Income tax laws no more discriminate between male and female taxpayer.
Revised income tax slab for individual tax payers & HUF (60 years old or more but less than 80 years old) (both men & women) are:
1. Income up to Rs. 3,00,000 – No Tax
2. Income from Rs. 3,00,000 – Rs. 5,00,000 – 5%
3. Income from Rs. 5,00,000 – 10,00,000 – 20%
4. Income more than Rs. 10,00,000 – 30%
10% of income tax, where total income is between Rs. 50 lakhs and Rs.1 crore.
15% of income tax, where total income exceeds Rs.1 crore.
Cess: 3% on total of income tax + surcharge.
Section 87A provides a relief up to Rs. 2,500 and it is proposed to be made available to only those resident individuals whose total income does not exceed ` 3,50,000.
So if a senior citizen invest Rs. 1,50,000 in 80C his taxable income will be reduced Rs. 50,000 (Rs. 5,00,000- Rs. 4,50,000) which will be taxable @ 5% i.e. tax of Rs. 2,500. Further he will be eligible for Rs. 2,500 rebate u/s. 87A. Therefore effectively he will be paying zero tax.