Income Tax Slab Rates for the AY 2016-17 & 2017-18 in India.

Income Tax Slab Rates for 2016-17 & 2017-18

The Income Tax Slab Rates for 2016-17 & 2017-18 are almost same. The Income Tax Slab Rates are different for different categories of taxpayers.

The Income Tax Slab Rates can be divided in the following categories:-

A.INDIVIDUALS & HUF

1. For Individuals Rates Based on Their age i.e. Below60, above 60 and last above 80.

B. BUSINESSES

1. Co-operative Society
2. Firms, Local Authority
3. Domestic Company and Foreign Company.

For Income Tax Calculator For AY 2016-17 & 17-18."Click Here"

Income Tax Slab Rates

A. FOR INDIVIDUALS & HUF

The following Income Tax Slabs are applicable for the Financial Year 2015-16 i.e. Assessment Year 2016-17 as well as Financial Year 16-17 i.e. Assessment Year 17-18. Education Cess @ 2% and SHEC @ 1% shall be levied on the Tax computed using the Income Tax Rates given below while filing the Income Tax Return. No Surcharge is applicable in case of Individuals and HUF’s.

It is pertinent to be noted that Budget 2013 introduced Section 87A which provides Income Tax Rebate of Rs. 2000 for all Individuals earning Income less than Rs. 5 Lakh in a Year.This rebate under Section 87A has been increased from Rs. 2000 to Rs. 5000 in Budget 2016. The increased limit would be applicable for Financial Year 2016-17 which is beginning from 1st April 2016.

After the computation of Total Tax Payable computed as per the Income Tax Slabs, the Balance Income Tax payable after the deduction of TDS as shown in Form 16/Form 16A and reflected in Form 26ASshall be payable vide Challan No. 280in the form of Advance Tax in Installmentsbefore the specified Due Dates or else Interest on delay in payment of Income Tax would be liable to be paid. 

1. In case of an Individual (resident or non-resident) or HUF or Association of Person or Body of Individual or any other artificial juridical person

Assessment Year 2016-17
Taxable income	Tax Rate
Up to Rs. 2,50,000	Nil
Rs. 2,50,000 to Rs. 5,00,000	10%
Rs. 5,00,000 to Rs. 10,00,000	20%
Above Rs. 10,00,000	30%
Less: Rebate under Section 87A [see Note]
Add: Surcharge and Education Cess [see Note]

Assessment Year 2017-18
Taxable income	Tax Rate
Up to Rs. 2,50,000	Nil
Rs. 2,50,000 to Rs. 5,00,000	10%
Rs. 5,00,000 to Rs. 10,00,000	20%
Above Rs. 10,00,000	30%
Less: Rebate under Section 87A [see Note]
Add: Surcharge and Education Cess [see Note]

2. In case of a resident senior citizen (who is 60 years or more at any time during the previous year but less than 80 years on the last day of the previous year)

Assessment Year 2016-17
Taxable income	Tax Rate
Up to Rs. 3,00,000	Nil
Rs. 3,00,000 - Rs. 5,00,000	10%
Rs. 5,00,000 - Rs. 10,00,000	20%
Above Rs. 10,00,000	30%
Less: Rebate under Section 87A [see Note]
Add: Surcharge and Education Cess [see Note]

Assessment Year 2017-18
Taxable income	Tax Rate
Up to Rs. 3,00,000	Nil
Rs. 3,00,000 - Rs. 5,00,000	10%
Rs. 5,00,000 - Rs. 10,00,000	20%
Above Rs. 10,00,000	30%
Less: Rebate under Section 87A [see Note]
Add: Surcharge and Education Cess [see Note]

3. In case of a resident super senior citizen (who is 80 years or more at any time during the previous year)

Assessment Year 2016-17
Taxable income	Tax Rate
Up to Rs. 5,00,000	Nil
Rs. 5,00,000 - Rs. 10,00,000	20%
Above Rs. 10,00,000	30%
Add: Surcharge and Education Cess [see Note]

