Dear Sir, My annul gross salary is 22 Lakhs and only pay House Rent, is the new Income tax regime or old regime is advisable please
Ans: Dear Mr. Anand,
I hope you're doing well. Based on your annual gross salary of 22 Lakhs and considering that you only pay House Rent, it's important to understand the benefits of both the old and new tax regimes.
In the old tax regime, you can avail of various deductions and exemptions, such as the House Rent Allowance (HRA), which can significantly reduce your taxable income. However, the tax rates are relatively higher.
On the other hand, the new tax regime offers lower tax rates but does away with most deductions and exemptions, including the HRA.
Given your situation, if your HRA forms a significant part of your salary and you are able to claim this exemption, the old regime might be more beneficial for you. However, this is a general suggestion and the actual benefit would depend on various factors including your exact salary structure and the amount of rent you are paying.
I would recommend consulting with a tax advisor who can understand your specific situation better and guide you accordingly.
Please note that this is a general advice and may not apply to your specific situation.
Best Regards