Tax Planning: If you are also doing new tax planning in this new financial year, then you can adopt the New Tax Regime. Taxpayers will get many benefits in the new tax regime.

The first benefit is that there is no tax on income up to 12 lakhs. Along with this, you can save a full 2 ​​lakh rupees by adopting this rule. Let's know the complete calculation about this through the news.

This is how you can get an exemption in home loan interest -

The second big advantage of choosing the new tax regime is that if you have NPS, then you can take advantage of deductions through a corporate account. The standard deduction is also high. Along with this, with flexi pay components, you can save more salary from going into the tax net.

If seen in this way, more benefits are being received in the new tax regime and not only this, but in the new tax regime, there will also be exemption in home loan interest (Home Loan Tax Exemption). However, for this you will have to follow a rule of income tax. You will not get this exemption easily and directly.

Know which is more beneficial, Old or New Regime-

If you are a taxpayer and are confused about whether you should stay in the old tax regime or adopt the new tax regime, then let us tell you that the new financial year has started and we are going to clear your confusion through this news.

Many people believe that in the new tax regime, most tax deductions cannot be claimed. In such a situation, let us know which is the most beneficial, Old or New Tax Regime.

Benefits of the new tax regime-

However, the biggest advantage of choosing the New Tax Regime is that income up to Rs 12 lakh can be tax-free in it, perhaps by combining standard deduction and rebate, it can be tax-free, whereas in the old, even after deduction, only an amount of up to Rs 10 lakh can be tax-free.

How to get discount on home loan interest rates-

Along with this, let us tell you that another great benefit in the New Tax Regime is that tax exemption will be available on home loan interest. Although this is not a direct exemption, to take advantage of this exemption you have to follow special rules.

The exemption will be available only if this happens-

You know that the government started the New Tax Regime in 2020. In this regime, the exemption can be available on home loan interest, but this exemption will be available only when the property is 'let out' i.e. given on rent. If the property is given on Self-Occupied property, then this exemption will not be available.

Know what are the main exemptions in both the regimes-

Before choosing any regime, it is very important to know what kind of relaxation is available in both regimes and what kind of exemption is not available. Let us tell you that standard deduction is there in both, but its benefits are different. Along with this, deductions (Tax Deductions) are not in the new tax regime.

How much will you get the benefit of a standard deduction & 80C-
Standard Deduction Old Regime has the benefit of Rs 50,000 salary and New Regime has the benefit of Rs 75,000 standard deduction which is updated from salary 2023. In Section 80C, Principal Repay is available in the Old Regime and not in the New Regime.

Know what is the interest exemption 24-

Talking about interest exemption, Section 24(b) (Interest) Old Regime provides exemption up to Rs 2 lakh and is not available in the New Regime. And Section 80EE/EEA (Extra Int.) Old Regime had separate exemption and has been discontinued or merged in the New Regime.

Know what is the truth of interest exemption in the new tax regime-

Along with this, you should know many things. Actually, let us tell you that there is no 24(b) exemption on Self-Occupied, in the New Tax Regime, there is no direct deduction on the interest of self-occupied property under Section 24(b) and only Standard Deduction, NPS Employer Contribution etc. are valid.

Along with this, if you let out a house with a home loan, then while calculating 'Income from House Property', you can adjust the net loss due to interest. Along with this, let us tell you that the difference between the entire interest of the home loan and the income from rent is called loss. You can set it off by deducting it from your other income.

How will there be a benefit on home loan interest-

We explain it to you through an example. For example, let us assume that the rent is Rs 1 lakh and the interest is Rs 3 lakh, Home Loan Interest paid on it = Rs 3,00,000 Annual income from rent = Rs 1,00,000 Net loss, which is from house property = Rs 2,00,000 This loss has come after deducting the rental income from the interest. The advantage of this is that you can adjust this loss of Rs 2 lakh in the New Tax Regime.

Know how much exemption you will get on what-

There is no tax exemption on interest on a house that is self-occupied (in the New Tax Regime) and the loss on rental income in a house that is on rent (Let-Out) can be set off against other income. Please note that you can set off the loss incurred from house property in a year against other income.

Disclaimer: This content has been sourced and edited from Hr Breaking. While we have made modifications for clarity and presentation, the original content belongs to its respective authors and website. We do not claim ownership of the content.