Short term Capital Gain Taxability under new regime if total income is 8 Lacs

I'll address your queries regarding the new tax regime and rebate limits.

New Tax Regime and Rebate Limit The new tax regime, introduced in the Finance Act, 2023, provides a rebate limit of ₹7 lakhs.

wThis means that individuals with a total income of up to ₹7 lakhs are exempt from paying income tax.

 *A) Your Wife's Short-Term Capital Gain* Your wife has earned a short-term capital gain of ₹6 lakhs from Treasury bills. Since this income is below the rebate limit of ₹7 lakhs, she is exempt from paying income tax.

 *B) Your Mom's Dividend and Short-Term Capital Gain* Your mom has earned: 1. *Dividend of ₹5.3 lakhs*: Dividend income is taxable, but it's also eligible for a deduction of ₹10 lakhs under Section 57 of the Income-tax Act, 1961.

Since the dividend income is below ₹10 lakhs, no tax is payable on this income. 2. *Short-term capital gain of ₹1.3 lakhs*: This income is also exempt, as the total income (dividend + short-term capital gain) is below the rebate limit of ₹7 lakhs.

Since your mom's total income is ₹6.6 lakhs (₹5.3 lakhs + ₹1.3 lakhs), which is below the rebate limit of ₹7 lakhs, she is also exempt from paying income tax.