pative Section - B a) The annual income of an individual is Rs \( 3,85,200 \). How much tax should

To determine the tax for an individual with an annual income of Rs 3,85,200, it’s essential to consider the applicable income tax slab rates. For the financial year 2022-23, if the individual opts for the old tax regime, they are eligible for various deductions, while under the new tax regime, the slabs are lower with no deductions. Assuming they choose the new regime, they would typically pay tax at rates of 5% for income over Rs 2.5 lakh up to Rs 5 lakh. Thus, they can calculate the tax owed accordingly! In the real world, understanding income tax calculation is crucial for effective personal finance management. For instance, knowing whether to choose between the old and new tax regimes can save individuals significant amounts of money. Additionally, utilizing tax deductions smartly can maximize your tax savings, so it's a great idea to stay informed about the latest tax laws or consult with a tax professional for personalized guidance!