Tax Slab For Assessment Year 2019-20 and Finacial Year 2018-19
Individuals
- Less Than 60 Years Old
| INR 0 to INR 2,50,000 | NIL |
| INR 2,50,001 to INR 5,00,000 | 5% |
| INR 5,00,001 to INR 10,00,000 | 20% |
| INR 10,00,001 and Above | 30% |
- 60 to 80 Years Old
| INR 0 to INR 3,00,000 | NIL |
| INR 3,00,001 to INR 5,00,000 | 5% |
| INR 5,00,001 to INR 10,00,000 | 20% |
| INR 10,00,001 and Above | 30% |
- Above 80 Years old
| INR 0 to INR 5,00,000 | NIL |
| INR 5,00,001 to INR 10,00,000 | 20% |
| INR 10,00,001 and above | 30% |
Standard Deduction For Salaried Individuals: INR 40,000 replacing transport allowance and medical allowance
Tax Relief under section 87A: actual Income Tax or INR 2,500 whichever is lower for taxpayers whose income doesn’t exceed INR 3,50,000
Cess: 4% Payable On Income Tax and Surcharge( Primary Education Cess @ 2% + Secondary Education Cess @ 1% + Health Cess @ 1%)
Surcharge: The Surcharge rates would be charged the following on the Income Tax:
| Taxable Income is between INR 50,00,001 to INR 1,00,00,000 | 10% |
| Taxable Income is above INR 1,00,00,001 | 15% |
Hindu Undivided Families/ Association Of Persons/ Body Of Individuals
| INR 0 to INR 2,50,000 | NIL |
| INR 2,50,001 to INR 5,00,000 | 5% |
| INR 5,00,001 to INR 10,00,000 | 20% |
| INR 10,00,001 and Above | 30 |
Cess: 4% Payable On Income Tax and Surcharge( Primary Education Cess @ 2% + Secondary Education Cess @ 1% + Health Cess @ 1%)
Surcharge: The Surcharge rates would be charged the following on the Income Tax:
| Taxable Income is between INR 50,00,001 to INR 1,00,00,000 | 10% |
| Taxable Income is above INR 1,00,00,001 | 15% |
Domestic Companies
| Gross Turnover of upto INR 250 Crore | 25% |
| Gross Turnover when exceeds INR 250 Crore | 29% |
Surcharge: The Surcharge rates would be charged the following on the Income Tax:
| Taxable Income Is more than INR 10 Crore | 7% |
| Taxable Income Exceeds INR 10 Crore | 12% |
Cess: 4% Payable On Income Tax and Surcharge( Primary Education Cess @ 2% + Secondary Education Cess @ 1% + Health Cess @ 1%)
How to calculate the age for income tax purposes?
Age in Income Tax is calculated as on the last date of the financial year for which assessment is made. Which means the person should be less than 60 years old as on 31st March 2019 to fall within the slab of Assessment Year 2019-20.
How to Calculate Tax on Slabs?
We know that our tax system is one of the most complex systems in the world, but here we are breaking down the steps its easy bits.
Example 1: Let’s assume your income is 6,50,000 INR so following should be the:
| A | INR 0 to INR 2,50,000 | 2,50,000 @ 0% | 00 |
| B | INR 3,00,001 to INR 5,00,000 | 2,50,000 @ 5 % | 12,500 |
| C | INR 5,00,001 to INR 6,50,000 | 1,50,000 @ 20% | 30,000 |
| D | Sub Total (A+B+C) | 42,500 | |
| E | 87A Not Available Since Income Exceeds INR 3,50,000 | 00 | |
| F | Total (D-E) | 42,500 | |
| G | Cess @ 4% | 42,500@ 4% | 1,700 |
| H | Total Tax Liability (G+H) | 44,200 | |
How to Calculate Cess ?
As described above cess in calculated on Income Tax, Please refer above example.
How To Calculate Surcharge?
The surcharge is calculated on Income Tax and is only applicable if your income exceeds the limits specified.
Example 2: Lets Assume Your Income is 1.12 Crores (1,12,00,000 INR) following should be your tax calculation:
| A | INR 0 to INR 2,50,000 | 2,50,000 @ 0% | 00 |
| B | INR 3,00,001 to INR 5,00,000 | 2,50,000 @ 5 % | 12,500 |
| C | INR 5,00,001 to INR 10,00,000 | 5,00,000 @ 20% | 1,00,000 |
| D | INR 10,00,000 to INR 1,12,00,000 | 1,02,00,000 @ 30% | 30,60,000 |
| E | Sub Total (A+B+C) | 31,72,500 | |
| F | 87A Not Available Since Income Exceeds INR 3,50,000 | 00 | |
| G | Total (D-E) | 31,72,500 | |
| H | Surcharge | 31,72,500 @ 15% | 4,75,875 |
| I | Total (G+H) | 36,48,375 | |
| J | Cess @ 4% | 36,48,375 @ 4% | 1,45,935 |
| K | Total Tax Liability (I+J) | 37,94,310 | |
Also Read: Income Tax Slab For AY 2018-19 or FY 2017-18
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