Rates of Personal Income Tax – FY 2018-19 (AY 2019-20)
Rules of Income Tax Act are subjected to periodical revisions. Accordingly, the rates of income tax also undergo periodical changes. Different tax rates have been stipulated for various categories of taxpayers and for different sources of income. Individual/Hindu Undivided Family (HUF)/ Association of Persons (AOP)/ Body of Individuals (BOI) or any other artificial judicial person is taxed as per different slab rates. The same rates are applicable to individuals whose income is from Salaries and allowances.
The rates of income tax mentioned below are applicable to the Financial Year 2018-19 (Assessment Year 2019-20).
1.Rates of Income Tax – Slab rates for Individuals/HUF/AOP/BOI/Artificial Judicial Person
The individual in this category mean both resident and non-resident if the said person is born on or after April 01, 1959.
|
Income Slab –Rs. |
Rate % |
Amount of Income Tax |
|
Up to 2,50,000/- |
Nil |
Nil |
|
2,50,001/- to 5,00,000/- |
5% |
5% of the amount by which total income exceeds Rs. 2,50,000/- |
|
5,00,001/- to 10,00,000/- |
20% |
Rs. 12,500/- plus 20% of the amount by which the total income exceeds Rs. 5,00,000/- |
|
10,00,001/- and above |
30% |
Rs. 1,12,500/- plus 30% of the amount by which the total income exceeds Rs. 10,00,000/- |
2. Rates of Income Tax – For Resident Senior Citizens
(born during April 01, 1939 and March 31, 1959)
|
Income Slab-Rs. |
Rate % |
Amount of Income Tax |
|
Up to 3,00,000/- |
Nil |
NIL |
|
3,00,001/- to 5,00,000/- |
5% |
5% of the amount by which total income exceeds Rs.3,00,000/- |
|
5,00,001/- to 10,00,000/- |
20% |
Rs. 10,000/- plus 20% of the amount by which the total income exceeds Rs. 5,00,000/- |
|
10,00,001/- and above |
30% |
Rs.1,10,000/- plus 30% of the amount by which the total income exceeds Rs. 10,00,000/ |
3. Rates of Income Tax – For Resident super Senior Citizens
(who is 80 years or more at any time during the previous year)
|
Income Slab-Rs. |
Rate % |
Amount of Income Tax |
|
Up to 5,00,000/- |
Nil |
NIL |
|
5,00,001/- to 10,00,000/- |
20% |
20% of the amount by which total income exceeds Rs.5,00,000/- |
|
10,00,001/- and above |
30% |
Rs.1,00,000/- plus 30% of the amount by which the total income exceeds Rs. 10,00,000/ |
4. Rates of Income Tax FY 2018-19 (AY 2019-20)- Rebate under Section 87 A.
A resident Individual, whose total income does not exceed Rs. 3, 50,000 is entitled to a rebate of maximum Rs. 2,500. The amount of rebate is 100% of income tax or Rs.2,500, whichever is less.
5. Rates of Income Tax FY 2018-19 (AY 2019-20)- Surcharge on Income Tax
a. If the total income of the assesse exceeds Rs. 50 Lakhs but does not exceed Rs. 1 Crore, a surcharge of 10 % is payable on such tax , where total income exceeds fifty lakh rupees but does not exceed one crore rupees. However, the surcharge shall be subject to marginal relief (where income exceeds fifty lakh rupees, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of fifty lakh rupees by more than the amount of income that exceeds fifty lakh rupees).
b. If the total income of the assesse exceeds Rs. 1Crore, a surcharge of 15 % is payable on such Tax , where total income exceeds one crore rupees.. However, the surcharge shall be subject to marginal relief (where income one crore rupees, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of one crore rupees by more than the amount of income that exceeds one crore rupees).
6. Rates of Income Tax FY 2018-19 (AY 2019-20)- Health and Education Cess
The amount of income tax and the applicable surcharge shall be further increased by health and education cess calculated at the rate of four percent of such income-tax and surcharge. In the case of employees, it becomes a part of TDS Indian Budge 2018-19- Proper Mix of Populism and Prudence
