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Mahesh Padmanabhan  |124 Answers  |Ask -

Tax Expert - Answered on Feb 15, 2023

Mahesh Padmanabhan has specialised in payroll, personal and corporate taxation for more than two and a half decades, enabling him to provide practical, realistic and correct advice to his clients.
He is a member of The Institute of Chartered Accountants of India and has a degree in cost accounting from the Institute of Cost Accountants of India.
He is also a qualified information systems auditor. ... more
Neeraj Question by Neeraj on Feb 01, 2023Hindi
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Is NPS contribution exemption in new tax regime ? what is surcharge in new tax regime for income upto 20 Lakh ? How capital Gain is treated in new tax regime whose income is above and below 7 Lakh?

Ans: Hi Neeraj
Employer's contribution to NPS is allowed as deduction.

No surcharge on income of Rs. 20 Lakhs

The income (including capital gain) may need further evaluation or comparison as marginal relief concept would be applicable in working out the tax on regular income vis-a-vis capital gain income with special rates. It would be difficult to specify the best tax regime option without real comparison
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