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Feb 29
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Posted by:MyEfilings
Income Tax Rates for A.Y. 2017-18 (FY 2016-17)

 

Income Tax Rates and Slabs for Assessment Year 2017-18 (Financial Year 2016-17)

Income Tax Rates declared in Budget 2016 on 29th February, 2016 by Finance Minister Mr. Arun Jeitly 

 

I.            Individual residents aged below 60 years (i.e. born on or after April 1, 1955) or any NRI / HUF / AOP / BOI / Artificial Judicial Person

Income Tax Slabs

Tax Rates

  1. Where the taxable income does not exceed  Rs. 250000/-

NIL

  1. Where the taxable income exceeds Rs. 250000/- but do not exceed Rs. 500000/-

10% of amount by which the taxable income exceeds Rs. 250000/- Less : Tax Credits under Section 87A – 10% of the taxable income upto a maximum of Rs. 2000/- (Section 87A applicable to Resident Indians only)

  1. Where the taxable income exceeds Rs. 500000/- but does not exceed Rs. 1000000/-

Rs. 25000/- plus 20% of amount by which the taxable income exceeds Rs. 500000/-

  1. Where the taxable income exceeds Rs. 1000000/-

Rs. 125000/- plus 30% of amount by which the taxable income exceeds Rs. 1000000/-

Surcharge : 12% of Income Tax, where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

         I.            Senior Citizen (individual resident who is of the age of 60 years or more but below the age of 80 years at any time during the previous year i.e. born on or after April 1, 1934 but before April 1, 1954)

Income Tax Slabs

Tax Rates

  1. Where the taxable income does not exceed Rs. 300000/-

NIL

  1. Where the taxable income exceeds Rs. 300000/- but does not exceed Rs. 500000/-

10% of amount by which the taxable income exceeds Rs. 300000/-

Less : Tax Credits under Section 87A – 10% of the taxable income upto a maximum of Rs. 2000/- (Section 87A applicable to Resident Indians only)

  1. Where taxable income exceeds Rs. 500000/-but does not exceed Rs. 1000000/-

Rs.20000/- plus 20% of amount by which the taxable income exceeds Rs. 500000/-

  1. Where the taxable income exceeds Rs. 1000000/-

Rs. 120000/- plus 30% of amount by which the taxable income exceeds Rs. 1000000/-

Surcharge : 12% of Income Tax, where the taxable income is more than Rs. 1 crore. (MarginalRelief in surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

         I.            Super Senior Citizen (individual resident who is of the age of 80 years or more at any time during the previous year i.e. born before April  1, 1934)

Income Tax Slabs

Tax Rates

  1. Where the taxable income does not exceed Rs. 500000/-

NIL

  1. Where the taxable income exceeds Rs. 500000/- but does not exceed Rs. 1000000/-

20% of amount by which the taxable income exceeds Rs. 500000/-

  1. Where taxable income exceeds Rs. 1000000/-

Rs. 100000/- plus 30% of amount by which the taxable income exceeds Rs. 1000000/-

Surcharge : 12% of income tax where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

         I.            Co-operative Society

Income Tax Slabs

Tax Rates

  1. Where the taxable income does not exceed Rs. 10000/-

10% of the income

  1. Where the taxable income exceeds Rs. 10000/- but does not exceed Rs. 20000/-

Rs. 1000/- plus 20% of income in excess of Rs. 10000/-

  1. Where the taxable income exceeds Rs. 20000/-

Rs. 3000/- plus 30% of income in excess of Rs. 20000/-

Surcharge : 12% of income tax where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

         I.            Firm

Income Tax : 30% of taxable income

Surcharge : 12% of income tax where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

         I.            Local Authority

 

Income Tax : 30% of taxable income

Surcharge: 10% of income tax where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

         I.            Domestic Company

 

Income Tax: 30% of taxable income

Surcharge : The amount of income tax as computed in accordance with above rates, and after being reduced by the amount of tax rebate shall be increased by a surcharge

·         At the rate of 7% of such income tax, provided that the taxable income exceeds Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

·         At the rate of 12% of such income tax, provided that the taxable income exceeds Rs. 10 crores.

