Income Tax Slab Changes in Budget 2019
No new income tax slab for 2019-20 has been suggested in budget 2019. Therefore the income tax slab remains unchanged.
Corporate Tax RateIncrease in turnover limit for Indian companies for 25% tax rate from turnover of 250 crore to 400 crore
(Same slab rates shall apply for both Male and Female Resident Taxpayers)
| Income Range | Tax applicable |
|---|---|
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Less : Rebate u/s 87A Add : Surcharge, Health and Education Cess |
|
(Same slab rates shall apply for both Male and Female)
| Income Range | Tax applicable |
| Income Upto Rs. 3,00,000 | 0% |
| 3,00,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Less : Rebate u/s 87A Add : Surcharge, Health and Education Cess |
|
(Same slab rates shall apply for both Male and Female)
| Income Range | Tax applicable |
|---|---|
| Income Upto Rs. 5,00,000 | 0% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Less : Rebate u/s 87A Add : Surcharge, Health and Education Cess |
|
(Same slab rates shall apply for both Male and Female)
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge ,Health and Education Cess | |
Please note: Rebate u/s 87A and Age-wise slab rate as discussed above in case of the resident individual are not available to Non-Residents.
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge,Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to HUF.
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge, Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to BOI.
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge, Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to AOP.
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge, Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to AJP.
| Firm or LLP profits are taxable at a flat rate of 30% for FY 2019-20 (AY 2020-21) |
| Add : Surcharge, Health and Education Cess |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to LLP.
| Total Turnover or Gross Receipts (Rs.) | Tax applicable |
| The amount does not exceed Rs.250 crore, in the previous year 2016-17 | 25% |
| The amount exceeds Rs.250 crore in the previous year 2016-17 | 30% |
| Add : Surcharge, Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to Indian Companies.
| Foreign Company's profit shall be charged at a flat rate of 40% for FY 2019-20 (AY 2020-21) |
| Add : Surcharge, Health and Education Cess |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to Foreign Company.
| Income Range | Tax applicable |
| Income Upto Rs. 10,000 | 10% |
| From 10,001 - 20,000 | 20% |
| Above Rs 20,000 | 30% |
| Add : Surcharge Health and Education Cess |
|
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to Cooperative Societies.
| Local Authorities are taxable at a flat rate of 30% for FY 2019-20 (AY 2020-21) |
| Add : Surcharge Health and Education Cess |
Add the following to the tax calculated above
Note: The income chargeable to tax rate shall be after all admissible deductions.
On 1st Feb 2019, Finance Minister Mr.Piyush Goyal tabled the Interim Budget 2019 in the Parliament. In Budget 2019, the following tax provisions have been announced in relation to slabs of income tax slabs and rates :
The limit of Rebate u/s 87A has been increased from Rs.3.5 Lakhs to Rs.5 Lakhs.
Section 87A provides exemption on tax payment to a RESIDENT INDIVIDUAL. As per this provision, if an individual’s taxable income is upto Rs. 5 lakhs then he will get the benefit of Rs. 12500 or the amount of tax whichever is lower. If you are liable to pay tax upto the limit of rebate allowed, then after taking the rebate benefit, no payment will be required to be made for tax amount. For availing the full amount of rebate, the Total Taxable Income of return filer shall be up to Rs 5,00,000 for the Financial Year 2019-20, the Assessment year 2020-21. https://blog.tax2win.in/what-is-rebate-under-section-87a-itr/
On 1st Feb 2018, Finance Minister Mr.Arun Jaitley tabled the Union Budget 2018-19 in the Parliament. In Budget 2018, the following tax provisions have been announced in relation to slabs of income tax tax slabs and rates :
Budget 2018 has kept the slabs and the slab rates of an individual unaltered.Moreover, no modifications has been done in surcharge and rebate u/s 87A.In simple words, the personal income tax slabs for 2018-19 would be same as of F.Y 17-18 as well. For detailed slab rates of F.Y 17-18, Click Here
The earlier cesses (Primary Education Cess and the Secondary and Higher Education Cess ) @ 3% have been replaced by the new cess namely health and education cess for AY 2018-19 @ 4%. Thereby increasing your tax outgo by 1 %.This rise in the cess is done for all categories of assessees (individual, HUF, Firm , company etc.).
