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by godzilla82 2652 days ago
I am not sure if you have handled this or even if it is possible to handle the fact that the "basic" component of the salary is not a fixed percentage of the CTC. So two people with same CTC can have different "basic". This basic component also determines the max exemptions you can claim for e.g. under HRA. Also, employers themselves try to structure the basic and the HRA components to reduce the tax burden of their employees by modifying the basic. Exemptions under HRA have to be declared by the employer.
1 comments
kartickv 2652 days ago
Good point. The comments at the top of the file say what's handled and what's not, and HRA is not.

About basic, yes, that's a pain.

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godzilla82 2652 days ago
Sorry, dont want to sound too negative, but the tax calculator is so simple it doesn't handle even the most basic stuff. I am guessing you have never paid tax at the income tax website. I would suggest you to go the income tax website and see the inputs that the calculator takes.
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kartickv 2651 days ago
I did look at that and many other tax calculators, and some are so complex that people don't know what to put in. It's intimidating.

I built this for my needs. If you want it to handle HRA, or LTA, or income 1 crore and above, etc, that's an entirely reasonable point of view, and I'd welcome a pull request if you have the time.

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godzilla82 2651 days ago
But am I correct in my assumption that you have never paid taxes yet? :) Any one who has ever been on a payroll will know that the basic component is dynamic. Also I don't know anyone who does not claim any exemptions!
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kartickv 2649 days ago
Ha ha, no I've paid a variety of taxes: income, professional, capital gains... I've been an employee and now a startup founder. I also help others with taxes.

The script does have a field for EMPLOYEE_TAX_DEDUCTION. It defaults to 1.6 lac, assuming 1.5 lac for 80C and 10K for the rest (like medical insurance under 80D or whatever). But you can change it to whatever number you want to include other exemptions like HRA and LTA.

I think some things like PF and HRA are calculated based on basic income, but I was able to approximate the calculation without bringing basic income into account. Salary for the purpose of PF is limited to 15K anyway.

Again, enhancements welcome.

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