Tax

Income Tax Slab Rate & Deductions - FY 2017-18 (AY 2018-19)

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HDFC Life provides the latest income tax rates in India for different age groups and tax benefits offered by various life insurance policies, for the financial year 2017-18.

Tax Slab* for Financial Year 2017-18 (Assessment Year 17-18)

What is Income Tax Slab?

Income tax is that percentage of income paid to the government by the taxpayers for the betterment of the public at large. This income is categorized into different groups on the basis of the amount of income. Each such group is known as a Tax Slab. Tax is charged at different rates on the range of income falling under different income tax slabs.

The Income Tax Act 1961 is the law that governs the provisions for our income tax.

The income tax rates are usually revised every year during the budget. Various deductions that are allowed to a taxpayer under Section 80C, Section 80D etc.

Income Tax Slab Rate Post Budget 2017

The tax is calculated according to the income tax slabs announced by the government every year in the Budget. The finance minister has announced the changes in the tax slab structure in union budget for 2017.

Following are the income tax slab rates and deductions for different categories of tax payers:

For Individuals Below 60 Years Of Age

Income Level Tax Rate
Rs. 2,50,000 Nil
Rs. 2,50,001 - Rs. 500,000 5% 
Rs. 500,001 - Rs. 10,00,000 20% 
Above Rs. 10,00,000 30% 

For Senior Citizens (Age 60 years or more but less than 80 years)

Income Level Tax Rate
Upto Rs. 3,00,000 Nil
Rs. 3,00,001 - Rs. 500,000 5% 
Rs. 500,001 - Rs. 10,00,000 20% 
Above Rs. 10,00,000 30% 

For Senior Citizens (Age 80 years or more)

Income Level Tax Rate
Upto Rs. 5,00,000 Nil
Rs. 500,001 - Rs. 10,00,000 20% 

 

Surcharge @ 10% of tax will be payable by individuals having total income exceeding Rs. 50,00,000.
Surcharge @ 15% of tax will be payable by individuals having total income exceeding Rs. 100,00,000.

Income Tax Deductions and Exemptions

Income Tax Section Gross Annual Salary How Much Tax Can You Save? HDFC Standard Life Plans
Sec. 80C Across all income slabs Upto Rs. 46,350/-saved on investment of Rs. 1,50,000/- All our Life Insurance Plans 
Buy Life Insurance and Save Tax
Sec. 80CCC Across all income slabs Upto Rs.30,900/-saved on Investment of Rs.1,50,000/- All our Pension Plans
Buy Pension Plans and Save Tax
Sec. 80 D* Across all income slabs Upto Rs. 10,815/-saved on investment of Rs.35,000/-

(Inclusive of Rs. 20,000/- towards health insurance of parents who are senior citizens)

Total Savings
Possible **

Rs. 57,165/-

 
  • Rs. 46,350/- under Sec. 80C and Sec. 80CCC and
  • Rs. 10,815/- under Sec. 80D
  • Above figures calculated for an individual with gross annual income exceeding Rs. 10,00,000/-
Sec. 10 (10)D Under Sec. 10(10D), the benefits received by you are completely tax-free, subject to conditions specified there in

Save tax with HDFC Life’s various online insurance products.

Tax Slab* for Financial Year 2013-14

Tax Slab* for Financial Year 2014-15

Tax Slab* for Financial Year 2016-17

 

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