Income Tax Slab

Income Tax Slab – An Income Tax Slab is a range of income levels that are taxed at specific rates under the income tax law. Taxpayers are required to calculate their total income during a Financial Year (FY) and pay taxes according to the slab in which their income falls. Slabs are structured progressively, meaning higher income levels are taxed at higher rates, while lower income levels are taxed at lower rates or may be exempt. For tax purposes, the income earned during a Financial Year is assessed and taxed in the corresponding Assessment Year (AY).

Example: For FY 2022–23, if an individual earns ₹10 lakh, the income is assessed and taxed in AY 2023–24 according to the applicable income tax slabs for that year