Page 29 - DCOM301_INCOME_TAX_LAWS_I

Income Tax Laws – I

Notes ii. Where the total income exceeds ` 5,00,000 20% of the amount by which the total income
but does not exceed ` 10,00,000 exceeds ` 5, 00,000.
iii. Where the total income exceeds ` 1,00,000 + 30% of the amount by which the
` 10,00,000 total income exceeds ` 10, 00,000.
Surcharge: 10% of the Income Tax, where total taxable income is more than ` 1 crore.
Education Cess: 3% of the total of Income Tax and Surcharge.
(d) For Co-operative Society

Table 1.4: Tax Slabs for Co-operative Society

Income Slabs Income Tax Rate
i. Where the total income does not exceed 10% of the income.
` 10,000.
ii. Where the total income exceeds ` 10,000 but ` 1,000 + 20% of income in excess of
does not exceed ` 20,000. ` 10,000.
iii. Where the total income exceeds ` 20,000. ` 3,000 + 30% of the amount by which the
total income exceeds ` 20,000.
Surcharge: 10% of the Income Tax, where total taxable income is more than ` 1 crore.
Education Cess: 3% of the total of Income Tax and Surcharge.
(e) Firm: The rate of Income-tax charged on firm is 30% of total income. Surcharge is
paid at 10% of the Income Tax, where total taxable income is more than ` 1 crore.
Education Cess @ 3% of the total of Income Tax and Surcharge will also be charged.
(f) Local Authority: For local authority the Income-tax rate is 30% of total income.
Surcharge is 10% of the Income Tax, where total taxable income is more than ` 1
crore and Education Cess is 3% of the total of Income Tax and Surcharge.

(g) Domestic Company: Income-tax is 30% of total income. In respect to surcharge 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 5% of such income tax, provided that the total income exceeds
` 1 crore.

At the rate of 10% of such income tax, provided that the total income exceeds
` 10 crore.
The Education Cess will be charged @ 3% of the total of Income Tax and Surcharge.
(h) Company other than a Domestic Company: The taxation rate surcharge and education
cess levied on company other than domestic company can be stated as:
(i) Income-tax: It is chargeable @ 50% of on so much of the total income as consist
of (a) royalties received from Government or an Indian concern in pursuance
of an agreement made by it with the Government or the Indian concern after
the 31st day of March, 1961 but before the 1st day of April, 1976; or (b) fees for
rendering technical services received from Government or an Indian concern
in pursuance of an agreement made by it with the Government or the Indian
concern after the 29th day of February, 1964 but before the 1st day of April,
1976, and where such agreement has, in either case, been approved by the
Central Government. @ 40% of the balance.

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