Summary of Income Tax Slab for AY 2019-20
The Income Tax rates in India are different for different categories and status of tax payers. The Income Tax slab and tax rates for Individuals, Senior Citizen and Very Senior Citizens, HUFs, AOP, BOI and Co-operatives are progressive in nature, where a lower tax rate is imposed on low-income earners compared to those with higher income, making it based on the taxpayer’s ability to pay. That means it takes a larger percentage from high-income earners than it does from low-income earners. Individuals, HUFs, AOP, BOI and Co-operatives are taxed as per different slab rates ( varies from Nil to 30% ). However, Firms and Companies are taxed on fixed rate basis, except for certain specified incomes. Visit Income Tax India e-filing portal.
When income increases a specified limit(s), Surcharge on Income Tax is charged at specified Surcharge rate on Income Tax. The specified limit(s) for charging Surcharge and Surcharge rates are different for different categories of tax payers. Cess (Health and Education / Education) is charged at specified rate on (Income Tax + Surcharge)
Income Tax Slabs / Rates for AY 2019-20
Individual resident aged below 60 years (Individual resident born on or after 1st April 1959)
| Income Slab | Income Tax |
| Upto ₹ 2,50,000/- | NIL |
| Above ₹ 2,50,000/- to ₹ 5,00,000/- | 5% of (taxable income – 2,50,000). Tax Relief u/s 87A : In case taxable income is upto ₹ 3,50,000/-, income tax chargeable or ₹ 2,500/-, whichever is less. |
| Above ₹ 5,00,000/- to ₹ 10,00,000/- | ₹ 12,500/- + 20% of (taxable income – 5,00,000) |
| Above ₹ 10,00,000/- | ₹ 112,500/- + 30% of (taxable income – 10,00,000). |
| Surcharge ( subject to Marginal Relief ) | 10% of Income Tax, in case taxable income is above ₹ 50 lacs. 15% of Income Tax, in case taxable income is above ₹ 1 crore. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Senior Citizen (Individual resident born on or after 1st April 1939 but before 1st April 1959)
| Income Slab | Income Tax |
| Upto ₹ 3,00,000/- | NIL |
| Above ₹ 3,00,000/- to ₹ 5,00,000/- | 5% of (taxable income – 3,00,000). Tax Relief u/s 87A : In case taxable income is upto ₹ 3,50,000/-, income tax chargeable or ₹ 2,500/-, whichever is less. |
| Above ₹ 5,00,000/- to ₹ 10,00,000/- | ₹ 10,000/- + 20% of (taxable income – 5,00,000). |
| Above ₹ 10,00,000/- | ₹ 110,000/- + 30% of (taxable income – 10,00,000) |
| Surcharge ( subject to Marginal Relief ) | 10% of Income Tax, in case taxable income is above ₹ 50 lacs. 15% of Income Tax, in case taxable income is above ₹ 1 crore. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Very Senior Citizen (Individual resident born before 1st April 1939)
| Income Slab | Income Tax |
| Upto ₹ 5,00,000/- | NIL |
| Above ₹ 5,00,000/- to ₹ 10,00,000/- | 20% of (taxable income – 5,00,000). |
| Above ₹ 10,00,000/- | ₹ 100,000/- + 30% of (taxable income – 10,00,000) |
| Surcharge ( subject to Marginal Relief ) | 10% of Income Tax, in case taxable income is above ₹ 50 lacs. 15% of Income Tax, in case taxable income is above ₹ 1 crore. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Any NRI or HUF or AOP or BOI or AJP
| Income Slab | Income Tax |
| Upto ₹ 2,50,000/- | NIL |
| Above ₹ 2,50,000/- to ₹ 5,00,000/- | 5% of (taxable income – 2,50,000). |
| Above ₹ 5,00,000/- to ₹ 10,00,000/- | ₹ 12,500/- + 20% of (taxable income – 5,00,000). |
| Above ₹ 10,00,000/- | ₹ 112,500/- + 30% (taxable income – 10,00,000) |
| Surcharge ( subject to Marginal Relief ) | 10% of Income Tax, in case taxable income is above ₹ 50 lacs. 15% of Income Tax, in case taxable income is above ₹ 1 crore. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Co-operative Society
| Income Slab | Income Tax |
| Upto ₹ 10,000/- | 10% of the income. |
| Above ₹ 10,000/- to ₹ 20,000/- | ₹ 1,000/- + 20% of (taxable income – 10,000) |
| Above ₹ 20,000/- | ₹ 3,000/- + 30% of (taxable income – 20,000) |
| Surcharge ( subject to Marginal Relief ) | 12% of Income Tax, in case taxable income is above ₹ 1 crore. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Firm
| Income Tax | 30% of taxable income. |
| Surcharge ( subject to Marginal Relief ) | 12% of Income Tax, in case taxable income is above ₹ 1 crore. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Local Authority
| Income Tax | 30% of taxable income. |