Assessment Year 2017-18
Taxable income	Tax Rate
Up to Rs. 5,00,000	Nil
Rs. 5,00,000 - Rs. 10,00,000	20%
Above Rs. 10,00,000	30%
Add: Surcharge and Education Cess [see Note]

Note:

Assessment Year 2016-17

 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) Education Cess:The amount of income-tax and the applicable surcharge, shall be further increased by education cess calculated at the rate of two per cent of such income-tax and surcharge.

 c) Secondary and Higher Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by secondary and higher education cess calculated at the rate of one per cent of such income-tax and surcharge.

 d) Rebate under Section 87A: The rebate is available to a resident individual if his total income does not exceed Rs. 5,00,000. The amount of rebate shall be 100% of income-tax or Rs. 2,000, whichever is less.

Assessment Year 2017-18

 a) Surcharge:The amount of income-tax shall be increased by a surcharge at the rate of 15% 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) Education Cess:The amount of income-tax and the applicable surcharge, shall be further increased by education cess calculated at the rate of two per cent of such income-tax and surcharge.

 c) Secondary and Higher Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by secondary and higher education cess calculated at the rate of one per cent of such income-tax and surcharge.

 d) Rebate under Section 87A: The rebate is available to a resident individual if his total income does not exceed Rs. 5,00,000. The amount of rebate shall be 100% of income-tax or Rs. 5,000, whichever is less.

B. SLABS FOR BUSINESS

The following Income Tax Slab Rates shall be applicable for the Assessment Year 2016-17 & Assessment Year 17-18 i.e Previous Year 2015-16 & Previous Year 16-17 . Education Cess @ 2% and SHEC @1% shall be levied on the Income Tax so computed.

1. For Co-operative Society

Assessment Year 2016-17and 2017-18
Taxable income	Tax Rate
Up to Rs. 10,000	10%
Rs. 10,000 - Rs. 20,000	20%
Above Rs. 20,000	30%
Add: Surcharge and Education Cess [see Note]

2. For Firms (including LLP), Local Authority.

Assessment Year 2016-17and 2017-18
Taxable income	Tax Rate
For Firms(Including LLP), Local Authority Tax rate will apply on Total Income or Profit (No Basic Exemption). No Surcharge.	30%
Add: Surcharge and Education Cess [see Note]

Note:

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) Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by education cess calculated at the rate of two per cent of such income-tax and surcharge.

 c) Secondary and Higher Education Cess:The amount of income-tax and the applicable surcharge, shall be further increased by secondary and higher education cess calculated at the rate of one per cent of such income-tax and surcharge

3.  Domestic Company and Foreign Company.

• Domestic Company:

Assessment Year 2016-17
Taxable income	Tax Rate
Domestic Company	30%
Add: Surcharge and Education Cess [see Note]

Assessment Year 2017-18
Taxable income	Tax Rate
Gross Receipts Less Than 5,00,000	29%
If Gross Receipts More Than 5,00,000	30% on Total Income
Add: Surcharge and Education Cess [see Note]

Note:

 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. However, the surcharge shall be subject to marginal relief, which shall be as under:

•  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.
•  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) Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by education cess calculated at the rate of two per cent of such income-tax and surcharge.

c) Secondary and Higher Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by secondary and higher education cess calculated at the rate of one per cent of such income-tax and surcharge.

• Foreign Company:

Assessment Year 2016-17 and 2017-18
Taxable 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: Surcharge and Education Cess [see Note]

Note:

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:

•  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.
•  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) Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by education cess calculated at the rate of two per cent of such income-tax and surcharge.

 c) Secondary and Higher Education Cess: The amount of income-tax and the applicable surcharge, shall be further increased by secondary and higher education cess calculated at the rate of one per cent of such income-tax and surcharge.

For More Information Please Visit: Income Tax
  
Thank you friends next time we will meet in Advance Tax Due Dates post..........Bye....

--All the above contents only for Public reference and not for any other purpose. Therefore, I can’t take any responsibility for the results or consequences of any attempt to use or adopt any of the information presented on this blog--- 

Thanks & Regards

S. Praveen Kumar Reddy.

(source: Income Tax)