Top
Download PDF

Income Tax

Financial Literacy

Lesson Plan

Objective: 

Participants will be able to understand Income Tax and various concepts associated with it.

Total Time: 90 Minutes

Materials Required: Printout of Board Game Format, White board and marker

Instructor Note: 

Taxation is the general instrument used to regulate the economy, and it serves as the national budget’s main source of income, which, in turn, allows the budget to stabilise the society and develop the national economy. Our participants have to be aware of the importance of the taxation system, it’s norms and basics of calculating and saving tax. Trainers are required to understand the current norms, slabs etc. to be able to give accurate information. 

Opening Protocol:

  • Greet the participants

  • Take attendance

  • In pairs, ask participants to share with each other how they are feeling. 

5 Minutes

Concept discussion:

  • Ask participants, “what do you understand by Tax?”

  • Take 2-3 responses. Check their understanding about taxes by asking them to share their experiences with paying tax at any moment

  • Then divide the class in 3 groups. Tell them that each group will go through some concepts in the handbook in 10 minutes and then 2-3 people from the group will come forward to explain that concept to the class in 5 minutes each

Group 1:- Direct and Indirect Taxes

Group 2:- Income Tax Slabs and How to save tax

Group 3:- How to calculate income tax

  • Help the participants understand the concept correctly by taking their questions, if any

25 Minutes

Activity 1:Board Game (40 Minutes)

  • Divide the students in teams. Make sure each team has 4 or 6 members. 

  • Distribute the board game printout to each group. 

  • Students can use virtual dice (search freeonlinedice.com on google)  and can make eraser, sharpener, any other belonging as their pawn. 

Rules: 

  • Every member will keep their pawn on the start location. They can use the virtual dice to select the order as to who will go first and so on. 

  • As soon as the game starts, the first person who’ll roll the dice will move forward. 

  • In whichever box he/she gets in, the participant has to speak its one to two liner definition.

  • This will be followed by the next student. 

  • The student who had the first turn will get time only until the turns take a full circle and it’s his/her chance again to roll the dice. 

  • The box whose definition is spoken by a student will be marked with a cross (X).

  • If a student has reached the stop position he/she can move back to the start button and play again until all definitions are covered.

  • The student who has spoken the most number of definitions will win.

Note: Trainers training in regional language must help the students if they don’t understand any word mentioned in the board game.    

20 Minutes

Activity 2: Calculating Income tax

  • Students will stay in the same groups. 

  • Tell them that they are a team of tax associates. Allot them a salary amount of their client and ask them to calculate the income tax. They can refer to the example given in the handout. Also the tax exemption values can be self-assumed. 

  • Give them 15 minutes to calculate the tax and then ask each group to come in front and present their calculations. When one group presents, ask other groups to share feedback

  • Award and appreciate the group that has tried more complex income tax calculation

25 Minutes

Debrief:

Use reflection and quiz questions given in the handbook to check for understanding

10 Minutes

Closing Protocol: 

  • Thank the participants for their time 

  • Share the topic of the next session 

  • Collect 1-2 most interesting feedback from the students pertaining to today’s class.

  •  Click pictures of their work for documentation 

5 Minutes