₹30 lakh salary doesn't mean a 30% tax rate: Here's why effective tax rate is just 15.86% under new tax regime

A ₹30 lakh annual salary doesn't mean your entire income is taxed at 30%. After the ₹75,000 standard deduction under the new regime, slab-wise taxation, and a 4% health and education cess, the total tax liability comes to ₹475,800, resulting in an effective tax rate of just 15.86%.