2023-2024 New TDS Regime

For financial Year 2023-24 Employee will have choices of tax regime.

There are two regimes:

1. New (Default)
2. Old

New Regime:
➢ New tax regime slab rates are not differentiated based on age group.
➢ The rebate limit has been increased from 5 lakh to 7 lakh.
➢ Rebate of 25000 is Applicable. This tax rebate is applicable for all individuals whose taxable
income does not exceed Rs 7 lakh.
➢ Individuals having an income of 15.5 lakhs or more they are eligible for a Standard Deduction of
52500.
➢ No Professional Tax deduction applicable.
➢ In New regime only one concession -Deduction under section 10, Chapter VI (80CCD 2) is
Applicable. Other Concessions cannot be used to declare.

From To Rate
0 300000 0%
300001 600000 5%
600001 900000 10%
900001 1200000 15%
1200001 1500000 20%
1500001 Above 30%

Old Regime:
Previous year TDS slabs will remain same for current financial year

From To Rate
0 250000 0%
250001 500000 5%
500001 1000000 20%
Above 1000001 30%

Please Note:
➢ Employee can ask admin (Employer) to change his Income tax Regime(old/New). Admin can
change employee's Income tax regime.
➢ Regime selected in the first month of year will be considered for rest of the year, hence do not
change regime every month.
➢ As per selected regime employee’s Income tax will be calculated.
➢ Admin cannot change regime once salary is saved. So, ensure that before salary is saved regime
is updated in employee master.
➢ Default regime is New (I.e., current).

People Prime Worldwide Private Limited|4th Floor | HIG 170, 6th Phase| KPHB| Hyderabad – 500085