Budget
2015 Update: Finance Minister Arun Jaitley announced the Budget 2015 on 28th Feb
and announced that an individual taxpayer can now claim exemption from Income
Tax for Income upto Rs. 4,44,200.
However,
he didn’t announce the Slab Rates. A careful read of the Memorandum to the
Budget indicates that there is no change in the Slab Rates applicable for
2015-16. The Slab Rates for 2015-16 are the same as the Slab Rates for 2014-15.
The
Finance Minister very smartly announced that individual taxpayers can claim
exemption from Income Tax upto 4,44,200. While announcing this, he had kept into
account the various deductions that are allowed to a taxpayer under Section
80C, Section 80D etc. However, there has been no change in the Income Tax
Slabs. The applicable Income Tax Slab Rates are detailed below.
Income Tax Slab Rates for 2014-15 & 2015-16
The
Income Tax Slab Rates for 2014-15 & 2015-16 are the 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
For Male Individuals below 60
Years of Age and HUF- For Female Individuals below 60
Years of Age
- For all Senior Citizen above 60
years of Age
- For all Super Senior Citizen
above 80 years of Age
B. BUSINESSES
- Co-operative Society
- Firms, Local Authority &
Domestic Company
Income Tax Slab Rates
A. FOR INDIVIDUALS & HUF
The
following Income Tax Slabs are applicable for the Financial Year 2014-15
i.e. Assessment Year 2015-16 as well as Financial Year 15-16 i.e. Assessment
Year 16-17. 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.
Recommended
Read:
- Income Tax Rebate of Rs. 2000 under Section
87A
- Difference between Income Tax Deduction vs
Rebate vs Relief
1. For Male Individuals below 60 years of age & HUF
|
Income Tax Slabs
|
Income Tax Rates
|
|
Where Total Income does not exceed
Rs. 2,50,000
|
NIL
|
|
Where the Total Income exceeds Rs.
2,50,000 but does not exceed Rs. 5,00,000
|
10%
of the Amount by which it exceeds Rs. 2,50,000
|
|
Where the Total Income exceeds Rs.
5,00,000 but does not exceed Rs. 10,00,000
|
20%
of the Amount by which it exceeds Rs. 5,00,000
|
|
Where the Total Income exceeds Rs.
10,00,000
|
30%
of the Amount by which it exceeds Rs. 10,00,000
|
Recommended Read:
- Income Tax Slab Rates for Males since
2001-02
- Capital Gains Tax Rate
- Save Taxes by forming HUF
2. For Female Individuals below 60 years of Age
Income
Tax Slabs for Males and Females are the same and are as follows:-
|
Income Tax Slabs
|
Income Tax Rates
|
|
Where Total Income does not exceed
Rs. 2,50,000
|
NIL
|
|
Where the Total Income exceeds Rs.
2,50,000 but does not exceed Rs. 5,00,000
|
10%
of the Amount by which it exceeds Rs. 2,50,000
|
|
Where the Total Income exceeds Rs.
5,00,000 but does not exceed Rs. 10,00,000
|
20%
of the Amount by which it exceeds Rs. 5,00,000
|
|
Where the Total Income exceeds Rs.
10,00,000
|
30%
of the Amount by which it exceeds Rs. 10,00,000
|
- Recommended Read:
Income Tax Slab Rates for Females since 2005-06
3. For all Senior Citizens above 60 years of Age
|
Income Tax Slabs
|
Income Tax Rates
|
|
Where Total Income does not exceed
Rs. 3,00,000
|
NIL
|
|
Where the Total Income exceeds Rs.
3,00,000 but does not exceed Rs. 5,00,000
|
10%
of the Amount by which it exceeds Rs. 3,00,000
|
|
Where the Total Income exceeds Rs.
5,00,000 but does not exceed Rs. 10,00,000
|
20%
of the Amount by which it exceeds Rs. 10,00,000
|
|
Where the Total Income exceeds Rs.
10,00,000
|
30%
of the Amount by which it exceeds Rs. 10,00,000
|
Recommended Read:
- Income Tax Slab Rates for Senior Citizens
since 2005-06
- 6 Special Tax benefits for Senior Citizens
4. For all Senior Citizens above 80 Years of Age
|
Income Tax Slabs
|
Income Tax Rates
|
|
Where Total Income does not exceed
Rs. 5,00,000
|
NIL
|
|
Where the Total Income exceeds Rs.
5,00,000 but does not exceed Rs. 10,00,000
|
20%
of the Amount by which it exceeds Rs. 5,00,000
|
|
Where the Total Income exceeds Rs.
10,00,000
|
30%
of the Amount by which it exceeds Rs. 10,00,000
|
Computation of Age
If
an Individual attains the age of 60 years or 80 years during the financial
year, his age shall be regarded as 60/80 (as the case may be), for that whole
Financial Year.
- Recommended Read: Income Tax Slab Rates for Super Senior Citizens since
2011-12
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 26AS shall be payable vide Challan No. 280 in the form of Advance Tax in Installments before the specified
Due Dates or else Interest on delay in payment of Income Tax would be liable to
be paid.
The
following Income Tax Slab Rates shall be applicable for the Assessment Year 2015-16 & Assessment Year 16-17 i.e
Previous Year 2014-15 & Previous Year 15-16 . Education Cess @ 2% and SHEC @1% shall be levied
on the Income Tax so computed.
1. For Co-operative Society
|
Income Tax Slabs
|
Income Tax Rates
|
|
Where the Total Income does not
exceed Rs. 10,000
|
10%
of the Income
|
|
Where the Total Income exceeds Rs.
10,000 but does not exceed Rs. 20,000
|
20%
of the Amount by which it exceeds Rs. 10,000
|
|
Where the Total Income exceeds Rs.
20,000
|
30%
of the Amount by which it exceeds Rs. 20,000
|
2. For Firms, Local Authority and Domestic Company
Income
Tax Slab Rates wont apply in this case and Tax @
30% flat shall be computed on the Total Income. Surcharge shall not be
levied on Income of Firms and Local Authorities but shall be levied on the
Total Income Tax of Domestic Companies @ 5% provided that the Total Income of
the Domestic Company exceeds Rs. 1 Crore.
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