| Income (Rs.) | Cess in F.Y 17-18 | Cess in F.Y 18-19 | Increase in Liability |
|---|---|---|---|
| If your income is Rs. 25 Lakhs | 16875 | 22500 | 5625 |
| If your income is Rs. 8 lakhs | 2175 | 2900 | 725 |
| If your income is 5 lakhs | 375 | 500 | 125 |
However, the increase in the tax liability can be further reduced by availing the benefit of Standard Deduction of Rs. 40,000 which has been reintroduced in F.Y 18-19. Standard Deduction has come in lieu of transport allowance and medical reimbursement.
| Income (Rs.) | Cess in F.Y 17-18 | Cess in F.Y 18-19 | Increase in Liability |
|---|---|---|---|
| If your income is Rs. 25 Lakhs | 16567 | 22020 | 5453 |
| If your income is Rs. 8 lakhs | 1970 | 2580 | 610 |
| If your income is 5 lakhs | 324 | 420 | 96 |
Note : In the above calculation, benefit of Rs. 34200 (Transport and Medical Reimbursement) has been provided in F.Y 17-18 and 40,000 standard deduction in F.Y. 18-19.
A further relief has been provided to micro, small, and medium scale enterprises in Budget 2018. Companies with a turnover of less than Rs 250 crores in FY16-17 would be required to pay tax at 25 percent in FY18-19.However, all other companies shall pay the tax @ 30%.
| Total Turnover or Gross Receipts (Rs.) | Rate of Income Tax |
|---|---|
| Amount does not exceed Rs.250 crore, in the previous year 2016-17 | 25% |
| Amount exceeds Rs.250 crore | 30% |
| Add: Add: Surcharge and Health & Education Cess | |
(Same slab rates shall apply for both Male and Female Resident Taxpayers)
| Income Range | Tax applicable |
|---|---|
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Less : Rebate u/s 87A Add : Surcharge, Health and Education Cess |
|
(Same slab rates shall apply for both Male and Female)
| Income Range | Tax applicable |
| Income Upto Rs. 3,00,000 | 0% |
| 3,00,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Less : Rebate u/s 87A Add : Surcharge, Health and Education Cess |
|
(Same slab rates shall apply for both Male and Female
| Income Range | Tax applicable |
|---|---|
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Less : Rebate u/s 87A Add : Surcharge, Health and Education Cess |
|
(Same slab rates shall apply for both Male and Female
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge ,Health and Education Cess | |
Please note: Rebate u/s 87A and Age-wise slab rate as discussed above in case of the resident individual are not available to Non-Residents.
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge,Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to HUF.
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge, Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to BOI.
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge, Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to AOP.
| Income Range | Tax applicable |
| Income Upto Rs. 2,50,000 | 0% |
| 2,50,001 - 5,00,000 | 5% |
| 5,00,001 - 10,00,000 | 20% |
| Above Rs. 10,00,000 | 30% |
| Add : Surcharge, Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to AJP.
| Firm or LLP profits are taxable at a flat rate of 30% for FY 2018-19 (AY 2019-20) |
| Add : Surcharge, Health and Education Cess |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to LLP.
| Total Turnover or Gross Receipts (Rs.) | Tax applicable |
| The amount does exceed Rs.250 crore, in the previous year 2016-17 | 25% |
| The amount exceeds Rs.250 crore in the previous year 2016-17 | 30% |
| Add : Surcharge, Health and Education Cess | |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to Indian Companies.
| Foreign Company's profit shall be charged at a flat rate of 40% for FY 2018-19 (AY 2019-20) |
| Add : Surcharge, Health and Education Cess |
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to Foreign Company.
| Income Range | Tax applicable |
| Income Upto Rs. 10,000 | 10% |
| From 10,001 - 20,000 | 20% |
| Above Rs. 20,000 | 30% |
| Add : Surcharge Health and Education Cess |
|
Please note: Rebate u/s 87A as discussed above in case of the resident individual are not available to Cooperative Societies.
