How to Pay Zero Tax Under Old and New Tax Regimes

Section 87A of the Income Tax Act allows resident individuals with total income below prescribed limits to claim a full rebate on tax liability. Under the new tax regime, individuals earning up to Rs 12 lakh annually can avail the rebate. Taxpayers must first compute tax at applicable slab rates before applying the rebate deduction. Understanding Section 87A helps salaried and self-employed filers reduce out-of-pocket tax to zero.