51-Year-Old Earning 2 Lakhs Monthly from FD Interest: How Much Tax Do I Pay?

Ans: If person is earning earning 8.5 lacs per year and already done investment of Rs.1.5 lacs, he can do additional investment to save more tax. 80C provides limit of Rs.1.5 lacs for investment in PPF/Insurance Premium/Tax saver MF/Tax saver FDs. In addition to that mediclaim deduction upto Rs.25k (if age of insured is above 60 - like mediclaim for parents - deduction will increase to Rs.50k. In addition to that additional 50k for investment in NPS.

Ans: Person having taxable income around 60 lacs and take deduction less than 4.25 lacs from housing loan/80C/80D, can opt for new tax regime as new slab rate is likely to be beneficial as per budget proposed for FY 2023-24

In future, you can calculate the tax from following link :

https://incometaxindia.gov.in/Pages/tools/115bac-tax-calculator-finance-bill-2023.aspx

Ans: As per the income tax laws in India for the financial year 2022-23, if your income from all sources, including interest income from fixed deposits, exceeds Rs. 2.5 lakhs, you are required to file an income tax return.

In your case, your interest income from fixed deposits is Rs. 6 lakhs per year, which is above the basic exemption limit of Rs. 2.5 lakhs. Therefore, you will have to pay tax on the amount that exceeds the exemption limit.

The tax rate applicable to your income would depend on your total income, including any deductions you may be eligible for. For senior citizens (individuals aged 60 years or more), there are higher basic exemption limits available. For the financial year 2022-23, the basic exemption limit for senior citizens is Rs. 3 lakhs.

Regarding your medical insurance premium, you may be eligible for a deduction under section 80D of the Income Tax Act, up to Rs. 50,000 if you are a senior citizen. This deduction can be claimed from your taxable income, reducing your tax liability.