| Surcharge ( subject to Marginal Relief ) | 12% of Income Tax, in case taxable income is above ₹ 1 crore. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Domestic Company (1) – Turnover up to ₹ 250 crores
| Income Tax | 25% of taxable income. |
| Surcharge ( subject to Marginal Relief ) | 7% of income tax, in case taxable income is above ₹ 1 crore. 12% of income tax, in case taxable income is above ₹ 10 crores. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Domestic Company (2) – Turnover exceeding ₹ 250 crores
| Income Tax | 30% of taxable income. |
| Surcharge ( subject to Marginal Relief ) | 7% of income tax, in case taxable income is above ₹ 1 crore. 12% of income tax, in case taxable income is above ₹ 10 crores. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Company other than a Domestic Company
| Income | Income Tax Rate |
| Royalty received from Government or an Indian concern in pursuance of an agreement made with the Indian concern after March 31, 1961, but before April 1, 1976, or fees for rendering technical services in pursuance of an agreement made after February 29, 1964 but before April 1, 1976 and where such agreement has, in either case, been approved by the Central Government | 50% |
| Any other income | 40% |
| Surcharge (subject to Marginal Relief ) | 2% of income tax, in case taxable income is above ₹ 1 crore. 5% of income tax, in case taxable income is above ₹ 10 crores. |
| Health & Education Cess | 4% of (Income Tax + Surcharge). |
Marginal Relief on Surcharge
In case taxable income exceeds ₹ 50 lacs / ₹ 1 crore Surcharge is payable on income tax at applicable rates. If increase in ‘Income Tax + Surcharge’ is more than the increase income over ₹ 50 lacs / ₹ 1 crore, the ‘Surcharge’ is reduced by such amount so that the ‘Income Tax + Surcharge’ become equal to increase in ‘Total Taxable Income’ over Rs. 50 lacs / 1 Crore respectively. The amount so reduced from ‘Surcharge’ is ‘Marginal Relief on Surcharge’.
Example 1
In case of an individual resident (< 60 years) / HUF / NRI having taxable income of ₹ 50,01,000/-
| 1 | Income Tax on income of ₹ 50,01,000/- | 13,12,800 |
| 2 | Surcharge on income of ₹ 50,01,000/- | 1,31,280 |
| 3 | Income Tax + Surcharge on income of ₹ 50,01,000/- (1 + 2) | 14,44,080 |
| 4 | Income Tax on income of ₹ 50 lacs | 13,12,500 |
| 5 | Surcharge on income of ₹ 50 lacs | 0 |
| 6 | Income Tax + Surcharge on income of ₹ 50 lacs (4 + 5) | 13,12,500 |
| 7 | Increase income over ₹ 50 lacs | 1000 |
| 8 | Income Tax + Surcharge on income of ₹ 50 lacs + Increase income over ₹ 50 lacs | 13,13,500 |
| 9 | Income Tax and Surcharge payable on income of ₹ 50,01,000/- (Lower of 3 and 8 ) | 13,13,500 |
| 10 | Marginal Relief on Surcharge [If (3 – 8) is more than ‘0’ (3 – 8), else ‘0’ ] | 1,30,580 |
Example 2
In case of an individual resident (< 60 years) / HUF / NRI having taxable income of ₹ 60 lacs
| 1 | Income Tax on income of of ₹ 60 lacs | 16,12,500 |
| 2 | Surcharge on income of of ₹ 60 lacs | 1,61,250 |
| 3 | Income Tax + Surcharge on income of of ₹ 60 lacs (1 + 1) | 17,73,750 |
| 4 | Income Tax on income of ₹ 50 lacs | 13,12,500 |
| 5 | Surcharge on income of ₹ 50 lacs | 0 |
| 6 | Income Tax + Surcharge on income of ₹ 50 lacs (4 + 5) | 13,12,500 |
| 7 | Increase income over ₹ 50 lacs | 10,00,000 |
| 8 | Income Tax + Surcharge on income of ₹ 50 lacs + Increase income over ₹ 50 lacs | 23,13,500 |
| 9 | Income Tax and Surcharge payable on income of of ₹ 60 lacs ( Lower of 3 and 8 ) | 17,73,750 |
| 10 | Marginal Relief on Surcharge [If (3 – 8) is more than ‘0’ (3 – 8), else ‘0’ ] | 0 |
Example 3
In case of an individual resident (< 60 years) / HUF / NRI having taxable income of ₹ 1,00,01,000/-
| 1 | Income Tax on income of ₹ 1,00,01,000/- | 28,12,800 |
| 2 | Surcharge on income of ₹ 1,00,01,000/- | 4,21,920 |
| 3 | Income Tax + Surcharge on income of ₹ 1,00,01,000/- (1 + 2) | 32,34,720 |
| 4 | Income Tax on income of ₹ 1 crore | 28,12,500 |
| 5 | Surcharge on income of ₹ 1 crore | 2,81,500 |
| 6 | Income Tax + Surcharge on income of ₹ 1 crore (4 + 5) | 30,93,750 |
| 7 | Increase income over ₹ 1 crore | 1000 |
| 8 | Income Tax + Surcharge on income of ₹ 1 crore + Increase income over ₹ 1 crore | 30,94,750 |
| 9 | Income Tax and Surcharge payable on income of ₹ 1,00,01,000/- (Lower of 3 and 8 ) | 30,94,750 |
| 10 | Marginal Relief on Surcharge [If (3 – 8) is more than ‘0’ (3 – 8), else ‘0’ ] | 1,39,970 |
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