Rates of Income TAX Assessment year 2006-2007
admin July 26th, 2007
The rates for charging income tax from A.Y.2006-07 shall be as follows :-
I In case of individual (other than II and III below) and HUF :-
| (i) Where the total income does not exceed Rs.1,00,000/-. | NIL |
| (ii) Where the total income exceeds Rs.1,00,000/- but does not exceed Rs.1,50,000/-. | 10% of the amount in excess of Rs.1,00,000/-. |
| (iii) Where the total income exceeds Rs.1,50,000/- but does not exceed Rs.2,50,000/-. | Rs.5,000/- + 20% of the amount by which total income exceeds Rs.2,50,000/-. |
| (iv) Where the total income exceeds Rs.2,50,000/-. | Rs.25,000/- + 30% of the amount by which total income exceeds Rs.2,50,000/-. |
II In case of individual being a woman resident in India and below 65 years at any time during the previous year :-
| (i) Where the total income does not exceed Rs.1,35,000/-. | NIL |
| (ii) Where total income exceeds Rs.1,35,000/- but does not exceed Rs.1,50,000/-. | 10% of the amount by which the total income exceeds Rs.1,35,000/-. |
| (iii) Where the total income exceeds Rsw.1,50,000/- but does not exceed Rs.2,50,000/-. | Rs.1,500/- + 20% of the amount by which total income exceeds Rs.1,50,000/-. |
| (iv) Where the total income exceeds Rs.2,50,000/-. | Rs.21,000/- + 30% of the amount by which the total income exceeds Rs.2,50,000/-. |
III In case of an individual resident who is of the age of 65 years or more at any time during the previous year :-
| (i) Where the total income does not exceed Rs.1,85,000/-. | NIL |
| (ii) Where the total income exceeds Rs.1,85,000/- but does not exceed Rs.2,50,000/- | 20% of the amount by which the total income exceeds Rs.1,85,000/-. |
| (iii) Where the total income exceeds Rs.2,50,000/-. | Rs.13,000/- + 30% of the amount by which the total income exceeds Rs.2,50,000/-. |
Further, the amount of income tax as computed in accordance with above rates, and after being reduced by the amount of tax rebate shall be increased by a surcharge at the rate of 10% of such income tax, provided that the total income exceeds Rs.8,50,000/-. The Finance Act, 2005 has raised this income limit to Rs.10`lacs. Thus, in case of individual/HUF no surcharge shall be payable if the total income is below Rs.10 lacs. The tax and surcharge, if any, are to be further enhanced by education less levied @ 2% for A.Y.2005-06 onwards.