How much Taxes would you save next year (2010-11)?

Personal Income Tax Calculator for FY 2010-11

Today Pranav Mukerjee has all but surprised the common man with his budget. The tax slabs has been altered and it has lead to the benefit of up to Rs. 57,680 depending on which tax slab you belong to. I just made a quick calculator for the new financial year 2010-11 to see how much I would gain in taxes the next year.

This Calculator will be used to compute the Tax for salaried individuals only. You can compute your tax liability for the year and plan your investments accordingly.


The new tax slabs are

There is a new provision where you can get additional Rs 20,000 tax exemption benefit (in addition to 1 Lac in 80C) by investing in Infrastructure Bonds. Though its not clear what kind of bond they would be, what tenure, who would issue them and how would they be taxed on maturity.

You can refer to - Personal Income Tax Calculator for FY 2009-10 to know what you were paying for the present year (FY 2009-10) and get the difference.

In my example the person with an annual income of Rs 972,972 was paying Rs.59,983 as tax for FY 2009-10; while he would pay Rs. 34,414 if we take the new tax structure of FY 2010-11, a gain of Rs 25,569 or 43% less tax.

Word of Cautions for using the sheet:

Only Orange Cells are input cells.

Do not change any other cells as this may lead to Incorrect calculation.

Do not leave any orange cell blank. This may lead to incorrect calculation. Instead, enter 0

Limitations of the calculator:

This calculates Income tax only for people who have no losses/gains from House property or have a maximum of 1 House.

For detils of Assumptions & Income tax rules followed for the calculator Read - Income Tax - Some Common Rules & Regulations

You can also download this sheet in Excel format on your system for offline calculations.

Leave your comments on how much more you would save on taxes next year and what are you planning to do with the same :)

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Disclaimer: I am not a tax consulatant. I have tried to incorporate all the Income tax rules & regulations best known to me. Its always advisable to consult an expert or a tax consultant to cross verify your tax liability.