INCOME TAX SLAB FOR A.Y 2020-21

Income tax Slab & Rate For the A.Y 2020-21 (Relevant F.Y 2019-20)

1.  For Individual (Having Age Below 60 Years) (Table–  1)

Income Tax Slab	Tax Rate F.Y 2019-20
Upto Rs. 250000	Nil
250001 to 500000	5% on Above Rs. 250000
500001 to 1000000	Rs. 12500 + 20% on above Rs. 500000
Above 1000000	Rs. 112500 + 30% on above Rs. 1000000

·       Additional 4% Health & Education cess will be Applicable on amount of Tax payable

·       Rebate u/s 87A is allowed up to Rs. 12500 for total income up to Rs. 500000 (Available only if total income after deduction is Rs. 500000)

·       Surcharge is levied if total income exceed specified limit (Refer Table - 6)

INCOME TAX

Example-1

Mr A (age 45 years) having

Income from Business profession is Rs. 600000

Income from saving bank account is Rs. 10000

Deduction u/s 80C is Rs. 100000

Calculate Tax payable for F.Y 2019-20 in Comparison with F.Y 2018-19

Particular	F.Y 2019-20	F.Y 2018-19
Income From Business profession	600000	600000
Income from saving bank interest	10000	10000
Gross total income	610000	610000
Less : deduction u/s 80C	100000	100000
u/s 80TTA	10000	10000
Taxable income	500000	500000
Tax payable at slab rate	12500	12500
Less : Rebate u/s 87A	(12500)	-
	-	12500
Add: Health & edu. Cess @ 4%	-	500
Total Tax Payable	-	13000

If in above example 1 Mr A have Total taxable income 510000 instead of Rs. 500000 in F.Y 2019-20 than

Particular	F.Y 2019-20
Taxable income	510000
Tax payable at slab rate (12500+ 20% of 10000)	14500
Less : Rebate u/s 87A	-
	-
Add: Health & edu. Cess @ 4%	580
Total Tax Payable	15080

2.  For Individual Senior citizen (Having Age above 60 Years but below 80 years) (Table–  2)

Income Tax Slab	Tax Rate F.Y 2019-20
Upto Rs. 300000	Nil
300001 to 500000	5% on Above Rs. 300000
500001 to 1000000	Rs. 10000 + 20% on above Rs. 500000
Above 1000000	Rs. 110000 + 30% on above Rs. 1000000

·       Additional 4% Health & Education cess will be Applicable on amount of Tax payable

·       Rebate u/s 87A is allowed up to Rs. 10000 for total income up to Rs. 500000 (Available only if total income after deduction is Rs. 500000)

·       Surcharge is levied if total income exceed specified limit (Refer Table - 6)

INCOME TAX

Example-2

Mr B (age 66 years) having

Income from Business profession is Rs. 600000

Income from saving bank account is Rs. 10000

Deduction u/s 80C is Rs. 100000

Calculate Tax payable for F.Y 2019-20 in Comparison with F.Y 2018-19

Particular	F.Y 2019-20	F.Y 2018-19
Income From Business profession	600000	600000
Income from saving bank interest	10000	10000
Gross total income	610000	610000
Less : deduction u/s 80C	100000	100000
u/s 80TTA	10000	10000
Taxable income	500000	500000
Tax payable at slab rate	10000	10000
Less : Rebate u/s 87A	(10000)	-
	-	10000
Add: Health & edu. Cess @ 4%	-	400
Total Tax Payable	-	10400

If in above example 2 Mr B have Total taxable income 510000 instead of Rs. 500000 in F.Y 2019-20 than

Particular	F.Y 2019-20
Taxable income	510000
Tax payable at slab rate (10000+ 20% of 10000)	12000
Less : Rebate u/s 87A	-
	-
Add: Health & edu. Cess @ 4%	480
Total Tax Payable	12480

3.  For Individual Super Senior citizen (Having Age above 80 Years) (Table–  3)

Income Tax Slab	Tax Rate F.Y 2019-20
Upto Rs. 500000	Nil
500001 to 1000000	20% on above Rs. 500000
Above 1000000	Rs. 100000 + 30% on above Rs. 1000000

·       Additional 4% Health & Education cess will be Applicable on amount of Tax payable

·       Surcharge is levied if total income exceed specified limit (Refer Table - 6)

4.  For HUF/AOP/BOI/ and Artificial Juridical Person (Table-4)

Income Tax Slab	Tax Rate F.Y 2019-20
Upto Rs. 250000	Nil
250001 to 500000	5% on Above Rs. 250000
500001 to 1000000	Rs. 12500 + 20% on above Rs. 500000
Above 1000000	Rs. 112500 + 30% on above Rs. 1000000

·       Additional 4% Health & Education cess will be Applicable on amount of Tax payable

·       No rebate u/s 87A as it is available only to the resident individual

·       Surcharge is levied if total income exceed specified limit (Refer Table - 6)

5.  Income tax Rate For Domestic Company for F.Y 2019-20 (Table–  5)

Particular	Tax Rate
T/o up to Rs. 400 Crore in F.Y 2017-18	25%
More than Rs. 400 Crore in F.Y 2017-18	30%
When Company has opted for section 115BA	25%
When Company has opted for section 115BAA	22%
When Company has opted for section 115BAB	15%

·       Additional 4% Health & Education cess will be Applicable on amount of Tax payable

·       Surcharge is levied if total income exceed specified limit (Refer Table - 7)

     6.  Surcharge (Subject to the Marginal relief) for                   Individual/HUF/AOP/BOI/Artificial Juridical person for F.Y 2019-20 (Table–  6)

Particular	Surcharge
Income above Rs. 50 lakh but below Rs. 1 Crore	10%
Income above Rs. 1 Crore but below Rs. 2 Crore	15%
Income above Rs. 2 Crore but below Rs. 5 Crore	25%
Income above Rs. 5 Crore	37%

Note: The enhanced surcharge of 25% & 37%, as the case may be, is not levied, from income chargeable to tax under

Section 111A (Short term capital gain)

Section 112A (Long term capital gain) and

Section 115AD (Income of Foreign Institutional Investors from securities or capital gains.

Hence, the maximum rate of surcharge on tax payable on such incomes shall be 15%.

7.  Surcharge for Company (Subject to the Marginal relief) for F.Y 2019-20 (Table–  7)

Particular	Surcharge
Companies net income above Rs. 1 Crore but less than Rs. 10 Crore	7%
Companies net income above Rs. 10 Crore	12%
Companies that have opted for taxability under section 115BAA & 115BAB regardless of their total income	10%

8.  Income tax rate Partnership firm/LLP/Local Authority for F.Y 2019-20

o   No Exemption limit

o   Taxable at rate 30%

o   Health & Education cess at 4%

o   Surcharge at 12% (Subject to the Marginal relief) if total income exceeds Rs. 1 Crore

9.  Income tax rate Co Operative Society for F.Y 2019-20

Particular	Tax Rate
Income up to Rs. 10000	10%
From Rs. 10000 to Rs. 20000	20%
Above Rs. 20000	30%

·       Health and education cess @ 4 %

·       Surcharge at 12% (Subject to the Marginal relief) if total income exceeds Rs. 1 Crore

10.           Other Points

·       Standard Deduction of Rs. 50000 available to Salaries Person

·       Capital gains are taxed on the basis of nature of holding period

Sample tax calculation table

 Thanks For Reading