1. What is Salary Tax in India?

Salary tax in India consists of two main components: Income Tax (levied by central government as per progressive slabs) and Professional Tax (levied by state governments, typically a fixed amount).

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Income Tax — Calculated as per 2024-25 tax slabs with standard deduction
• Professional Tax — Varies by state (Maharashtra: ₹2500/year, Karnataka: ₹2400/year, etc.)

3. Income Tax Slabs for FY 2024-25

For Individuals Below 60 Years:

• Up to ₹3,00,000: Nil
• ₹3,00,001-₹6,00,000: 5%
• ₹6,00,001-₹9,00,000: ₹15,000 + 10%
• ₹9,00,001-₹12,00,000: ₹45,000 + 15%
• ₹12,00,001-₹15,00,000: ₹90,000 + 20%
• Above ₹15,00,000: ₹1,50,000 + 30%

Senior Citizens (60-80 years) and Super Senior Citizens (80+ years) have higher exemption limits.

4. Professional Tax by State

State-wise Professional Tax (Annual):

• Maharashtra: ₹2,500 (₹200/month + ₹100 annual)
• Karnataka: ₹2,400 (₹200/month)
• Tamil Nadu: ₹2,500 (slab-based)
• West Bengal: ₹2,400 (₹200/month)
• Other states: Typically ₹2,000-₹2,500 annually

5. Frequently Asked Questions (FAQ)

Q1: Is standard deduction included?
A: Yes, the calculator automatically deducts ₹50,000 standard deduction before tax calculation.

Q2: Are deductions like HRA, 80C considered?
A: No, this calculator provides basic estimation. For exact calculation, consider all applicable deductions.

Q3: Is cess included in the calculation?
A: Yes, 4% health and education cess is included in the income tax amount.

Q4: How accurate is the professional tax calculation?
A: It uses typical maximum amounts. Some states have slab-based professional tax.

Q5: Does this include surcharge?
A: No, surcharge for high-income individuals (above ₹50 lakh) is not included.