The popularity of online income tax payment services has increased in recent times. Moreover, the availability of financial tools like income tax calculator FY 2021-22 only makes it easier for individuals to assess their taxable income and the total payable liability for a financial year.
An online tax calculator is designed as a dedicated financial tool for easy computation of your tax liabilities. These tools have a simple interface and require you to input only a handful of details accurately to find the required result.
Below are given some top advantages individuals can gain when using a income tax calculator online.
1. Eases assessment of taxable income:
The use of a calculator like this allows you to easily assess and comprehend the total income that you would need to pay your taxes on. It considers all primary and secondary sources to compute the total income you would need to pay your taxes on minus the basic exemption limit as per your income slab.
2. Computation of tax liability:
Along with taxable income, an income tax calculator also computes the tax liability you would need to pay for the concerned financial year, allowing you to plan your finances ahead.
3. Clarity regarding possible deductions:
It is interesting to know that the Income Tax Act provides various deductions applicable to your profile as per your expenses and investments made. This calculating tool helps to gain clarity on the overall applicable deductions you would get.
Along with these, an income tax calculator for FY 2021-22 also helps with tax planning and allows you to save on time as well as money.
