New Direct Tax Code, Slabs, Income tax calculator for DTC

New Direct Tax Code (DTC) is said to replace the existing Income Tax Act of 1961 in India.

Features of DTC

1. The DTC abolishes the difference between Short Term Capital Gain and Long Term Capital Gain

2. The securities transaction tax or STT has been abolished.

3. The upper limit on Tax Savings based investment has been hiked from INR 100,000 to 300,000.

4. Deductions for Rent and Maintenance would be reduced from 30% to 20% of the Gross Rent.

5. Income Group has been sub divided in to two Part : 

a. )Income By Ordinary Source which include

• Income earned as Salary
• Income from Business or Profession
• Income from House Property (rental income)
• Capital Gains
• Residual income from other sources

b. ) Other Income Like NRI, Lotteries etc

Income Tax Rates for financial year 2010-2011

For Men
Upto Rs. 1,60,000/-	Nil
Rs. 1,60,001/- to Rs. 5,00,000/-	10 per cent
Rs. 5,00,001/- to Rs. 8,00,000	20 per cent
Above Rs. 8,00,000/-	30 per cent

For Women
Upto Rs. 1,90,000/-	Nil
Rs. 1,90,001/- to Rs. 5,00,000/-	10 per cent
Rs. 5,00,001/- to Rs. 8,00,000	20 per cent
Above Rs. 8,00,000/-	30 per cent

For resident individual of 65 years or above
Upto Rs. 2,40,000/-	Nil
Rs. 2,40,001/- to Rs. 5,00,000/-	10 per cent
Rs. 5,00,001/- to Rs. 8,00,000	20 per cent
Above Rs. 8,00,000/-	30 per cent