Zoho Payroll's Latest Updates For India : April 2023

Zoho Payroll's Latest Updates For India : April 2023

It's the dawn of a new financial year in India, and we're feeling the electricity in the air. To make this transition seamless for you, we're delighted to announce some updates.

Zoho Payroll has been updated to support the latest tax structure of the new regime, added a year-end checklist, and the mobile app has also been enhanced with extensions to create reimbursement claims and a user-friendly claim creation interface.

We understand that managing payroll can be stressful, and these updates aim to help you feel more at ease and in charge. Read on to learn more about these updates in detail. 

New Tax Regime for 2023-2024 Financial Year: What You Need to Know

One of the most significant updates pertains to changes made to the tax regime, which will now be the default option for several types of taxpayers.

Note: Zoho Payroll has been updated to reflect the changes in the tax regime, so you can be sure that your payroll management is accurate and compliant. 

However, if required, you can change the tax regime to the old one in Zoho Payroll. Here's what you need to know about the new tax structure:
  • The new regime has six tax slabs instead of seven, with an increased exemption limit of ₹3 lakhs.
  • Several exemptions are available under the new regime, including a standard deduction of ₹50,000 and a maximum family pension of ₹15,000.
  • The highest surcharge rate of 37% has been removed only in the new regime.
  • If an individual's total taxable income does not exceed ₹7,00,000, no income tax will be required under the new regime.
  • The income tax exemption on the maturity sum received from a life insurance policy will be available only if the aggregate of premiums paid in a year does not exceed ₹5,00,000 for policies issued on or after 1 April 2023.
  • The exemption on leave encashment on retirement for non-government salaried employees has been increased from ₹3 lakhs to ₹25 lakhs.

Government provides relief under new income tax regime in Union Budget 2023

Under the new income tax regime, taxpayers with a taxable income of Rs 7 lakh per annum are not required to pay any income tax due to the full rebate. However, if they have an annual taxable income of Rs 7,00,100, they are liable to pay only Rs 100 as income tax, thanks to the recent amendment that limits the tax to incremental taxable income over Rs 7 lakh per year. However, if the taxable income increases to Rs 7,27,780 or more, they would have to pay the full tax on that amount at the applicable tax rate.

We hope this summary helps you understand the changes in the tax regime and plan your finances accordingly. 

Streamline Year-End Obligations with Zoho Payroll's Year-End Checklist

Managing year-end obligations can be a daunting for individuals and businesses. Fortunately, Zoho Payroll has made this process easier with its year-end checklist. This list guides users through the various tasks and obligations that need to be fulfilled before the end of the financial year, helping them stay on top of their finances and prepare for the upcoming year. 

To view the checklist, switch to the Year End Checklist tab next to the Home page.

Manage Reimbursement Claims with Zoho Payroll's Mobile Updates

Keeping track of reimbursement claims can be tedious, especially when dealing with multiple receipts and bills on your mobile phone. Zoho Payroll's latest mobile updates aim to simplify this process by allowing users to directly share their bills from any app to Zoho Payroll, and create reimbursement claims via the Share Extension. 

Moreover, the claim creation process has also been updated to enhance user experience and streamline the process of creating reimbursement claims.

That's a wrap for now! We are always eager to hear your suggestions so we can help you better. If you have a feature request, please share it in the comments below.

If you require assistance, please write to us at support@zohopayroll.com, and we'll get back to you. Stay tuned for more updates from Zoho Payroll!

The Zoho Payroll Team