Are Tax Slabs the Same for Males and Females?
Income tax slabs differ based on –
- The tax regime that you choose – old regime or new regime
- Type of entity – individuals and HUFs have progressive tax slab rates that depend on their income. On the other hand, corporates are taxed on a flat rate depending on their turnover.
- Age – individuals under 60 years have different tax slabs under the old regime compared to individuals aged 60 years and above1.
Besides these differences, the female income tax slabs are the same as males.
Income Tax Slabs
Individuals in India are subject to income tax using a slab system, in which various income brackets are given varying tax rates. As a person's income increases, so do the tax rates. This kind of taxation makes it possible for the nation to have a progressive and equitable tax structure. The income tax slabs for men and women are the same, there aren’t any specific tax exemptions for women. Every budget usually includes a periodic revision to the income tax slabs. These slab rates vary depending on the taxpayer group.
A Look at the New Tax Regime
- Updated Slabs: Under the new regime, the slabs have been updated.
- Enhanced Standard Deduction: Under the new system, salaried employees' standard deduction has been increased to Rs. 75,000.
- Family Pension: A deduction of Rs. 25,000 has been added to the Rs. 15,000 deductions for family pensions received.
- NPS Contribution: The deduction limit on employer's contribution to NPS has been raised from 10% to 14%.
Income Tax Slabs under the Old Regime
The Indian government empowers women by providing them with a range of perks and reliefs, such as lower interest rates on house loans, property tax refunds, stamp duty exemptions, etc. Even when it came to taxes, women had greater fundamental exemption limitations than men. The government did, however, eliminate this system in FY 2012–13 and institute a single tax slab for both men and women. Therefore, there is no specific benefit or deduction for women under the Income Tax Act.
Income Tax Slabs for individuals aged below 60 years & HUF
| Income Slabs | Tax rate |
|---|
| Up to Rs 2,50,000 | NIL |
| Rs 2,50,001 - Rs 5,00,000 | 5% |
| Rs 5,00,001 to Rs 10,00,000 | 20% |
| Rs 10,00,001 and above | 30% |
Income tax slab for aged above 60 years and below 80 years of age
| Income Slabs | Tax Rate |
|---|
| Up to Rs 3,00,000 | NIL |
| Rs 3,00,001 - Rs 5,00,000 | 5% |
| Rs 5,00,001 to Rs 10,00,000 | 20% |
| Rs 10,00,001 and above | 30% |
Tax Slabs for Super Senior Citizen over 80 years of age
| Income slab (in Rs.) | Income tax rate |
|---|
| Up to Rs. 5,00,000 | Nil |
| 5,00,001 to 10,00,000 | 20% of income over Rs. 5,00,000 |
| Above 10,00,000 | Rs. 1,000,000 + 30% of income exceeding Rs. 1,000,000 |
Budget 2025 highlights* - Income Tax Slabs under the New Regime
| upto Rs 4,00,000 | Nil |
| Rs 4,00,000 to Rs 8,00,000 | 5% |
| Rs 8,00,0001 to Rs 12,00,000 | 10% |
| Rs 12,00,001 to 16 lakh rupees | 15% |
| Rs 16,00,001 to 20 lakh rupees | 20% |
| Rs 20,00,001 to 24 lakh rupees | 25% |
| Above 24 lakhs | 30% |
Tax Rebate Options for Women in India
Both the old and new regimes offer an income tax rebate under Section 87A2 for men and women taxpayers. The rebates that are available are as follows –
- Under the old tax regime, a rebate of up to ₹12,5002 is allowed for taxpayers whose total taxable income is up to ₹5 lakhs.
- Under the new regime, from the financial year 2025-26, a rebate of up to ₹60,0002 is allowed for taxpayers whose total taxable income is up to ₹12 lakhs.
- Up to the financial year 2024-25, individuals under the new tax regime with a taxable income of up to ₹7 lakhs could claim a rebate of up to ₹25,0002.
How is Taxable Income Calculated for Women?
Women can calculate their taxable income in the following manner –
- Categorise the income in the five different heads of income, which are – income from house property, income from salary, income from business and profession, income from capital gains, and income from other sources.
- Calculate the gross taxable income by adding up the incomes in these five heads.
- Adjust applicable deductions or exemptions from the gross taxable income to find the net taxable income. These deductions and exemptions would depend on the tax regime that you choose (old or new).
- Then, apply the applicable tax rates and find out your tax liability.
Benefits for Taxpayers in India
| Section | Eligible investment or expense | Threshold limit for Deductions |
|---|
| 80C | - National Savings Certificate
Public Provident Fund - Life insurance premium
- Repayment of housing loan
- Tuition fees
- Sukanya Samridhi Scheme
- Senior Citizen Saving Scheme
| Rs. 1,50,000 |
| 80CCD(1B) | Additional deduction for NPS contribution | Rs. 50,000 |
| 80D | - Health insurance premium
- Preventive health scheme
| Rs. 25,000 (self, spouse and children)
Rs. 50,000 (senior citizens self/parents)
Rs. 5,000 (Preventive health checkup) |
| 80E | Interest paid on a loan obtained for higher education | Amount of Interest paid |
| 80EEA | Interest paid on loan for residential house | Rs. 1,50,000 |
| 80EEB | Interest paid on loan for electrical vehicle | Rs. 1,50,000 |
| 80TTA | Saving bank interest | Rs. 10,000 |
| 80TTB | Interest on bank deposits received by senior citizens | Rs. 50,000 |
Tax Rebate for Taxpayers including Taxpayers
A rebate is a tax relief provided to those people who are in the lower-income tax bracket to ensure that they are not burdened with income tax if their pay is below a certain threshold.
