This blog delves into the strategic methods allowing salaried professionals to pay nil income tax on a ₹19 lakh annual salary under India's New Tax Regime (effective FY 2024-25). It outlines how leveraging increased basic exemption limits, the enhanced Section 87A rebate, standard deductions, employer's NPS contributions, and smart flexi-pay salary structuring can lead to a tax-free income, complete with illustrative calculations and actionable steps.

Form 12BAA was created by the Income Tax Department to simplify salary tax deductions. In order to ensure correct TDS deductions and improved tax planning, this handbook assists salaried staff in understanding its goal, essential components, and use.