| Local Authorities are taxable at a flat rate of 30% for FY 2018-19 (AY 2019-20) |
| Add : Surcharge Health and Education Cess |
Add the following to the tax calculated above
Note: The income chargeable to tax rate shall be after all admissible deductions.
| Income Slab(s) | Income Tax Rate for AY 2018-19 (F.Y. 2017-18) |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 5% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Less: Rebate under Section 87A (if Total Income Up to Rs 3,50,000) Add: Surcharge and EC & SHEC |
|
| Income Slab(s) | Income Tax Rate for F.Y. 2017-18 |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 5% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Less: Rebate under Section 87A (if Total Income Up to Rs 3,50,000) Add: Surcharge and EC & SHEC |
|
| Income Slab(s) | Income Tax Rate for F.Y. 2017-18 |
|---|---|
| Upto 3,00,000 | Nil |
| From 3,00,001- 5,00,000 | 5% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Less: Rebate under Section 87A (if Total Income Up to Rs 3,50,000) Add: Surcharge and EC & SHEC |
|
| Income Slab(s) | Income Tax Rate for F.Y. 2017-18 |
|---|---|
| Upto 5,00,000 | Nil |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Add: Surcharge and EC & SHEC | |
| Income Slab(s) | Income Tax Rate for F.Y. 2017-18 |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 5% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Add: Surcharge and EC & SHEC | |
Please note : Rebate u/s 87A and Age-wise slab rate as discussed above in case of resident individual are not available to Non-Residents.
Income Tax Slab for AY 2018-19 for HUF (F.Y. 2017-18)
| Income Slab(s) | Income Tax Rate for F.Y. 2017-18 |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 5% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Add: Surcharge and EC & SHEC | |
IncomeTax Slab for BOI for F.Y. 2017-18
| Income Slab(s) | Income Tax Rate for F.Y. 2017-18 |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 5% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Add: Surcharge and EC & SHEC | |
Income Tax Slab for AOP for F.Y. 2017-18. Mention below below AOP income tax rates 2018-19
| Income Slab(s) | Income Tax Rate for F.Y. 2017-18 |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 5% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Add: Surcharge and EC & SHEC | |
| A firm /LLP is taxable at flat rate of 30 percent for the F.Y. 2017-18 (A.Y. 2018-19). | |
| Add: Surcharge and EC & SHEC |
For F.Y.2017-18( A.Y. 2018-19) the income tax slab for Indian Company. Mentioned below is the income tax rate for AY 2018-19 for companies.
| Total Turnover or Gross Receipts (Rs.) | Rate of Income Tax |
|---|---|
| Amount does not exceed Rs.50 crore, in the previous year 2015-16 | 25% |
| Amount exceeds Rs.50 crore | 30% |
| Add: Surcharge and EC & SHEC | |
| A foreign company is taxable at flat rate of 40 percent for the F.Y. 2017-18 ( A.Y. 2018-19). | |
| Add: Surcharge and EC & SHEC |
For F.Y.2017-18( A.Y. 2018-19 ) the new income tax slab 2018-19 for co-operative society
| Income (Rs) | Rate of Income Tax |
|---|---|
| Upto 10,000 | 10% |
| From 10,001-20,000 | 20% |
| Above 20,000 | 30% |
| Add: Surcharge and EC & SHEC | |
| Local authorities are taxable at flat rate of 30 percent for the F.Y. 2017-18( A.Y. 2018-19). | |
| Add: Surcharge and EC & SHEC |
Surcharge : The amount of income-tax shall be increased by a surcharge at the rate specified in the table, where total income exceeds the specified amount:
| Surcharge Rates for | 0-Rs.50 lakh | Rs.50 lakh - Rs.1 crore | Rs.1 crore - Rs.10 crore | Above Rs.10 crore |
|---|---|---|---|---|
| Individual(Men, Female, NRI) /HUF /AOP /BOI /other Artificial Juridical person | Nil | 10% | 15% | 15% |
| Firm/Co-Operative Society/local authority | Nil | Nil | 12% | 12% |
| Domestic Company | Nil | Nil | 7% | 12% |
| Foreign Company | Nil | Nil | 2% | 5% |
Education Cess(EC) : The amount of income-tax and the applicable surcharge, shall be further increased by education cess calculated at 2 percent of income tax and surcharge.
