Income tax Rates Slab for FY 2019-20 or AY 2020-21
Looking for the Income Tax slabs and rates for the financial year 2019-20 or Assessment year 2020-2021? This article might help you find out the same.
What are Income tax Slab rates in India?
Indian Income Tax System follows Income Tax slabs for levying the tax on the income of an individual or non-individual. Various slabs are accounted for.
In India, the income tax is charged on the income earned. This tax applies to the range of income, which is called Income Tax Slabs. The slabs of income tax keep changing from year to year. The Finance Minister announces the slab rates of Income Tax in the Union Budget each year. The Income Tax Slabs can be categorized into four slabs,
- Income is chargeable to Nil rate of Tax;
- chargeable to 10%;
- Income chargeable to 20%; and
- chargeable to 30%.
Surcharge (EC) and secondary and higher secondary education cess (SHEC) is also charged over and above the tax.
The income tax slab rate can be mainly bifurcated as under:
- By Gender
-
- Male and
- Female.
- By Age
- Resident; and
- Non-resident in India.
- For Hindu Undivided Family (HUF)/ Association Of Person (AOP)/ Body Of Individual (BOI)/ Artificial Judicial Person (AJP)
- On Non-individuals
- Partnership Firms or LLPs;
- Domestic Company;
- Foreign Company;
- Co-operative Societies; and
- Local Authorities.
Income Tax Rates for Individual
Income tax rates/slabs for
-
Individual men and women below the age of 60 years
- A HUF
- NRI
- Association of Person, Body of Individuals and Artificial Judicial Person
| No. | Income Slab | Income Tax rate |
| 1. | Upto 250,000 | Nil |
| 2. | 250,000 to 500,000 | 5% of the amount exceeding 250,000 |
| 3. | 500,000 to 1,000,000 | Rs.12,500 + 20% of the amount exceeding 500,000 |
| 4. | 1,000,000 & above | Rs.112,500 + 30% of the amount exceeding 1,000,000 |
Income tax rates/slabs for Senior citizens(above 60 years but below 80 years):
| No. | Income Slab | Income Tax rate |
| 1. | Upto 300,000 | Nil |
| 2. | 300,000 to 500,000 | 5% of the amount exceeding 300,000 |
| 3. | 500,000 to 1,000,000 | Rs.10,000 + 20% of the amount exceeding 500,000 |
| 4. | 1,000,000 & above | Rs.110,000 + 30% of the amount exceeding 1,000,000 |
Income tax rates/slabs for very senior citizens (above the age of 80 years):
| No. | Income Slab | Income Tax rate |
| 1. | Upto 500,000 | Nil |
| 2. | 500,000 to 1,000,000 | 20% of the amount exceeding 500,000 |
| 3. | 1,000,000 & above | Rs.100,000 + 30% of the amount exceeding 1,000,000 |
-
Surcharge on Income tax:
- 10% of Income Tax, where the total income exceeds Rs.50 lakhs up to Rs.1 crore.
- 15% of the Income Tax, where total taxable income exceeds Rs.1 crore.
- Surcharge amount of 10% or 15% as applicable, shall not exceed the amount of income that exceeds Rs. 50 lakhs or Rs. 1 crore, as applicable.
- Health and Education Cess on Income tax: The amount of income-tax shall be increased by Education Cess on Income Tax at the rate of 4% of Income Tax plus Surcharge
Income Tax Rates For Non-Individual
Income tax rates/slabs for Co-operative Society:
| No. | Income Slab | Income Tax rate |
| 1. | Up to Rs. 10,000 | 10% of the income |
| 2. | Rs. 10,000 – Rs. 20,000 | Rs. 1000 + 20% of (total income minus Rs. 10,000) |
| 3. | Above Rs. 20,000 | Rs. 3,000 + 30% of (total income minus Rs.20,000) |
Income tax rates/slabs for Local Authority:
| No. | Income Slab | Income Tax rate |
| 1. | Total Income | 30% |
Income tax rates/slabs for Partnership Firm & LLP:
| No. | Income Slab | Income Tax rate |
| 1. | Total Income | 30% |
Income tax rates/slabs for Domestic companies:
| No. | Turnover particulars | Income Tax rate |
| 1. | Gross turnover up to 250 Cr. in the previous year | 25% |
| 2. | Gross turnover exceeding 250 Cr. in the previous year | 30% |
Income tax rates/slabs or Foreign Company:
| No. | Income Slab | Income Tax rate |
|
On total income as consists of
(a) royalties received from the government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after 31-3-1961 but before 1-4-1976; 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 29-2-1964 but before 1-4-1976, and where such agreement has, in either case, been approved by the Central Government |
50% |
|
|
On the balance, if any, of the total income | 40% |
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Surcharge on Income tax:
- There will be a 12% of surcharge on income tax payments by the partnership firms, local authorities and cooperative society while
- For Domestic companies If taxable income is more than Rs 1 crore but less than Rs 10 crore surcharge would be 7% and If taxable income is more than Rs 10 crore surcharge would be 12% and
- 2% on foreign Company if income is between 1 crore and 10 crores and 5% if income is greater than 10 crores.
- Health and Education Cess on Income tax: The amount of income-tax shall be increased by Health and Education Cess on Income Tax at the rate of 4% percent of the income tax payable by both resident and non-resident assessees.
Hope this article was helpful. Suggested read Income tax Slab/rates for the FY year 2018-19 and AY 2019-20
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