Feeling confused while filing your income tax return?
You’re not alone. Every year, millions of Indians file their Income Tax Returns (ITR), but many still don’t fully understand how income tax works, which incomes are taxable, and how to save tax legally.
If you’re looking for clear and simple information for the current financial year, this guide is for you.
📌 What is Income Tax?
Income Tax is a direct tax that the Government of India collects on income earned by individuals, businesses, and other entities during a financial year. It helps fund essential services like healthcare, education, infrastructure, and defense.
If your total income exceeds the basic exemption limit, you’re required to file an Income Tax Return for that year.
🧾 Income Tax Slabs for FY 2025-26 (AY 2026-27) – New Regime
As of now, the New Tax Regime is the default option. However, taxpayers can still opt for the Old Regime if they prefer deductions and exemptions.
Here are the latest tax slabs under the New Regime:
| Annual Income (₹) | Tax Rate |
|---|---|
| 0 – 3 lakh | 0% |
| 3 – 6 lakh | 5% |
| 6 – 9 lakh | 10% |
| 9 – 12 lakh | 15% |
| 12 – 15 lakh | 20% |
| Above 15 lakh | 30% |
✅ A standard deduction of ₹50,000 is also available under the New Regime.
You can switch between regimes every year (for salaried individuals).
✅ What Types of Income Are Tax-Free?
Not all income is taxable. Here are some tax-free sources under Indian tax law:
Agricultural income
Scholarship income
Gifts from relatives (as per limits)
EPF withdrawal after 5 years
House Rent Allowance (HRA), subject to conditions
Interest from tax-free bonds
📉 How to Save Tax? (If you choose Old Regime)
Under the Old Regime, you can reduce your taxable income through various deductions:
Section 80C: Up to ₹1.5 lakh (LIC, PPF, ELSS, NSC, Tax-saving FDs, etc.)
Section 80D: Health insurance premiums
Section 24(b): Home loan interest up to ₹2 lakh
Section 80E: Education loan interest
HRA: If you live in rented accommodation
NPS (Section 80CCD(1B)): Additional ₹50,000
💡 Many of these deductions are not available in the New Regime, so choose wisely.
📅 Due Date for Filing ITR for AY 2026-27
🗓️ July 31, 2026 – for salaried individuals and non-audit cases
If you miss the deadline, you may have to pay a late filing fee of ₹1,000 to ₹5,000, depending on your income.
⚠️ Common Tax Filing Mistakes to Avoid
Providing incorrect bank account details
Not reporting all sources of income (FDs, crypto, freelance work, etc.)
Claiming ineligible deductions
Mismatch in TDS and Form 26AS
Filing under the wrong tax regime
🙋♂️ Need Help Filing Your Taxes?
Filing your ITR doesn’t have to be stressful. If you’re unsure about the process or want to maximize your tax savings legally, feel free to get in touch:
📞 Call/WhatsApp: [Insert your contact number]
📧 Email: [Insert your email address]
🌐 Website: [Insert your website link]
🔁 Share This Guide
If this guide helped you, share it with your friends and family. Tax awareness is everyone’s responsibility.
👨⚖️ Disclaimer:
This article is for informational purposes only. Please consult a certified tax advisor or chartered accountant for personalized advice.
Would you like me to create this as a PDF, Word document, or website blog post template (HTML/WordPress format)?
Let me know, and I’ll deliver it in the format that best suits your website.
