The present contribution of women to the GDP is 18%. With ever-increasing income levels of women across all sectors be it women entrepreneurs, sports, professional consultants, in employment, or due to investment incomes of housewives and by offering equal opportunities to women, India could add US$770 billion by 2025.
Until FY 2012-13, women enjoyed preferential tax treatment, which was later declared as a common income tax for women and an income tax slab for men.
The rising income levels create curiosity to know the Income Tax slabs applicable to you. This article brings together all the income tax matters related to women, exemptions, and deductions that you can avail.
In India, the tax slab decision depends on the income and age of the individuals. Income tax can be classified as progressive in nature, which is directly proportional to the individual’s income earned.
Income tax slab AY 2023-24
Income tax slab for women Individuals and non-resident women other than Senior Citizens or Super Senior Citizens as per Old Tax Regime,
| Net Income Range | Income Tax Rates for FY 2022-23 |
| Up to Rs. 2,50,000 | NIL |
| Rs. 2,50,000 to Rs. 5,00,000 | 5% |
| Rs. 5,00,000 to Rs. 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
Income Tax Slab For Female Above 60 years
Income tax slab for senior citizens as per old tax regime & Senior Citizen (who is 60 years or more at any time during the previous year)
| Net Income Range | Income Tax Rates for FY 2022-23 |
| Up to Rs. 3,00,000 | NIL |
| Rs. 3,00,000 to Rs. 5,00,000 | 5% |
| Rs. 5,00,000 to Rs. 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
Income tax slab for Super Senior Citizen
(who is 80 years or more at any time during the previous year) as per old tax regime
| Net Income Range | Income Tax Rates for FY 2022-23 |
| Up to Rs. 5,00,000 | NIL |
| Rs. 5,00,000 to Rs. 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
New Income Tax Slab
Alternatively, women can opt for a Special tax Rate for Individuals. Women need to forgo the exemptions and deductions in order to opt for a special concessional tax rate. There is only 1 tax slab rate structure in new tax regime for all including men and women, senior and super senior citizens. Income Tax rates are as follows,
| Total Income | Income Tax Rates for FY 2022-23 |
| Up to 2,50,000 | NIL |
| From 2,50,001 to 5,00,000 | 5% |
| From 5,00,001 to 7,50,000 | 10% |
| From 7,50,001 to 10,00,000 | 15% |
| From 10,00,001 to 12,50,000 | 20% |
| From 12,50,001 to 15,00,000 | 25% |
| Above 15,00,000 | 30% |
Surcharge on tax
The surcharge is the same for both old and new tax regime (Surcharge is levied on the amount of income-tax at following rates if the total income of an assessee exceeds specified limits)
| Range of Income | Surcharge Rates for FY 2022-23 |
| Rs. 50 Lakhs to Rs. 1 Crore | 10% |
| Rs. 1 Crore to Rs. 2 Crores | 15% |
| Rs. 2 Crores to Rs. 5 Crores | 25% |
| Rs. 5 crores to Rs. 10 Crores | 37% |
| Exceeding Rs. 10 Crores | 37% |
Health and Education Cess
Health and Education Cess is levied at the rate of 4% on the amount of income-tax plus surcharge.
Income Tax For Female Employees In India-
Standard deduction of Rs.50,000/-
HRA exemption upto least of the HRA actually received, 50%/40% of (Basic Salary+DA) for metro cities/non- metro cities respectively, or Rent Paid in excess of 10% of (Basic Salary+DA)
Leave Travel concession
Home buyers can avail a maximum deduction of Rs.2,00,000 as interest paid on home loan.
13 Top Deductions u/s 80 can be claimed provided opted for old tax regime such as,
| Section | Eligible Investment or expense | Deduction Threshold limit |
| 80C | NSC, PPF, LIP, Repayment of housing loan, Tuition Fees, Senior citizen saving scheme | Rs.1,50,000 |
| 80CCC & 80CCD(1) | contribution to the pension fund and national pension scheme | |
| 80CCD(1B) | Additional deduction for NPS contribution, | Rs.50,000 |
| 80D | Health insurance premium | Rs.25,000(self,spouse,children) Rs.50,000(senior citizen/parents) |
| 80DD | Medical treatment for disabled | Rs.75000 Rs.125000(severe disability) |
| 80DDB | Medical treatment for specified ailments | Rs.40,000 Rs.1,00,000 for senior citizen |
| 80E | Interest paid on housing loan | Rs.1,50,000 |
| 80EEB | Interest on loan paid for electrical vehicle | Rs.1,50,000 |
| 80G | Donations to charitable & religious institutions | 50%/100% of donations |
| 80GG | House rent paid | Least of Rs.5000/pm, rent paid Less 10% of Total Income or 25% of Total Income |
| 80GGC | Donations to a political party | Donation paid |
| 80TTA | Saving Bank Interest Income | Rs.10,000 |
| 80TTB | Interest on bank deposits received by seniors | Rs.50,000 |
All the above deductions will have to be forgone except 80CCD(1B) if opted for the new tax regime.
Conclusion:
Women today are treated at par with men and are taxed at the same progressive income tax slab rates. You can claim exemption and deductions if you opt for the old tax regime but will have to forgo all except 80CCD(1B) if opted for the new tax regime.
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FAQ’s
Are Income tax slabs different for male and female?-
The Income Tax Rate Slabs are common for both men and women post FY2012-13. Both are taxed as per progressive rates depending on their income and age.
what is tax exemption for ladies?
There are various tax exemptions for ladies such as House Rent Allowance, Standard deduction of Rs.50,000 from salary income. Many deductions such as Life insurance premium paid, pension plan scheme, public provident fund contribution, medical insurance, interest on loan taken, House rent paid, Donations given, and Deductions for Bank deposits interest income.