Income Tax Rates - Income slab rates | Assessment Year 2021-22 tax rates | Calculate Income tax

Income Tax Slab Rates

Hello guys,

Now we learn about Income Tax Slab Rates of Current Year and Previous Year.

So there are three types of citizens in the vison of income tax department. They are given below:-

1. Normal Citizen:- When the age is 60 years below

2. Senior Citizen:- When the age is 60 years or above

3. Super Senior Citizen:- When the age is 80 years or above

1.1. In the case of an Individual/ HUF(Hindu Undivided Family)/ AoP(Association of Person) or BoI(Body of Individual) 

Individuals
Normal Citizens
Range of Net Income	Income-tax Rate
	Assessment Year 2021-22	Assessment Year 2020-21
Up to Rs. 2,50,000	Exempt from tax	Exempt from tax
Rs. 2,50,000 to Rs. 5,00,000	5%	5%
Rs. 5,00,000 to Rs. 10,00,000	20%	20%
Above Rs. 10,00,000	30%	30%
Senior Citizen
Range of Net Income	Income-tax Rate
	Assessment Year 2021-22	Assessment Year 2020-21
Up to Rs. 3,00,000	Exempt from tax	Exempt from tax
Rs. 3,00,000 to Rs. 5,00,000	5%	5%
Rs. 5,00,000 to Rs. 10,00,000	20%	20%
Above Rs. 10,00,000	30%	30%
Super Senior Citizen
Range of Net Income	Income-tax Rate
	Assessment Year 2021-22	Assessment Year 2020-21
Up to Rs. 5,00,000	Exempt from tax	Exempt from tax
Rs. 5,00,000 to Rs. 10,00,000	20%	20%
Above Rs. 10,00,000	30%	30%
Hindu Undivided Family (Including AOP, BOI)
Range of Net Income	Income-tax Rate
	Assessment Year 2021-22	Assessment Year 2020-21
Up to Rs. 2,50,000	Exempt from tax	Exempt from tax
Rs. 2,50,000 to Rs. 5,00,000	5%	5%
Rs. 5,00,000 to Rs. 10,00,000	20%	20%
Above Rs. 10,00,000	30%	30%

Add:

a. Surcharge: Surcharge is levied on the amount of income-tax at the following rates given below if the total income of an assessee over the specified limits:-

Surcharge Rates
Assessment Year 2021-22					Assessment Year 2020-21
Range of  Total Income					Range of Total Income
Rs. 50 Lakhs to Rs. 1 Crore	Rs. 1 Crore to Rs. 2 Crores	Rs. 2 Crores to Rs. 5 Crores	Rs. 5 crores to Rs. 10 Crores	Exceeding Rs. 10 Crores	Rs. 50 Lakhs to Rs. 1 Crore	Rs. 1 Crore to Rs. 2 Crores	Rs. 2 Crores to Rs. 5 Crores	Rs. 5 crores to Rs. 10 Crores	Exceeding Rs. 10 Crores
10%	15%	25%	37%	37%	10%	15%	25%	37%	37%

However, marginal relief from the surcharge is available in the following ways-

• In the case where the net income exceeds Rs. 50 lakhs but does not exceed Rs. 1 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax on a total income of Rs.50 lakh by more than the amount of income exceeding Rs.50 lakh.
• In the second case where the net income exceeds Rs. 1 crore but does not exceed Rs. 2 crore, the marginal relief shall be available from the surcharge in such a way that the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax on a total income of Rs. Exceeding the amount of income exceeding Rs 1 crore. 1 crore.
• In case where the net income exceeds Rs. 2 crore but does not exceed Rs. 5 crore, the marginal relief shall be available from the surcharge in such a way that the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax on a total income of Rs. Exceeds the amount of income exceeding Rs.2 crore. 2 crores.
• In case where the net income exceeds Rs. 5 crore, the marginal relief shall be available from the surcharge in such a way that the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax on a total income of Rs. Exceeding the amount of income exceeding Rs.5 crore.

b. Health and Education Cess: Health and Education Cess is levied at the rate of 4% on the amount of income-tax add surcharge.

