Process of Calculating Income Tax on Salary

Income tax is the tax that you pay on your earnings. Income tax is payable to everyone who spent at least sixty days in India during the previous tax year and at least 365 days in the previous four years. How to Calculate Income Tax on Salary Before calculating your taxable salary income, it is critical to obtain all the information needed to prepare your Income Tax Return . You must next determine your entire taxable income, followed by the final tax refundable or payable. To compute the final tax, utilise the relevant tax rates before deducting taxes previously paid via advance tax or TCS/TDS from the tax amount payable. Individuals can draw income from five sources under income tax regulations: salary, business or property revenue, capital gains, house property income, and income from other sources. Each individual's income must fall into one of the aforementioned categories. Procedure for Calculating Income Tax on Salary Gather your pay slips and Form 16 for the current ...