Secondary & Higher Education Cess(SHEC) : The amount of income-tax and the applicable surcharge, shall be further increased by secondary and higher education cess calculated at 1 percent of income tax 2018-19 and surcharge.
Rebate under Section 87A : Section 87A of the Act states that if a resident individual's total income does not exceed Rs. 3.5 lakhs then the individual will get benefit of rebate. The amount of rebate shall be 100% of income-tax or Rs. 2,500, whichever is less.
Prior to the union budget 2017, it was on the taxable income up to INR 5 lakh and the benefit was of Rs. 5000/-.
For F.Y. 2016-17 ( A.Y. 2017-18) the Income Tax Slab for various persons-
| Income Slab(Rs.) | Income Tax Rate for F.Y. 2016-17 |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 10% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Less: Rebate under Section 87A Add: Surcharge and EC & SHEC |
|
| Income Slab(s) | Income Tax Rate for F.Y. 2016-17 |
|---|---|
| Upto 3,00,000 | Nil |
| From 3,00,001- 5,00,000 | 10% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Less: Rebate under Section 87A Add: Surcharge and EC & SHEC |
|
| Income Slab(s) | Income Tax Rate for F.Y. 2016-17 |
|---|---|
| Upto 5,00,000 | Nil |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Add: Surcharge and EC & SHEC | |
| Income Slab(s) | Income Tax Rate for F.Y. 2016-17 |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 10% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Add: Surcharge and EC & SHEC | |
| Income Slab(s) | Income Tax Rate for F.Y. 2016-17 |
|---|---|
| Upto 2,50,000 | Nil |
| From 2,50,001- 5,00,000 | 10% |
| From 5,00,001-10,00,000 | 20% |
| Above 10,00,000 | 30% |
| Add: Surcharge and EC & SHEC | |
| Income tax would be at a flat rate of 30 percent for the F.Y. 2016-17 (A.Y. 2017-18). | |
| Add: Surcharge and EC & SHEC |
| A foreign company is taxable at flat rate of 40 percent for the F.Y. 2016-17 (A.Y. 2017-18). | |
| Add: Surcharge and EC & SHEC |
For F.Y.2016-17, A.Y. 2017-18 the income tax slab for co-operative society
| Income (Rs) | Rate of Income Tax |
|---|---|
| Upto 10,000 | 10% |
| From 10,001-20,000 | 20% |
| Above 20,000 | 30% |
| Add: Surcharge and EC & SHEC | |
Surcharge : The amount of income-tax shall be increased by a surcharge at the rate specified in the table, where total income exceeds the specified amount:
| Surcharge Rates for | 0-Rs.1 crore | Rs.1 crore- Rs.10 crore | Above Rs.10 crore |
|---|---|---|---|
| Individual(Men, Female, NRI)/HUF /AOP /BOI /other Artificial Juridical person | Nil | 15% | 15% |
| Firm/Co-Operative Society/local authority | Nil | 12% | 12% |
| Domestic Company | Nil | 7% | 12% |
| Foreign Company | Nil | 2% | 5% |
Education Cess(EC) : The amount of income-tax and the applicable surcharge, shall be further increased by education cess calculated at 2 percent of income tax and surcharge.
Secondary & Higher Education Cess(SHEC) : The amount of income-tax and the applicable surcharge, shall be further increased by secondary and higher education cess calculated at 1 percent of income tax and surcharge.
Rebate under Section 87A : Section 87A of the Act states that if an individual's total income does not exceed Rs. 5 lakhs then the individual will get benefit of rebate. The amount of rebate shall be 100% of income-tax or Rs. 5,000, whichever is less.
The only change in Income Tax Slab in F.Y. 18-19 is-
Cess - Secondary and Higher Education Cess has been replaced with Health and Education Cess.
Further the cess rate Increased to 4% as compare to 3% in F.Y. 17-18.
The changes in Income Tax Slab in F.Y. 2017-18 are-
For a salaried employee the income tax slab for individuals will be applicable.Choose the correct table according to your age.Please note there is no difference in the tax slab based on gender.
