Income Tax Slab for Women

  • Author :
  • TATA AIG Team
  • Published on :
  • 06/07/2023

Every individual in India who earns an income above a certain limit is mandated by the law to pay an income tax to the government. The income tax in our country is progressive in nature. It means, as your income increases, the payable tax also increases.

The Indian government decides the tax slabs for taxpayers under different income levels. However, on several occasions, people are confused about the income tax slab for women in India.

People also wonder if tax deduction benefits like home loans, PPF, and paying premiums for health insurance plans are applicable to women taxpayers.

Let us delve deeper into the topic and find out about income tax slabs in India for women and the role of medical insurance in income tax exemptions.

Is the Current Income Tax Slab For Women Different From Men?

No, the latest income tax slab for women is the same as that for men in the country. Before the FY 2012-2013, women enjoyed a higher tax exemption than men. However, from FY 2012-2013 onwards, the income tax slab for working women and working men is uniform.

So then, how is the income tax slab decided?

The income tax slab rate for women and men in our country depends on the taxpayers’ income level and age. Taxpayers have been classified into 3 different categories based on their age. These are:

  • Men and women below the age of 60 years.

  • Men and women between the age of 60 and 80 years. These are classified as senior citizens.

  • Men and women above the age of 80 years. These are classified as super senior citizens.

Income Tax Slab for Women India

Let us first understand what an income tax slab for women is. An income tax slab for women is the applicable tax rate for a taxpayer based on her age and income level.

The tax slab rates are subject to change for every Union Budget. Here is a detailed analysis of the income tax slab rate for women in India per the latest Union Budget.

*Income Tax Slab for Women Less Than 60 Years of Age *

A new tax regime has been introduced in the Union Budget 2023, now the default one. The tax regime for single and married earning women under the age of 60 for the FY 2023-24 is represented below:

Income Tax Slab for Women Under New Regime (FY 2023-24) Taxation Rate
Income up to ₹3,00,000 Nil
Income between ₹3,00,001 and ₹6,00,000 5% of the total income amount exceeding ₹3,00,000
Income between ₹6,00,001 and ₹9,00,000 ₹15,000 + 10% of the total income amount exceeding ₹6,00,000
Income between ₹9,00,001 and ₹12,00,000 ₹45,000 + 15% of the total income amount exceeding ₹9,00,000
₹45,000 + 15% of the total income amount exceeding ₹9,00,000 ₹90,000 + 20% of the total income amount exceeding ₹12,00,000
Income above ₹15,00,000 ₹1,50,000 + 30% of the total income amount exceeding ₹15,00,000

[Note: Up till March 31, 2023, the tax rates for the previous FY 2022-23 were applicable. If you have chosen the new tax regime, you must consider these tax rates for paying the income tax till July 31, 2023.]

Under New Regime (FY 2022-23)
Income Tax Slab for Women Taxation Rate
Income up to ₹2,50,000 Nil
Income between ₹2,50,000 and ₹5,00,000 5% of the total income amount exceeding ₹2,50,000
Income between ₹5,00,000 and ₹7,50,000 ₹12,500 + 10% of the total income amount exceeding ₹5,00,000
Income between ₹7,50,000 and ₹10,00,000 ₹37,500 + 15% of the total income amount exceeding ₹7,50,000
Income between ₹10,00,000 and ₹12,50,000 ₹75,000 + 20% of the total income amount exceeding ₹10,00,000
Income between ₹12,50,000 and ₹15,00,000 ₹1,25,000 + 25% of the total income amount exceeding ₹12,50,000

Note that under the old regime, the income tax slab rate for women remained the same for both financial years.