Education Cess : 3% of the total of Income Tax and Surcharge.

 

         I.            Company other than a Domestic Company

 

         I.            Income Tax :

             o     @ 50% of on so much of the taxable income as consist of (a) royalties received from Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 31st day of March, 1961 but before the 1st day of April, 1976; or (b) fees for rendering technical services received from Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 29th day of February, 1964 but before the 1st day of April, 1976, and where such agreement has, in either case, been approved by the Central Government.

             o     @ 40% of the balance

Surcharge :

The amount of income tax as computed in accordance with above rates, and after being reduced by the amount of tax rebate shall be increased by a surcharge as under

  • At the rate of 2% of such income tax, provided that the taxable income exceeds Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)
  • At the rate of 5% of such income tax, provided that the taxable income exceeds Rs. 10 crores.

 

Education Cess : 3% of the total of Income Tax and Surcharge.

Marginal Relief in Surcharge

When an assessee's taxable income exceeds Rs. 1 crore, he is liable to pay Surcharge at prescribed rates mentioned above on Income Tax payable by him. However, the amount of Income Tax and Surcharge shall not increase the amount of income tax payable on a taxable income of Rs. 1 crore by more than the amount of increase in

Example In case of an individual assesseee (< 60 years) having taxable income of Rs. 1,00,01,000/-

1.

Income Tax

Rs. 28,25,300

2.

Surcharge @12% of Income Tax

Rs. 3,39,036

3.

Income Tax on income of Rs. 1 crore

Rs. 28,25,000

4.

Maximum Surcharge payable
(Income over Rs. 1 crore less income tax on income over Rs. 1 crore)

Rs. 700/- (1000 - 300)

5.

Income Tax + Surcharge payable

Rs. 28,26,000

6.

Marginal Relief in Surcharge

 

- See more at: http://myefilings.com/Blog/KnowledgeArticle/Income-Tax-Rates-for-A.Y.-2017-18-(FY-2016-17)_72#sthash.Gyp96g5i.dpuf

 

Income Tax Rates and Slabs for Assessment Year 2016-17 (Financial Year 2015-16)

       II.            Individual residents aged below 60 years (i.e. born on or after April 1, 1955) or any NRI / HUF / AOP / BOI / Artificial Judicial Person

Income Tax Slabs

Tax Rates

  1. Where the taxable income does not exceed  Rs. 250000/-

NIL

  1. Where the taxable income exceeds Rs. 250000/- but do not exceed Rs. 500000/-

10% of amount by which the taxable income exceeds Rs. 250000/- Less : Tax Credits under Section 87A – 10% of the taxable income upto a maximum of Rs. 2000/- (Section 87A applicable to Resident Indians only)

  1. Where the taxable income exceeds Rs. 500000/- but does not exceed Rs. 1000000/-

Rs. 25000/- plus 20% of amount by which the taxable income exceeds Rs. 500000/-

  1. Where the taxable income exceeds Rs. 1000000/-

Rs. 125000/- plus 30% of amount by which the taxable income exceeds Rs. 1000000/-

Surcharge : 12% of Income Tax, where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

       II.            Senior Citizen (individual resident who is of the age of 60 years or more but below the age of 80 years at any time during the previous year i.e. born on or after April 1, 1934 but before April 1, 1954)

Income Tax Slabs

Tax Rates

  1. Where the taxable income does not exceed Rs. 300000/-

NIL

  1. Where the taxable income exceeds Rs. 300000/- but does not exceed Rs. 500000/-

10% of amount by which the taxable income exceeds Rs. 300000/-

Less : Tax Credits under Section 87A – 10% of the taxable income upto a maximum of Rs. 2000/- (Section 87A applicable to Resident Indians only)

  1. Where taxable income exceeds Rs. 500000/-but does not exceed Rs. 1000000/-

Rs.20000/- plus 20% of amount by which the taxable income exceeds Rs. 500000/-

  1. Where the taxable income exceeds Rs. 1000000/-

Rs. 120000/- plus 30% of amount by which the taxable income exceeds Rs. 1000000/-

Surcharge : 12% of Income Tax, where the taxable income is more than Rs. 1 crore. (MarginalRelief in surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

