New Delhi: The NCERT has introduced personal income tax in the Class 9 syllabus for the first time. The lesson also tells students that paying taxes honestly and on time is an important duty of citizens.
The topic is part of Understanding Society: India and Beyond—Part 2, which was released on Tuesday. The first part of the textbook was released in June.
NCERT Director Dinesh Prasad Saklani said students can learn how to calculate income tax using the slabs under the new tax regime.
The chapter, titled “Managing Your Personal Finances”, explains why children should learn about money from an early age.
“Managing money wisely is not just about earning more, it is about making careful financial decisions at every stage, whether it involves spending, saving, investing, protecting against risks, borrowing responsibly or paying taxes. The choices individuals make today shape their financial future and determine their ability to achieve financial stability while managing financial opportunities and challenges,” the textbook read.
The chapter includes a table showing the tax slabs under the new income tax regime. It also explains how to calculate tax based on these slabs.
Old Tax Regime Finds No Mention
However, the chapter does not mention the old tax regime, as reported by The New Indian Express.
“India follows a slab system for calculating income tax as shown in table,” the textbook says before showing the tax slabs under the new regime.
The new tax regime was introduced in the Union Budget in February 2020 and came into effect from the financial year 2020–21. It offers lower tax rates but does not allow most exemptions and deductions available under the old regime.
The new regime became the default tax system from April 1, 2023. Taxpayers are placed under it automatically unless they choose the old regime.
The chapter also explains the main areas of personal finance, including income, budgeting, saving, investing, and protection against financial risks.
It lists fixed deposits, bonds, stocks or equity shares, and mutual funds as investment options while explaining the benefits of starting investments early.