Hi, Sir,
Previously, our company was a proprietorship company, but now it has been converted to a private company. Now, I have to calculate and give salaries by manually computing the basic salary, HRA, and DA. Please suggest how to calculate these components and how much tax should be deducted from the salary. Also, provide information on the salary ranges that are exempt from tax deduction.
Sir, our employees are receiving 8000 as their pay for the month, and I need to calculate the HRA and DA for this amount. Please help me with the calculation.
Thank you.
From India, Hyderabad
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Previously, our company was a proprietorship company, but now it has been converted to a private company. Now, I have to calculate and give salaries by manually computing the basic salary, HRA, and DA. Please suggest how to calculate these components and how much tax should be deducted from the salary. Also, provide information on the salary ranges that are exempt from tax deduction.
Sir, our employees are receiving 8000 as their pay for the month, and I need to calculate the HRA and DA for this amount. Please help me with the calculation.
Thank you.
From India, Hyderabad
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Dear Ms. Bharathi Nekkanti,
You can calculate the salary by using the following pay calculator attached for your reference.
India Income tax slabs 2012-2013 General tax payers Income tax slab (in Rs.) 0 to 2,00,000 No tax 2,00,001 to 5,00,000 10% 5,00,001 to 10,00,000 20% Above 10,00,000 30%
Female tax payers Income tax slab (in Rs.) Tax 0 to 2,00,000 No tax 2,00,001 to 5,00,000 10% 5,00,001 to 10,00,000 20% Above 10,00,000 30%
Senior citizens (Aged 60 years but less than 80 years) Income tax slab (in Rs.) Tax 0 to 2,50,000 No tax 2,50,001 to 5,00,000 10% 5,00,001 to 10,00,000 20% Above 10,00,000 30%
Very Senior citizens (Aged 80 and above) Income tax slab (in Rs.) Tax 0 to 5,00,000 No tax 5,00,001 to 10,00,000 20% Above 10,00,000 30%
Please find enclosed the Income tax calculator. CiteHR Attribution: Income Tax Declaration and Salary Calculator
From India, Visakhapatnam
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1018You can calculate the salary by using the following pay calculator attached for your reference.
India Income tax slabs 2012-2013 General tax payers Income tax slab (in Rs.) 0 to 2,00,000 No tax 2,00,001 to 5,00,000 10% 5,00,001 to 10,00,000 20% Above 10,00,000 30%
Female tax payers Income tax slab (in Rs.) Tax 0 to 2,00,000 No tax 2,00,001 to 5,00,000 10% 5,00,001 to 10,00,000 20% Above 10,00,000 30%
Senior citizens (Aged 60 years but less than 80 years) Income tax slab (in Rs.) Tax 0 to 2,50,000 No tax 2,50,001 to 5,00,000 10% 5,00,001 to 10,00,000 20% Above 10,00,000 30%
Very Senior citizens (Aged 80 and above) Income tax slab (in Rs.) Tax 0 to 5,00,000 No tax 5,00,001 to 10,00,000 20% Above 10,00,000 30%
Please find enclosed the Income tax calculator. CiteHR Attribution: Income Tax Declaration and Salary Calculator
From India, Visakhapatnam
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Thank you, madam, for your reply. I wanted to know if the employee is getting 5000 or less than that, can we perform tax deduction? If people are having more than 30,000 as salary, how much percent do we have to deduct? I have heard that for salaries exceeding 80,000, we must perform tax deductions.
From India, Hyderabad
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From India, Hyderabad
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Dear Ms. Bharathi, Are you soliciting for monthly salary? Please do not get confused. All you do is calculate annual salary and then see in which slab they fall under.
From India, Visakhapatnam
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From India, Visakhapatnam
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Hi Bharathi,
For Rs. 5000/- of salary, and all you can't break it as Wages & HRA. If you do so, then the Basic & DA will be lesser than minimum wages.
Please note, Basic + DA should not be less than the minimum wages.
Even for 22000/-, you can make some rough breakup with no TDS. Once your gross reaches, then you should plan well for TDS. There are chances for tax applicability.
You can't straight away deduct tax. There are many calculations in TDS.
As Ms. Sharmila suggested, you should consider the TDS brackets, and you should consider HRA exemption, Allowances like Conveyance, Medical, Food Coupon, Savings, etc.
From India, Bangalore
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For Rs. 5000/- of salary, and all you can't break it as Wages & HRA. If you do so, then the Basic & DA will be lesser than minimum wages.
Please note, Basic + DA should not be less than the minimum wages.
Even for 22000/-, you can make some rough breakup with no TDS. Once your gross reaches, then you should plan well for TDS. There are chances for tax applicability.
You can't straight away deduct tax. There are many calculations in TDS.
As Ms. Sharmila suggested, you should consider the TDS brackets, and you should consider HRA exemption, Allowances like Conveyance, Medical, Food Coupon, Savings, etc.
From India, Bangalore
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Dear Ms. Bharathi,
Please find the below link. You will be able to see all the information pertaining to Minimum Wages:
Home - Acts and Rules - Wages: Ministry of Labour and Employment, Government of India <link updated to site home> ( Search On Cite | Search On Google )
Please refer to the below sheet (Minimum wages revised as of 01.10.2011) for further information - CiteHR Attribution
From India, Visakhapatnam
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Please find the below link. You will be able to see all the information pertaining to Minimum Wages:
Home - Acts and Rules - Wages: Ministry of Labour and Employment, Government of India <link updated to site home> ( Search On Cite | Search On Google )
Please refer to the below sheet (Minimum wages revised as of 01.10.2011) for further information - CiteHR Attribution
From India, Visakhapatnam
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Salary-Note.doc
SALARY SHEET CALCULATION.xls