Income tax slabs for FY 2023-24 (AY 2024-25)
The old and new regime income-tax slabs that applied to income earned in FY 2023-24, filed in AY 2024-25. Every figure below — slabs, standard deduction, section 87A rebate, surcharge and the 4% cess — is taken from Finance Act, 2023 and the Income Tax Department, and was last checked on 28 October 2026.
FY 2023-24 at a glance
| Financial year | FY 2023-24 (income earned 1 April 2023 to 31 March 2024) |
|---|---|
| Assessment year | AY 2024-25 (the year you file and are assessed) |
| Default regime | New regime (section 115BAC) |
| Governing law | Finance Act, 2023 |
| Standard deduction (salary/pension) | ₹50,000 new regime, ₹50,000 old regime |
| Health & education cess | 4% on tax plus surcharge |
The financial year is when you earn the income; the assessment year is the next year, when you file the return and the income is assessed. The slabs on this page are the FY 2023-24 slabs — match them to the year you earned the money, not the year you file.
New regime slabs (section 115BAC) — FY 2023-24
The new regime offers lower slab rates in exchange for giving up most deductions and exemptions, though the standard deduction on salary is allowed. It was the default this year; you had to opt out to use the old regime.
| Income | Rate |
|---|---|
| Up to ₹3,00,000 | Nil |
| ₹3,00,001 to ₹6,00,000 | 5% |
| ₹6,00,001 to ₹9,00,000 | 10% |
| ₹9,00,001 to ₹12,00,000 | 15% |
| ₹12,00,001 to ₹15,00,000 | 20% |
| Above ₹15,00,000 | 30% |
Standard deduction: ₹50,000 on salary or pension. Section 87A rebate: Up to ₹25,000, available where total income is at most ₹7,00,000, with marginal relief just above the limit.
Old (normal) regime slabs — FY 2023-24
The old regime keeps the deductions the new regime gives up — section 80C, HRA under section 10(13A), the home-loan interest deduction and the rest. Whether it beats the new regime depends on how much you actually claim. These slabs are for a resident individual below 60.
| Income | Rate |
|---|---|
| Up to ₹2,50,000 | Nil |
| ₹2,50,001 to ₹5,00,000 | 5% |
| ₹5,00,001 to ₹10,00,000 | 20% |
| Above ₹10,00,000 | 30% |
Senior citizens (60 to under 80) get a higher basic exemption of ₹3,00,000, and super-senior citizens (80 and over) ₹5,00,000 — the bands above are otherwise the same. Standard deduction: ₹50,000 on salary or pension. Section 87A rebate: Up to ₹12,500, available where total income is at most ₹5,00,000.
Surcharge and cess
10% on income over ₹50 lakh, 15% over ₹1 crore and 25% over ₹2 crore. The 37% band on income over ₹5 crore applies only in the OLD regime — the new regime is capped at 25%. On sections 111A, 112, 112A and dividends the surcharge is capped at 15%. Marginal relief applies at each threshold.
The 4% health and education cess is then added to the tax plus any surcharge.
Capital gains
Before 23 July 2024: listed equity and equity mutual funds — short-term gains (section 111A) at 15%, long-term gains (section 112A) at 10% on the amount above ₹1 lakh a year. Other long-term capital assets at 20% with indexation. Debt mutual funds bought on or after 1 April 2023 are taxed at slab rates as short-term gains regardless of holding period (section 50AA).
Estimate a sale with the capital gains calculator.
Tax audit and return due date
Tax audit (section 44AB): Business: accounts must be audited under section 44AB where turnover exceeds ₹1 crore, raised to ₹10 crore where cash receipts and cash payments are each ≤5% of the total. Professions: ₹50 lakh of gross receipts.
Return due date: 31 July 2024 for individuals not subject to audit.
Advance tax is payable in instalments where the liability for the year is ₹10,000 or more — see the advance tax calculator.
What changed in FY 2023-24
- The new regime became the DEFAULT; taxpayers now had to opt out to use the old regime.
- New regime cut from six slabs to five and its basic exemption raised from ₹2.5 lakh to ₹3 lakh.
- Section 87A rebate in the new regime raised so income up to ₹7 lakh pays no tax (from ₹5 lakh), with marginal relief added just above ₹7 lakh.
- A ₹50,000 standard deduction was introduced in the new regime; the highest surcharge in the new regime cut from 37% to 25%.
Introduced by Finance Act, 2023 (Union Budget 2023).
Other years and tools
- Income tax slabs for FY 2024-25 (the next year)
- Income tax slabs for FY 2022-23 (the previous year)
- All financial years
- Compare old vs new regime with the income tax calculator.
Frequently asked questions
What are the new regime income tax slabs for FY 2023-24?
Under section 115BAC for FY 2023-24 (AY 2024-25): Up to ₹3,00,000 — Nil; ₹3,00,001 to ₹6,00,000 — 5%; ₹6,00,001 to ₹9,00,000 — 10%; ₹9,00,001 to ₹12,00,000 — 15%; ₹12,00,001 to ₹15,00,000 — 20%; Above ₹15,00,000 — 30%. A 4% health and education cess is added to the tax.
Is there a standard deduction in the new regime for FY 2023-24?
Yes — ₹50,000 on salary or pension income. In the old regime the standard deduction is ₹50,000.
What is the section 87A rebate for FY 2023-24?
New regime: Up to ₹25,000, available where total income is at most ₹7,00,000, with marginal relief just above the limit. Old regime: Up to ₹12,500, available where total income is at most ₹5,00,000. The rebate does not apply to tax on special-rate income such as capital gains.
Which was the default regime in FY 2023-24?
The new regime was the default in FY 2023-24. You could still opt for the old regime, but you had to choose it — a salaried taxpayer tells the employer or elects it in the return.
When was the income tax return for FY 2023-24 due?
31 July 2024 for individuals not subject to audit. The AY 2024-25 return reports income earned in FY 2023-24.
Sources
Every figure on this page is taken from the official sources below. Finance Acts change slabs and thresholds — check the source before you rely on a number. This is general information, not tax advice.
- Union Budget 2023-24 (indiabudget.gov.in)New regime made the default, reduced to five slabs with a ₹3 lakh basic exemption, ₹50,000 standard deduction added, 87A rebate raised to ₹7 lakh, top surcharge cut to 25% in the new regime.
- Income Tax Department — Tax rates (incometaxindia.gov.in)Individual slab rates for the old/normal regime and the new regime (section 115BAC), the section 87A rebate, surcharge bands and the 4% health & education cess, by assessment year.
- Income Tax Department — Finance Acts (full text, all years)The enacted Finance Act for each year — the legal source for every slab, rebate and surcharge change recorded below.
- Income Tax Department — section 44AB (tax audit), Income-tax Act 1961₹1 crore business turnover audit threshold, the ₹10 crore threshold where cash receipts and payments are each ≤5% (Finance Act 2021, from AY 2021-22), and the ₹50 lakh professional-receipts threshold.
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