Under Old Regime (FY 2022-23 & FY 2023-24)
Income Tax Slab for Women Taxation Rate
Income up to ?2,50,000 Nil
Income between ?2,50,000 and ?5,00,000 5% of the total income amount exceeding ?2,50,000
Income between ?5,00,000 and ?10,00,000 ?12,500 + 20% of the total income amount exceeding ?5,00,000
Income above ?10,00,000 ?1,12,500 + 30% of the total income amount exceeding ?10,00,000

Income Tax Slab for Women Between 60 and 80 Years of Age

Working women between the age of 60 and 80 years come under the senior citizen category for tax calculation. Here are the details for the income tax slabs for the current and the previous year for tax filing purposes:

Senior citizen women who have opted for the new tax regime must follow the below-mentioned tax slab for FY 2023-24:

Under New Regime (FY 2023-24)
Income Tax Slab for Senior Citizen Women Taxation Rate
Income up to ₹ 3,00,000 Nil
Income between ₹ 3,00,001 and ₹ 6,00,000 5% of the total income amount exceeding ₹ 3,00,000
Income between ₹ 6,00,001 and ₹ 9,00,000 ₹ 15,000 + 10% of the total income amount exceeding ₹ 6,00,000
Income between ₹ 9,00,001 and ₹ 12,00,000 ₹ 45,000 + 15% of the total income amount exceeding ₹ 9,00,000
Income between ₹ 12,00,001 and ₹ 15,00,000 ₹ 90,000 + 20% of the total income amount exceeding ₹ 12,00,000
Income above ₹ 15,00,000 ₹ 1,50,000 + 30% of the total income amount exceeding ₹ 15,00,000

Senior citizen women who have opted for the new tax regime must follow the below-mentioned tax slab for FY 2022-23:

Under New Regime (FY 2022-23)
Income Tax Slab for Senior Citizen Women Taxation Rate
Income up to ₹2,50,000 Nil
Income between ₹2,50,001 and ₹5,00,000 5% of the total income amount exceeding ₹2,50,000
Income between ₹5,00,001 and ₹7,50,000 ₹12,500 + 10% of the total income amount exceeding ₹5,00,000
Income between ₹7,50,001 and ₹10,00,000 ₹37,500 + 15% of the total income amount exceeding ₹7,50,000
Income between ₹10,00,001 and ₹12,50,000 ₹75,000 + 20% of the total income amount exceeding ₹10,00,000
₹75,000 + 20% of the total income amount exceeding ₹10,00,000 ₹1,25,000 + 25% of the total income amount exceeding ₹12,50,000
Income above ₹15,00,000 ₹1,87,500 + 30% of the total income amount exceeding ₹15,00,000

Under the old regime, the income tax slab rate for senior citizen women remained the same for both financial years

Under Old Regime (FY 2022-23 & FY 2023-24)
Income Tax Slab for Senior Citizen Women Taxation Rate
Income up to ₹3,00,000 Nil
Income between ₹3,00,001 and ₹5,00,000 5% of the total income amount exceeding ₹3,00,000
Income between ₹5,00,001 and ₹10,00,000 ₹10,000 + 20% of the total income amount exceeding ₹5,00,000
Income above ₹10,00,000 ₹1,10,000 + 30% of the total income amount exceeding ₹10,00,000

There is an additional 4% cess for health and education for senior citizen women which is applicable above the tax amount.

*Income Tax Slab for Women Above 80 Years of Age *

Working women above the age of 80 years come under the super senior citizen category for tax calculation. Here are the details for the income tax slabs for the current and the previous year for tax filing purposes:

Super senior citizen women who have opted for the new tax regime must follow the below-mentioned tax slab for FY 2023-24:

Under New Regime (FY 2023-24)
Income Tax Slab for Women Above 80 Years Taxation Rate
Income up to ₹3,00,000 Nil
Income between ₹3,00,001 and ₹6,00,000 5% of the total income amount exceeding ₹3,00,000
Income between ₹6,00,001 and ₹9,00,000 ₹15,000 + 10% of the total income amount exceeding ₹6,00,000
Income between ₹9,00,001 and ₹12,00,000 ₹45,000 + 15% of the total income amount exceeding ₹9,00,000
Income between ₹12,00,001 and ₹15,00,000 ₹90,000 + 20% of the total income amount exceeding ₹12,00,000
Income above ₹15,00,000 ₹1,50,000 + 30% of the total income amount exceeding ₹15,00,000

Super senior citizen women who have opted for the new tax regime must follow the below-mentioned tax slab for FY 2022-23:

Under Old Regime (FY 2022-23 & FY 2023-24)
Income Tax Slab for Women Above 80 Years Taxation Rate
Income up to ₹5,00,000 Nil
Income between ₹5,00,001 and ₹10,00,000 20% of the total income amount exceeding ₹5,00,000
Income above ₹10,00,001 30% of the total income amount exceeding ₹10,00,000

[Note: There is an additional 4% cess for Health and Education for super senior citizen women, which is applicable above the tax amount.]

