The Answer will be Neutral saving. (I forgot to Add the 3rd option). * Since no IT uptill 12L, * Mr X shall save the whole of it, by way of a Rebate. * Now Mr Y should ideally be paying 67.5K in Tax, since his Income exceeds the spf'd threshold & be end up saving only 11,82,500. * But here comes MR to his rescue. So What is Rebate¹ & MR² exactly?