Employer’s (company)contribution to (12% (10% nps) basic salary + DA)Employees’ Provident Fund (EPF), superannuation fund and NPS above Rs 7.5 lakh year 62500/pm toproposed be taxed in the hands of employer.
section 80CCD (2) for the employee subject to maximum deduction of 10 percent of basic salary + DA.
₹30 lakh, aggregate amount of employer contribution could be:
PF employers contribution: 3.60 lakh (12%)
NPS: ₹3 lakh (10%)
Superannuation Fund: (pension fund by employer) ₹1.50 lakh
Total investment: ₹8.10 lakh (EET Status to tax)*
Rs 60,000 – the difference between Rs 8.1 lakh and Rs 7.5 lakh – based on the proposal.
Income tax slab for 2021-22 HUF & Individuals without deductions |
|
| Income | Individual (all 60,80+) |
| Up to 2.5 Lakhs | Nil |
| 2.5 to 5 Lakhs | 5% |
| 5-7.5 lakhs | 10% |
| 7.5-10 lakhs | 15% |
| 10 to 12.5 lakhs | 20% |
| 12.5 to 15 lakh | 25% |
| Above 15 lakhs | 30% |
you can choose either new slab or old slab with exemptions (so who wants to buy insurance & invest in elss if there is no tax benefit)
Budget 2020: some directions: 50,000 standard deduction, 80c (1.5 lakhs) HRA, LTA (Home loan interest rate upto 2 lakhs , health insurance, ) upto 70 deductions donation to trust ,will be removed.
Dviddens now taxed in the hands tax prayer. according income tax slab.
Income tax slab for 2020-21 HUF & Individuals (with deductions) |
|||
| Income | Individual (Age less than 60 Years) | Senior Citizen (Age above 60 Years) | Super Senior Citizen (Age above 80 Years) |
| Up to 2.5 Lakhs | Nil | Nil | Nil |
| 2.5 to 3 Lakhs | 5% | Nil | Nil |
| 3-5 lakhs | 5% | 5% | Nil |
| 5-10 lakhs | 20% | 20% | 20% |
| 10 lakhs above | 30% | 30% | 30% |
| Section 87A rebate 12,500 if taxable income upto 5 lakhs.
Standard deduction: 50,000
|
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health & education cess 4% income tax + surcharge
Difference between assessment year and FInancial Year
Ex: this financial years starts from April 1st 2020 and End in March 2021.
The assessment year (AY) is the year that comes after the FY. This is the time in which the income earned during last Financial Year is assessed and taxed.
Assessment year will be 2021 to 22 march 31st. ( from AY April 2020 – 21 we have pay tax for april FY 2019 april to march 31st 2020.
Income tax slab for 2019-20 HUF & Individuals |
|||
| Income | Individual (Age less than 60 Years) | Senior Citizen (Age above 60 Years) | Super Senior Citizen (Age above 80 Years) |
| Up to 2.5 Lakhs | Nil | Nil | Nil |
| 2.5 to 3 Lakhs | 5% | Nil | Nil |
| 3-5 lakhs | 5% | 5% | Nil |
| 5-10 lakhs | 20% | 20% | 20% |
| 10 lakhs above | 30% | 30% | 30% |
| Tax Rates* for Corporate Assessee for the A.Y. 2019-20
|
|
| Status of Taxpayer
|
Rates of income-tax |
| Firms/Local Authority
|
30% |
| Domestic Company
|
30%/25% # |
| Foreign Company
|
40% |
| # Tax rate is 25% if turnover or gross receipts of the domestic company in the previous year 2016-17 doesn’t exceed Rs. 250 crore | |
| Co-operatives Societies for the A.Y. 2019-20
|
|
| Income
|
Rates of income-tax |
| Up to Rs. 10,000
|
10% |
| Rs.10,000 – Rs.20,000
|
20% |
| Above Rs. 20,000
|
30% |
| Surcharge for AY 2019-20
|
|||
| Particulars | Taxable Income | ||
| 50 Lacs to 1 Crore | 1 Crore to 10 Crores | Exceeding 10 Crores | |
| Individuals/HUF
|
10% | 15% | 15% |
| Firm/ Local Authority/ Co-operative Society
|
Nil | 12% | 12% |
| Domestic Company
|
Nil | 7% | 12% |
| Foreign Company
|
Nil | 2% | 5% |
| Co-operative Societies
|
Nil | 12% | 12% |
- The last date to file ITR Individual / LLP / partnership (Non – Audit cases) July 31st.
- Individual LLP PVT ltd ( Audit cases ) 30th September.
Income tax slab forAY 2018-19
| Income Tax Slabs | Tax Rate |
|---|---|
| Income up to Rs 2,50,000* | No tax |
| Income from Rs 2,50,000 – Rs 5,00,000 | 5% |
| Income from Rs 5,00,000 – 10,00,000 | 20% |
| Income more than Rs 10,00,000 | 30% |
Senior Citizens (60 – 80 Years )
| Income Tax Slabs | Tax Rate |
| Income up to Rs 3,00,000* | No tax |
| Income from Rs 3,00,000 – Rs 5,00,000 | 5% |
| Income from Rs 5,00,000 – 10,00,000 | 20% |
| Income more than Rs 10,00,000 | 30% |
Senior Citizens(80 Years Old Or More)
| Income Tax Slabs | Tax Rate |
| Income up to Rs 5,00,000* | No tax |
| Income from Rs 5,00,000 – 10,00,000 | 20% |
| Income more than Rs 10,00,000 | 30% |
Domestic Companies for FY 2018-19
| Turnover Particulars | Tax Rate |
| Gross turnover up to 250 Cr. in the previous year | 25% |
| Gross turnover exceeding 250 Cr. in the previous year | 29% |
Surcharge: 10% of income tax, where the total income exceeds Rs.50 lakh up to Rs.1 crore.
Surcharge: 15% of the income tax, where the total income exceeds Rs.1 crore.
Individual Tax Payers & HUF (Below << 60) for FY 2017-18
| Income Tax Slabs | Tax Rate |
| Income up to Rs 2,50,000* | No tax |
| Income from Rs 2,50,000 – Rs 5,00,000 | 5% |
| Income from Rs 5,00,000 – 10,00,000 | 20% |
| Income more than Rs 10,00,000 | 30% |
Senior Citizens (60 – 80 Years ) for FY 2017-18
| Income Tax Slabs | Tax Rate |
| Income up to Rs 3,00,000* | No tax |
| Income from Rs 3,00,000 – Rs 5,00,000 | 5% |
| Income from Rs 5,00,000 – 10,00,000 | 20% |
| Income more than Rs 10,00,000 | 30% |
Senior Citizens (60 – 80 Years ) for FY 2017-18
| Income Tax Slabs | Tax Rate |
| Income up to Rs 3,00,000* | No tax |
| Income from Rs 3,00,000 – Rs 5,00,000 | 5% |
| Income from Rs 5,00,000 – 10,00,000 | 20% |
| Income more than Rs 10,00,000 | 30% |
Senior Citizens(80 Years++) for FY 2017-18
| Income Tax Slabs | Tax Rate |
| Income up to Rs 5,00,000* | No tax |
| Income from Rs 5,00,000 – 10,00,000 | 20% |
| Income more than Rs 10,00,000 | 30% |