Income Tax for Partnership, Society and Domestic Company – FY 2018-19 (AY 2019-20)
Rates of Income tax applicable for Partnership Firm (including LLP), co-operative society and domestic company applicable to the Financial Year 2018-19 (Assessment Year 2019-20) are furnished below.
1. Rates of Income Tax FY 2018-19 (AY 2019-20)– Partnership firms including LLP
For the Financial Year 2018-19 (Assessment Year 2019-20), a partnership firm (including LLP) is taxable at 30%. Surcharge and Health and Education Cess as mentioned below will also be applicable to partnership firms including LLP
a) Surcharge: Surcharge at the rate of 12% on the amount of income tax, where total income exceeds one crore rupees. Such surcharge shall be subject to marginal relief (where income exceeds 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).
b) Health and Education Cess: The amount of total tax will be further increased by health and education cess calculated at the rate of four percent of such income-tax and surcharge.
2. Rates of Income Tax FY 2018-19 (AY 2019-20)– Co-operative Society
For the Financial Year 2018-19 (Assessment Year 2019-20), the tax rate applicable for a co-operative society will as shown below:
|
Taxable income –Rs. |
Rate % |
Amount of Income Tax |
|
Up to 10,000/- |
10% |
Nil |
|
10,001/- to 20,000/- |
20% |
Rs. 1,000 plus 20% of the amount by which taxable income exceeds Rs.10,000/- |
|
20,001/- and above |
30% |
Rs. 3,000/- plus 30% of the amount by which the taxable income exceeds Rs. 20,000/- |
a)Surcharge: The amount of income-tax shall be increased by a surcharge at the rate of 12% of such tax, where total income exceeds one crore rupees. However, the surcharge shall be subject to marginal relief (where income exceeds 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).
b) 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
3. Rates of Income Tax FY 2018-19 (AY 2019-20)– Domestic Company
For the Financial Year 2018-19 (Assessment Year 2019-20), a domestic company is taxable at 30%. However, the tax rate would be 25%, if turnover or gross receipt of the company does not exceed Rs. 250 crore in the previous year 2016-17. Surcharge and Health and Education Cess as mentioned below will also be applicable to domestic companies.
.
a) Surcharge: The amount of income-tax shall be increased by a surcharge at the rate of 7% of such tax, where total income exceeds one crore rupees but not exceeding ten crore rupees and at the rate of 12% of such tax, where total income exceeds ten crore rupees. However, the surcharge shall be subject to marginal relief, which shall be as under:
(i) Where income exceeds one crore rupees but not exceeding ten 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.
(ii) Where income exceeds ten crore rupees, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of ten crore rupees by more than the amount of income that exceeds ten crore rupees.
b) 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. Budget 2018-19: Direct and Indirect Tax Proposals
