WHICH TAX REGIME SHOULD YOU SELECT? ARE YOU CONFUSED?
Old Regime has Deductions and Exemptions but the New Regime has Lower Slab Rates and Fewer Exemptions. When the fiinancial year begins, employees must inform their employers of their chosen tax structure. WHY DO YOU HAVE TO OPT FOR A TAX REGIME? Employers are seeking information from their Employees on which regime they wish to opt for because CBDT (Circular no 04/2023) made it COMPULSORY for the Employers. Employer will be deducting TDS accordingly. You have to select between the New and Old Tax Regime, else the Employer will take the New Tax Regime as DEFAULT and deduct TDS accordingly. Whether you choose Old or New Income tax regime, the purpose of TDS on Salary has no impact on filing Income tax return by the assessee. You can change it while filing your ITR. TIPS ON WHICH IS THE RIGHT TAX REGIME FOR YOU For Income up to Rs 7 lakh the New Tax Regime is better In case you don’t have Tax savings and Deductions to avail then consider the New Tax Regime In ...