In itr 4 for fy 25-26, new tax regimen, under sec 44 ADA if the taxable income is as
450000 (52% profit)+500000 (income from other sources like fd interest, sb interest, dividend) so total taxable income is 9,50,000.
is the benefit of sec 87 A rebate which is increased to 60,000 under new tax regimen applicable? to get net tax as zero
Regards
Dilip
Under the New Tax Regime for FY 2025-26, the Section 87A rebate limit has been raised to ₹12 Lakhs (with a max rebate of ₹60,000). Since your total income of ₹9,50,000 is below this threshold, the calculated tax of ₹35,000 is fully covered by the rebate, resulting in Zero tax.
Thank you sir for your kind and prompt clarification 👍
Its my pleasure :-).. . . . .. .. . . . . . ..
CAclubindia