Under Budget 2025*, the rebate allowed for individuals under the new tax regime is raised to Rs. 60,000.
Tax Benefits & Incentives for Women Entrepreneurs
Though the tax slabs for women are the same as men, they can enjoy several tax benefits and incentives offered by the government and other financial institutions. Some such benefits3 are as follows –
- Many Indian states offer concessions on stamp duty rates for women homebuyers
- Financial institutions often offer lower interest rates on home loans to women borrowers
- The Pradhan Mantri Awas Yojana (PMAY) scheme also empowers women by allowing various benefits to them. These benefits are as follows4 –
- Women applicants are categorised into three sections – Economically Weaker Section (EWS) if their annual income is up to ₹3 lakhs, Lower Income Group (LIG) if their annual income is ₹3 lakhs to ₹6 lakhs, and Middle Income Group if their annual income is ₹6 lakhs to ₹18 lakhs. Under the first two categories, women qualify for PMAY benefits if they are sole owners or co-applicants of the home loan.
- Women qualify for PMAY benefits irrespective of being a housewife, salaried, or self-employed individual.
- An Aadhaar Card is a mandatory requirement for women to claim PMAY benefits.
- The total household income should also fall within the prescribed income limits under respective income categories.
- The Annapurna Scheme and Udyogini Scheme offer loans to women entrepreneurs for eligible businesses.
Key takeaways
- Males and females have the same tax slabs in India.
- The tax slabs depend on the tax regime you choose and your age.
- Rebates under Section 87A are allowed under both the old and the new tax regimes if your total taxable income is up to specified limits.
- Taxpayers can avail themselves of various deductions available under Chapter VI A to lower their total taxable income.
- Women can benefit from various tax benefits and incentives offered by the government and other financial institutions.
Conclusion
A thorough understanding of women's income tax slabs is necessary for efficient financial planning. In India, women taxpayers benefit from a number of deductions and a larger basic exemption level, which can lower their tax obligations. The decision between the old and new tax regimes, however, is based on personal financial circumstances and objectives. So, know how to calculate income tax and file your returns correctly and on time.
FAQs
1. What is the basic exemption limit for taxpayers including women taxpayers in India?
The basic exemption limit is Rs. 3 lakhs for everyone irrespective of their age.
2. Are there different tax slabs for women under the old and new tax regimes?
Yes, the income tax slabs differ under the old and new tax regimes. Under the old regime, women enjoy a higher exemption limit and can claim deductions, while the new regime offers lower tax rates but with fewer deductions.
3. Can a housewife file an income tax return?
If a housewife receives money from any source, such as interest, dividends, or tuition, and that income surpasses the basic exemption limit (Rs. 3,00,000 under the present tax system and Rs. 2,50,000 under the previous one), she is required to file an income tax return.
4. Are there any special advantages in tax rates for senior citizens in the new regime?
The baseline exemption level under the previous tax regime was Rs. 3,00,000 for senior citizens and Rs. 5,00,000 for super senior citizens. Up to Rs. 7 lakhs in total income are exempt from income tax under the new tax regime.
5. Can I switch between old and new tax regime every year?
Every year, individuals, HUFs (Hindu Undivided Families), AOPs (which are not cooperative organizations), BOIs (Body of Individuals), or Artificial Juridical Persons who earn money from their businesses or professions will not be able to select between the two regimes. They only have one chance to transition to a new tax scheme after opting out of the old one. They will never again be able to return to the old tax regime after they pick the new one. A person with non-business income has the option to alternate between the old and new tax systems annually.
6. Can a company take benefit from Section 80C?
Section 80C of the Income Tax Act only applies to individuals or Hindu Undivided Families (HUFs). As a result, a business cannot benefit from Section 80C.
7. Can a business deduct contributions made in accordance with Section 80G?
A deduction under Section 80G will be available to any taxpayer who donates to certain organizations, funds, etc.
8. What is 80GG in income tax? What is rent paid under 80GG?
Rent paid may be deducted under 80GG even if your salary does not include HRA or if you are a self-employed person earning income other than your pay; nevertheless, you must not own any residential property in your place of residence in order to be eligible for this deduction.
9. What is a tax rebate?
A tax rebate is a type of tax relief given to people, especially those in lower income brackets, to make sure they are not taxed if their income falls below a specific threshold. The refund that people are eligible for under the new tax regime has been increased to Rs. 60,000 for the fiscal year 2025–2026.
10. Do Women Taxpayers in India Get Special Tax Benefits?
Women taxpayers in India have the same tax slabs as males. So, there are no exclusive tax benefits for them.
Source:
- https://cleartax.in/s/income-tax-slab-for-women
- https://cleartax.in/s/income-tax-rebate-us-87a
- https://www.indiafilings.com/learn/womens-day-tax-and-financial-benefits-for-women-in-india/
- https://www.godrejcapital.com/media-blog/knowledge-centre/5-ways-pradhan-mantri-awas-yojana-supports-women-in-buying-homes-in-2025
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