Frequently Asked Questions (FAQ's)
Q. What is the difference between Old and New Tax Slab?
A.
Q. Applicability of the above slab?
A. Above slabs will be applicable to Individual and HUF.
Q. Can I choose Slabs as per my wish?
A. These slabs are optional, Assesses are free to choose any of the slab.
Q. Can I change Slab in later years ?
A. Yes, If you do not have any Business Income then you can change slab for previous financial year when filing return.
Q. Which are the deductions/exemptions not available in New Regime?
A.
Q. What are the advantages for opting New Regime?
A. If you opt New Regime, you do not need to disclose more information rather you can file return very easily. It is suitable for those who do not want to take professional services. Return filing form for New Regime will be easy so anyone can file the return.
Q. Is there no benefit to assesses having Home loan in New Regime?
A. Yes, there would be no benefit of Interest and Principle available to Assesses if they opt for new regime.
Q. What is the purpose of introducing New Regime?
A. New Regime is introduced to encourage more and more people to file return by giving a simplified form of Return.
Q. Are there any changes in Deductions and Exemptions for Existing Regime in Budget 2020?
A. There are no changes in Exemptions and Deductions for the existing regime. This is the smart move by the govt to introduce a New Regime in which people are diverted from the issues related to increasing the limit in 80C, 80D, etc.
Q. Which Scheme is beneficial for me if my salary is 5 Lakhs, 10 Lakhs or 15 Lakhs?
A. This calculation is not limited to some numbers rather there are many possibilities such as home loan, LIC, deductions, etc. It is possible that person having income of Rs. 5 Lakhs but no investments and tax planning while other person having income of Rs. 10 Lakhs with Proper Tax planning along with home loan. Since calculation will different from person to person based on their investments and tax planning. It is recommended to discuss your case with a professional to know which option will be beneficial for you or you can do your own analysis based on the above answered questions.
Happy Learning !!!
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