Income Tax
Income Tax is applicable on the Net Income earned during the year by different sources e.g. Salary Income, Income from Business & Profession, Capital Gain and Income from Other Sources.
INCOME TAX RATE FOR A.Y.2013-2014
For individual, every HUF/AOP/BOI/artificial juridical person:-
Net Income Range
Income Tax Rates
Surcharge
Education Cess
Up to Rs. 2,00,000
NIL
NIL
NIL
Rs. 2,00,001 – 5,00,000
10%
NIL
3%
Rs. 5,00,001 – 10,00,000
20%
NIL
3%
Above Rs.10,00,000
30%
NIL
3%
For resident Senior citizen (who is 60 years or more at any time during the previous year):-
Net Income Range
Income Tax Rates
Surcharge
Education Cess
Up to Rs. 2,50,000
NIL
NIL
NIL
Rs. 2,50,001 – 5,00,000
10%
NIL
3%
Rs. 5,00,001– 10,00,000
20%
NIL
3%
Above Rs.10, 00,000
30%
NIL
3%
For resident Sper Senior citizen (who is 60 years or more at any time during the previous year):-
Net Income Range
Income Tax Rates
Surcharge
Education Cess
Up to Rs. 5,00,000
NIL
NIL
NIL
Rs. 5,00,001– 10,00,000
20%
NIL
3%
Above Rs.10, 00,000
30%
NIL
3%
DEDUCTIONS
In addition to the sum of Rs.1 Lac, the following six deductions will continue to receive the same tax treatment as prevails.
Interest paid on housing loan for self-occupied house property.
Medical insurance premium.
Specified expenditure on disabled dependant.
Expenses for medical treatment of specified diseases or ailments for self or dependant or member of HUF.
Deduction in respect of interest on loan for pursuing higher studies.
Deduction to a person with disability.
Partnership Firms & Companies
Tax Rate - 30%
Surcharge - NIL
Education Cess - 3% on (Income Tax + Surcharge)
Effective Rate of Tax - 33.66%
DEDUCTIONS
In addition to the sum of Rs.1 Lac, the following six deductions will continue to receive the same tax treatment as prevails.
Interest paid on housing loan for self-occupied house property.
Medical insurance premium.
Specified expenditure on disabled dependant.
Expenses for medical treatment of specified diseases or ailments for self or dependant or member of HUF.
Deduction in respect of interest on loan for pursuing higher studies.
Deduction to a person with disability.