Question

on 1 april,2012 megha's salary increased from rs 10000 to 16000.simultaneosly the rate of income tax decreased by 37.5%.so the amount of the income tax paid by megha remains constant,what is the amount of income tax paid by her?

Answer 1

Let income tax on 10000 salary be x %, thus income tax on salary 16000 will be (x - 37.5)%
Now
x% of 10000 = (x - 37.5)% of 16000
x * 10000/100 = (x - 37.5) * 16000/100
5x = 8(x - 37.5)
5x = 8x - 300
3x = 300
x = 100 %