Note: A resident individual (whose net income does not exceed Rs. 5,00,000) can avail rebate under section 87A. It is deductible from income-tax before calculating education cess. The amount of rebate is 100 percent of income-tax or Rs. 12,500, whichever is less.

1. Partnership Firm/Local Authority

For the Assessment Year 2020-21 & 2021-22, a partnership firm or a local authority will be taxable at the rate of 30%.

Add:

(a) Surcharge: The amount of income tax shall be increased by a surcharge at the rate of 12% of such tax, where total income exceeds one crore rupees. However, the surcharge shall be subject to marginal relief (where income exceeds one crore rupees, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of one crore rupees by more than the amount of income that exceeds one crore rupees).

(b) Health and Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by health and education cess calculated at the rate of four percent of such income-tax and surcharge

1. Domestic Company

Rates of income tax applicable in the case of domestic companies for the assessment year 2020-21 or 2021-22 are as follows:

Domestic Company	Rate of Income tax
	Assessment Year 2020-21	Assessment Year 2021-22
Where the total turnover during the previous year 2017-18 does not exceed Rs. 400 crore	25%	NA
Where the total turnover during the previous year 2018-19 does not exceed Rs. 400 crore	NA	25%
Any other domestic company	30%	30%

Add:

(a) Surcharge: The amount of income-tax shall be increased by a surcharge at the rate of 7% of such tax, where total income exceeds one crore rupees but not exceeding ten crore rupees and at the rate of 12% of such tax, where total income exceeds ten crore rupees. The surcharge shall be subject to marginal relief, which shall be as under:

 (i)  Where income exceeds Rs. 1 crore but not exceeding Rs. 10 crore, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of Rs. 1 crore by more than the amount of income that exceeds Rs. 1 crore.

 (ii)  Where income exceeds Rs. 10 crore, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of Rs. 10 crore by more than the amount of income that exceeds Rs. 10 crore

(b) Health and Education Cess: The amount of income tax and the applicable surcharge, shall be further increased by health and education cess calculated at the rate of four percent of such income tax and surcharge.

1. Foreign Company

Assessment Year 2020-21 and Assessment Year 2021-22

Nature of Income	Tax Rate
Royalty received from Government or an Indian concern in pursuance of an agreement made with the Indian concern after March 31, 1961, but before April 1, 1976, or fees for rendering technical services in pursuance of an agreement made after February 29, 1964 but before April 1, 1976 and where such agreement has, in either case, been approved by the Central Government	50%
Any other income	40%

Add:

(a)  Surcharge: The amount of income-tax shall be increased by a surcharge at the rate of 2% of such tax, where total income exceeds one crore rupees but not exceeding ten crore rupees and at the rate of 5% of such tax, where total income exceeds ten crore rupees. However, the surcharge shall be subject to marginal relief, which shall be as under:

 (i)  Where income exceeds one crore rupees but not exceeding ten crore rupees, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of one crore rupees by more than the amount of income that exceeds one crore rupees.

 (ii)  Where income exceeds ten crore rupees, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of ten crore rupees by more than the amount of income that exceeds ten crore rupees.

(b)  Health and Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by health and education cess calculated at the rate of four percent of such income-tax and surcharge.

8. Co-operative Society

            Assessment Year 2020-21 and Assessment Year 2021-22

Taxable income	Tax Rate
Up to Rs. 10,000	10%
Rs. 10,000 to Rs. 20,000	20%
Above Rs. 20,000	30%

Add:

(a) Surcharge: The amount of income-tax shall be increased by a surcharge at the rate of 12% of such tax, where total income exceeds one crore rupees. However, the surcharge shall be subject to marginal relief (where income exceeds one crore rupees, the total amount payable as income-tax and surcharge shall not exceed total amount payable as income-tax on total income of one crore rupees by more than the amount of income that exceeds one crore rupees).

(b) Health and Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by health and education cess calculated at the rate of four percent of such income-tax and surcharge.