021 (Covering old & new regime) and FY 2019-2020
In India income tax calculated in accordance with the income tax act, 1961. We have further elaborated the calculation of the income is into the 7 steps are as follows:
1. To Know which income would be taxable in india
2. Find the taxable under the 5 heads of the income i.e. Salary, capital gain, Business and professions, House property and others sources.
3. Check your carry forward losses if any and adjust it accordingly
4. Find your investment which would be eligible for the deduction under section 80c to 80u
5. Find the total income by reducing step 4 from step 3.
6. Find your rate of tax on the basis of the business entity and your residential status
7. Calculate your income tax as you calculated rate from step 5
Also download the excel based software we have developed for our general public to help in better prepare and calculate the income taxes.
Hope this will help you.