Additional Surcharge on the Current Income Tax Slab for Women

Indian working women with an annual income of more than ₹50,00,000 have to pay an additional surcharge to the government. The surcharge applicable from FY 2023-24 is as follows:

Taxable Income Applicable Surcharge Rate
Income between ₹50,00,000 and ₹1,00,00,000 10%
Income between ₹1,00,00,000 and ₹2,00,00,000 15%
Income above ₹2,00,00,000 25%

Income Tax Exemption for Women Under New Tax Regime

As per the provisions laid down in the budget 2023, the income tax exemptions for women under the new tax regime are as follows:

Category Exemption
For Salaried Females Deduction of up to ₹50,000 under ‘income from salaries’ only on salaried income
Section 80CCD (2) Exemption on any National Pension Scheme (NPS) contributed only by the employer to the female employee’s NPS account. 10% of the salary for private employees and 14% of the salary for government employees
Agniveer Corpus Fund (under Section 80CCH) The contribution made to the Agniveer Corpus Fund by the Agniveer or the Central Government to their Seva Nidhi account
Section 80JJAA Up to 30% exemption on additional employee cost

Income Tax Exemption for Women Under Old Tax Regime (FY 2022-23 & FY 2023-24)

Under the old tax regime, females can avail of certain deductions and allowances for FY 2022-23 and 2023-24.

  • Females get a standard deduction of up to ₹50,000.

  • House Rent Allowance and Leave Travel Allowance.

  • Reimbursement for mobile and landline used at home.

  • Reimbursement of expenditure made towards buying books, newspapers, journals, etc.

  • If you shift from one city to another for business purposes, you get benefits under relocation allowance.

  • Expenditure made on food coupons.

  • Benefits on provisions and amenities given by the employer, like vouchers, cab facility, health club facility, gifts, etc.

Income Tax Rebate for Women

There is a relief for taxpayers, including women, in the Union Budget 2023. Under the Section 87A of the Income Tax Act, women can enjoy the following tax rebate as per their respective age bracket:

Age Rebate Under New Tax Regime (FY 2022-23) Rebate Under New Tax Regime (FY 2023-24) Rebate Under Old Tax Regime (FY 2022-23 & 2023-24)
Less than 60 years Income up to ₹5,00,000 (up to ₹12,500 on calculated tax) Income up to ₹7,00,000 (up to ₹25,000 on calculated tax) Income up to ₹5,00,000 (up to ₹12,500 on calculated tax)
Between 60 & 80 years Income up to ₹2,50,000 Income up to ₹3,00,000 Income up to ₹3,00,000
Above 80 years Income up to ₹2,50,000 Income up to ₹3,00,000 Income up to ₹5,00,000

How to Calculate the Taxable Income for Women?

The taxable income for both women and men is calculated under 5 heads in our country, which are as follows:

  1. Income from salary

  2. Income from house property

  3. Income from capital gains

  4. Income from business and profession

  5. Income from other sources (fixed deposit interest, interest on a savings account, etc.).

Health Insurance Tax Benefits for Women

Female taxpayers in India can enjoy income tax benefits for a health insurance plan under Section 80D.

  • Benefit of ₹25,000 for the female policyholder, her spouse, and dependent children and ₹25,000 for parents below 60 years of age.

  • Benefit of ₹25,000 for the female policyholder, her spouse, and dependent children and up to ₹50,000 for parents above 60 years of age.

  • Benefit of up to ₹50,000 for members of a Hindu United Family (if one of the family members is over 60 years old) and up to ₹50,000 for parents above the age of 60.

You can enjoy health insurance tax benefits with our Tata AIG health insurance plans and get peace of mind with the extensive health insurance coverage they offer.

Conclusion

Women in India with an annual income above a set limit must pay an income tax to the Government of India. A failure to pay the appropriate amount of income tax on time can result in financial and legal implications. With certain exemptions and rebates, like health insurance plans, the payable tax can be reduced.

Disclaimer / TnC

Your policy is subjected to terms and conditions & inclusions and exclusions mentioned in your policy wording. Please go through the documents carefully.

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