How to Calculate Self Assessment Tax Easily

Calculating Self-Assessment Tax involves a few key steps that every taxpayer should follow for accurate tax compliance. Start by determining your total annual income from all sources — including salary, business income, rental income, capital gains, and other earnings. Next, apply the applicable income tax slab rates and claim eligible deductions under sections like 80C, 80D, and others. Subtract any TDS, advance tax, or previous tax credits from the computed tax amount to arrive at the remaining tax liability. If a balance remains after these adjustments, that amount is your Self-Assessment Tax. It’s essential to use updated tax slabs and rule changes announced in the latest budget, as tax rates may vary year by year. By following this systematic approach, individuals, freelancers, and businesses can accurately compute their Self-Assessment Tax liability and pay it before filing their returns.