Proposed rate of Income Tax for FY 2019-20 for various types of assessees are as follows:
Tax Rates
i. Personal Tax Rates
Income (Rs.) Proposed Income Tax for FY 2019-20 (Rs.)
Up to 2,50,000 Nil
2,50,001-5,00,000 5%
5,00,001-10,00,000 20%
10,00,001 and above 30%
Note:
a. Cess of 4% is leviable on the amount of income tax and surcharge, if any.
b. Rebate under Section 87A remains unchanged for a resident individual (whose income does not exceed 5,00,000). The amount of rebate is 100% of income tax calculated before education cess or 12,500 whichever is less.
Surcharge to be added
Income (Rs.) Old rate of Income Tax, Proposed rate of Income Tax,
Sur-charge & Cess for Sur-charge & Cess for
FY 2018-19 (for 30% slab) FY 2019-20 (for 30% slab)
Up to 50 Lakhs Nil Nil
50 Lakhs -1 Crore 34.32% 34.32%
1 Crore- 2 Crore 35.88% 35.88%
2 Crore – 5 Crore 35.88% 39.00%
Above 5 Crore 35.88% 42.744%
ii. Corporate tax rates
Income (Rs.) Proposed rate of Corporate Tax for FY 2019-20
Domestic Company
having total income less than 1 Crore 30%*
Domestic Company
having total income more than
1 Crore but less than 10 Crore 30%* plus surcharge of 7%
Domestic Company
having total income more than 10 Crore 30%* plus surcharge of 12%
Other Company having
total income less than 1 Crore 40%
Other Company having
total income more than
1 Crore but less than 10 Crore 40% plus surcharge 2%
Other Company having
total income more than 10 Crore 40% plus surcharge 5%
Note:
a. Cess of 4% shall be levied over and above the above taxes.
b. *Reduced rate of 25% shall be applicable where total turnover / receipts in the last P.Y. does not exceed Rs 400 Cr.
iii. Firms
Income (Rs.) Proposed rate of Income Tax for FY 2019-20
Having total income up to 1 Crore 30%
Having total income more than 1 Crore 30% plus surcharge of 12%
Note:
a. Cess of 4% shall be levied over and above the above taxes.
iv. Cooperative Societies
Income (Rs.) Proposed rate of Income Tax for FY 2019-20
Having total income up to 10,000 10%
Having total income of more than 10,000 Rs. 1,000 plus 20% of total income in excess of Rs. 10,000 to Rs. 20,000
Having total income of more than 20,000 Rs. 3,000 plus 30% of total income in excess of Rs. 20,000
Note:
a. Cess of 4% shall be levied over and above the above taxes.
b. Surcharge @ 12% of income tax if net income exceeds Rs. 1 Crore is applicable.