       II.            Super Senior Citizen (individual resident who is of the age of 80 years or more at any time during the previous year i.e. born before April  1, 1934)

Income Tax Slabs

Tax Rates

  1. Where the taxable income does not exceed Rs. 500000/-

NIL

  1. Where the taxable income exceeds Rs. 500000/- but does not exceed Rs. 1000000/-

20% of amount by which the taxable income exceeds Rs. 500000/-

  1. Where taxable income exceeds Rs. 1000000/-

Rs. 100000/- plus 30% of amount by which the taxable income exceeds Rs. 1000000/-

Surcharge : 12% of income tax where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

       II.            Co-operative Society

Income Tax Slabs

Tax Rates

  1. Where the taxable income does not exceed Rs. 10000/-

10% of the income

  1. Where the taxable income exceeds Rs. 10000/- but does not exceed Rs. 20000/-

Rs. 1000/- plus 20% of income in excess of Rs. 10000/-

  1. Where the taxable income exceeds Rs. 20000/-

Rs. 3000/- plus 30% of income in excess of Rs. 20000/-

Surcharge : 12% of income tax where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

       II.            Firm

Income Tax : 30% of taxable income

Surcharge : 12% of income tax where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

 

       II.            Local Authority

 

Income Tax : 30% of taxable income

Surcharge: 10% of income tax where the taxable income is more than Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of total income tax and surcharge.

       II.            Domestic Company

 

Income Tax: 30% of taxable income

Surcharge : The amount of income tax as computed in accordance with above rates, and after being reduced by the amount of tax rebate shall be increased by a surcharge

·         At the rate of 7% of such income tax, provided that the taxable income exceeds Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

·         At the rate of 12% of such income tax, provided that the taxable income exceeds Rs. 10 crores.

Education Cess : 3% of the total of Income Tax and Surcharge.

 

       II.            Company other than a Domestic Company

 

       II.            Income Tax :

             o     @ 50% of on so much of the taxable income as consist of (a) royalties received from Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 31st day of March, 1961 but before the 1st day of April, 1976; or (b) fees for rendering technical services received from Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 29th day of February, 1964 but before the 1st day of April, 1976, and where such agreement has, in either case, been approved by the Central Government.

             o     @ 40% of the balance

Surcharge :

The amount of income tax as computed in accordance with above rates, and after being reduced by the amount of tax rebate shall be increased by a surcharge as under

  • At the rate of 2% of such income tax, provided that the taxable income exceeds Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)
  • At the rate of 5% of such income tax, provided that the taxable income exceeds Rs. 10 crores.

 

Education Cess : 3% of the total of Income Tax and Surcharge.

Marginal Relief in Surcharge

When an assessee's taxable income exceeds Rs. 1 crore, he is liable to pay Surcharge at prescribed rates mentioned above on Income Tax payable by him. However, the amount of Income Tax and Surcharge shall not increase the amount of income tax payable on a taxable income of Rs. 1 crore by more than the amount of increase in

Example In case of an individual assesseee (< 60 years) having taxable income of Rs. 1,00,01,000/-

1.

Income Tax

Rs. 28,25,300

2.

Surcharge @12% of Income Tax

Rs. 3,39,036

3.

Income Tax on income of Rs. 1 crore

Rs. 28,25,000

4.

Maximum Surcharge payable
(Income over Rs. 1 crore less income tax on income over Rs. 1 crore)

Rs. 700/- (1000 - 300)

5.

Income Tax + Surcharge payable

Rs. 28,26,000

6.

Marginal Relief in Surcharge

 

- See more at: http://myefilings.com/Blog/KnowledgeArticle/Income-Tax-Rates-for-A.Y.-2017-18-(FY-2016-17)_72#sthash.Gyp96g5i.dpuf



Comments

  • Photo not available
    THE INFORMATION GAIVEN ABOVE IS MORE USEFUL FOR LAY PERSONS LIKE ME. THANKS
    02 May,2017
  • Photo not available
    In recent times there has been many new taxes introduced which is hitting the common people's earning like anything. I think the income tax exception limit need to be increased and one should provide more investment options under 80C by increasing the limit.
    04 Jun,2016



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