Priyanka — Personal Finance Educator India
Priyanka Personal Finance

Smart Money · Simple Words · India

Back to Glossary
Tax

What is Income Tax? — Meaning, Definition & Example

Definition

Income Tax is a direct tax levied by the Government of India on individual and corporate income. India has two tax regimes — Old Regime (with deductions under 80C, 80D, HRA etc.) and New Regime (lower rates, fewer deductions). The tax year runs from April 1 to March 31.

💡 Real Example

Under the New Tax Regime 2026, income up to ₹12 lakh is effectively tax-free (with standard deduction), while income above ₹24 lakh is taxed at 30%.

🇮🇳 Income Tax in Hindi / हिंदी में

इनकम टैक्स — इनकम टैक्स भारत सरकार द्वारा व्यक्तिगत और कॉर्पोरेट आय पर लगाया जाने वाला प्रत्यक्ष कर है। भारत में दो कर व्यवस्थाएं हैं — पुरानी और नई।

Income Tax (Hinglish) — Income Tax wo direct tax hai jo Government of India individual aur corporate income pe lagaati hai. India mein do regimes hain — Old (80C, HRA wali deductions) aur New (lower rates, kam deductions).

❓ Frequently Asked Questions

What is Income Tax in simple words?
Income Tax is a direct tax levied by the Government of India on individual and corporate income. India has two tax regimes — Old Regime (with deductions under 80C, 80D, HRA etc.) and New Regime (lower rates, fewer deductions). The tax year runs from April 1 to March 31.
Can you give an example of Income Tax?
Under the New Tax Regime 2026, income up to ₹12 lakh is effectively tax-free (with standard deduction), while income above ₹24 lakh is taxed at 30%.
What is Income Tax meaning in Hindi?
In Hindi, Income Tax is called इनकम टैक्स. इनकम टैक्स भारत सरकार द्वारा व्यक्तिगत और कॉर्पोरेट आय पर लगाया जाने वाला प्रत्यक्ष कर है। भारत में दो कर व्यवस्थाएं हैं — पुरानी और नई।