For calculating your income tax rate for F.Y. 2016-17, you need to check the Income Tax Slab for F.Y. 2016-17.
Let us take example of Ms. Ruchi, age 29 years with an income of Rs.10,50,000, income tax deduction under section 80C Rs.150000 to understand how to calculate the income tax amount for F.Y 18-19.
First we will check the applicable income tax slab, in her case the first slab for individuals less than 60 years would be applicable.
Her income to be considered for calculating the Income tax amount =
Total Income - Income Tax Deductions
10,50,000 - 1,50,000 = 9,00,000
| Income (Rs.) | Income Tax Rates | Tax Calculation | Income Tax Payable(Rs.) |
|---|---|---|---|
| Upto 2,50,000 | Nil | 0 | 0 |
| 2,50,000-5,00,000 | 5% | 5% of 2,50,000 | 12,500 |
| 5,00,000- 10,00,000 | 20% | 20% of 4,00,000 (9,00,000-5,00,000) | 80,000 |
| TOTAL | 92,500 |
| Income Tax Amount | Rs, 92,500 |
| Add : [email protected]% on Income Tax | Rs. 3700 |
| Total Income Tax Payable | Rs. 96,200 |
India has a system of direct taxation where rates vary depending on age and income criteria. Thus, it becomes crucial to specify such criteria of income for various age groups so fixed, known as slabs. For resident individuals there are 3 slabs prevailing in our country starting with
The slab rates in Financial Year 2018-19 have been kept unchanged as compared with slabs of Financial Year 2017-18. But, other important changes can be enlisted as
1. Increase in cess| FY 2018-19 | FY 2017-18 | |
| Cess | Health and Education Cess @ 4% | Education Cess and Secondary & Higher Education Cess @ 3% |
| Income (Rs.) | Cess in F.Y 17-18 | Cess in F.Y 18-19 | Increase in Liability |
| If your income is Rs. 25 Lakhs | 16875 | 22500 | 5625 |
| If your income is Rs. 8 lakhs | 2175 | 2933 | 725 |
| If your income is 5 lakhs | 375 | 500 | 125 |
| FY 2018-19 | FY 2017-18 | |
| Standard Deduction of Rs 40,000 to salaried employees | Yes | No |
| Travel and Medical Reimbursement | No | Yes |
| Income (Rs.) | Cess in F.Y 17-18 | Cess in F.Y 18-19 | Increase in Liability |
| If your income is Rs. 25 Lakhs | 16567 | 22020 | 5453 |
| If your income is Rs. 8 lakhs | 1970 | 2580 | 610 |
| If your income is 5 lakhs | 324 | 420 | 96 |
Note : In the above calculation, benefit of Rs. 34200 (Transport and Medical Reimbursement) has been provided in F.Y 17-18 and 40,000 standard deduction in F.Y. 18-19.
| FY 2018-19 | FY 2017-18 | |
| Corporate Tax Rate for companies having turnover upto Rs 250 crore in FY 2016-17 | 25% | 30% |
For more changes brought by Finance Act 2018, you can read Tax Changes Affecting Your Life From April 2018
Finance Act 2018 is applicable to Financial Year 2018-19 or Assessment Year 2019-20. Which means for Income Tax returns to be filed till the due date of 31st July 2019 for the income earned between 1st April 2018 to 31st March 2019, Finance Act 2018 shall apply.
For the Financial Year 2018-19 (AY 2019-20) you are required to disclose income earned between 1st April 2018 to 31st March 2019.
The current income tax slabs 2018-19 are for anyone filing their Income Tax Return in 2018 i.e. for F.Y.2017-18 (A.Y 2018-19). After reading this article, you must have understood that your ITR slab AY 2018-19 doesn’t just depend on your income. It also depends on your age , status and what all deductions and exemptions you have taken. Deductions and exemptions can knock you into a lower tax slab, reducing your tax liability (or increasing the size of your tax refund) in the process.
That’s why it’s in your interest to make sure that you’re taking advantage of all the income tax provisions for which you’re eligible, whether you use tax preparation software, seek help from a CA or go the DIY route on Income Tax portal.
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