Income Tax Slab for Women in India

India has a progressive tax regime. This implies that the more you earn, the more tax you pay annually. As an Indian citizen, you must pay tax according to the defined slabs. The income tax slab starts from 5% and goes up to 30%. However, people earning up to ₹7,50,000 annually are exempted from the tax slabs. Any income after this limit is taxable.

Additionally, some benefits and reliefs for women under the income tax regime empower them economically. Let us understand the income tax slab for females and tax exemption limit for ladies in India.

Are Income Tax Slabs Different for Males and Females?

Earlier, the Indian government offered a higher basic income tax exemption for women to promote women in the workforce. However, this system was abolished after FY 2012-13. However, the government continued to provide benefits and relief to women through lowered interest rates on home loans, rebates on property tax, concession on stamp duty, etc.

Categories Under Income Tax

• Individuals: Residents below 60 years of age, including Non-residents.
• Senior Citizens: People above the age of 60 years.
• Super Senior Citizen: People above the age of 80 years.

Income Tax Slabs for Women Below 60 Years (FY 2024-25)

If you are wondering how much income comes under the income tax slab for ladies, the answer varies depending on the age and taxable income bracket. In India, the income tax slabs for FY 2024-25 are the same for men and women below 60, regardless of the chosen tax regime. Here are the tax rates for different income tax slabs for women below 60:

Old tax regime

New tax regime:

Income Tax Slabs for Women Between 60-80 Income (FY 2024-25)

Taxable income for women for FY 2024-25 differs for senior citizens between 60 and 80 years old compared to younger individuals. Let us take a look at these:

Old tax regime

New tax regime

Income Tax Slab for Super Senior Citizens (Women Above 80 Years) (FY 2024-25)

The income tax slabs are the same for super senior citizens (women above 80 years) as other age groups. However, they benefit from a much higher tax exemption limit. Here are the income tax rates for super seniors in India:

Old tax regime

New tax regime

Additional Surcharge Rate For Women Taxpayers - New and Old Tax Regime

In India, there is no additional surcharge rate for women taxpayers under either the new or old tax regime. Surcharge rates are based on income level, not gender.

Here is the list of surcharge rates applicable to both men and women:

Old tax regime

New tax regime

Taxable Income

Most of you must be wondering what income is considered taxable and what is not. To build a better understanding of taxable income, you must refer to the following points:

Income from Salary

Anything earned from a job in the form of salary is considered taxable. However, you will get the exemption from tax up to a certain limit, but it is a good practice to file an income tax return annually.

Income from Business or Private Practice

Your income is taxable if you are an entrepreneur or a professional who offers private consultancy services. Income earned from freelancing or part-time jobs is also a part of taxable income under the Indian Tax Regime.

Income from Property

The income is taxable if you earn rental income from tenants at some of your properties. This also applies if you and your tenants live in the same house but have separate portions.

Income Tax Rebate for Women

Women taxpayers, like their male counterparts, are eligible for a rebate under Section 87A. If their total annual income does not exceed ₹5,00,000, they can claim a rebate of up to 100% of the income tax payable or ₹12,500, whichever is lower.

Under the new tax regime, this rebate increases to up to 100% of the income tax payable or ₹25,000, whichever is lower, for those with a total annual income not exceeding ₹7,00,000.

Benefits and Exemption For Women Taxpayers in India

Income tax for women can be reduced by taking advantage of specific benefits and rebates outlined in the Act. The income tax exemption limit for females and benefits available to women taxpayers are listed below.

If a woman taxpayer opts for the new tax regime, these deductions must be forgone. Additionally, home buyers can claim a deduction of ₹2,00,000 under section 24(b) for interest paid on home loans, but only if they choose the old regime.

Benefits available to salaried women employees under the old tax regime include:

• Standard deduction of ₹50,000
• Leave Travel Concession, etc.
• House Rent Allowance (HRA)

The amount of deduction for HRA is the least of the following:

• Actual HRA received
• 50% of basic salary + DA (for those living in metro cities)
• 40% of basic salary + DA (for those living in non-metro cities)
• Excess of rent paid over 10% of basic salary

Key Takeaways

• Income tax rates in India range from 5% to 30%, depending on income levels.
• There is no difference in tax slabs for men and women below 60 years as of FY 2024-25.
• Women still receive various benefits, such as lower home loan interest rates, property tax rebates, and stamp duty concessions.
• Benefits of paying tax for women include higher exemption limits in some years and special savings schemes for women (e.g., Sukanya Samriddhi Yojana).

To Sum Up

Women in the workforce not only uplift themselves but also bring change in the community altogether. Hence, the government initiates subsidies and tax rebates to strengthen women financially. These steps have shown a positive result in past years and, therefore, continued to date.