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Income Tax Slab for FY 2020-21 (AY 2021-22)

Income Tax Slab for Resident Individuals aged less than 60 Years(Both Male & Female)

Budget 2020 has given the individuals options to choose from FY 2020-21 onwards. Either opt for the same tax rates which were applicable last year or the new tax regime.

OPTION 1 OPTION 2
Old Income Tax Slab New Tax Regime
Upto Rs 2,50,000 NIL Upto Rs 2,50,000 NIL
Rs 2,50,001 – Rs 5,00,000 5% Rs 2,50,001 – Rs 5,00,000 5%
Rs 5,00,001 – Rs 10,00,000 20% Rs 5,00,001 – Rs 7,50,000 10%
Rs 7,50,001 – Rs 10,00,000 15%
Above Rs 10,00,000 30% Rs 10,00,001 – Rs 12,50,000 20%
Rs 12,50,001 – Rs 15,00,000 25%
Above Rs 15,00,000 30%

Both these tax rates will apply for FY 2020-21 (AY 2021-22), the option to choose has been given to the taxpayer.

Income Tax Rates for Individuals more than or equal to 60 years but less than 80 years known as Senior Citizens (Both Male& Female)

The resident senior citizens will have an option to choose an income tax slab for the FY 2020-21(AY 2021-22) amongst

OPTION 1 OPTION 2
Old Income Tax Slab New Tax Regime
Upto Rs 3,00,000 NIL Upto Rs 2,50,000 NIL
Rs 3,00,001 – Rs 5,00,000 5% Rs 2,50,001 – Rs 5,00,000 5%
Rs 5,00,001 – Rs 10,00,000 20% Rs 5,00,001 – Rs 7,50,000 10%
Rs 7,50,001 – Rs 10,00,000 15%
Above Rs 10,00,000 30% Rs 10,00,001 – Rs 12,50,000 20%
Rs 12,50,001 – Rs 15,00,000 25%
Above Rs 15,00,000 30%

Income Tax Rates for Individuals more than or equal to 80 years known as Super Senior Citizens (Both Male and Female)

The resident super senior citizens will have an option to choose an income tax slab for the FY 2020-21(AY 2021-22) amongst

OPTION 1 OPTION 2
Old Income Tax Slab New Tax Regime
Upto Rs 5,00,000 NIL Upto Rs 2,50,000 NIL
Rs 2,50,001 – Rs 5,00,000 5%
Rs 5,00,001 – Rs 10,00,000 20% Rs 5,00,001 – Rs 7,50,000 10%
Rs 7,50,001 – Rs 10,00,000 15%
Above Rs 10,00,000 30% Rs 10,00,001 – Rs 12,50,000 20%
Rs 12,50,001 – Rs 15,00,000 25%
Above Rs 15,00,000 30%

Income Tax Rates for Non-Resident Individuals (For Male & Female both)

The non-resident will have an option to choose an income tax slab for the FY 2020-21(AY 2021-22) amongst

Also read: Taxability of Income from House Property in case of Non-Resident Individual

OPTION 1 OPTION 2
Old Income Tax Slab New Tax Regime
Upto Rs 2,50,000 NIL Upto Rs 2,50,000 NIL
Rs 2,50,001 – Rs 5,00,000 5% Rs 2,50,001 – Rs 5,00,000 5%
Rs 5,00,001 – Rs 10,00,000 20% Rs 5,00,001 – Rs 7,50,000 10%
Rs 7,50,001 – Rs 10,00,000 15%
Above Rs 10,00,000 30% Rs 10,00,001 – Rs 12,50,000 20%
Rs 12,50,001 – Rs 15,00,000 25%
Above Rs 15,00,000 30%

Income Tax Rates for Hindu Undivided Family (HUF)

The Hindu Undivided Family (HUF) will have an option to choose an income tax slab for the FY 2020-21(AY 2021-22) amongst

OPTION 1

OPTION 2

Old Income Tax Slab

New Tax Regime

Upto Rs 2,50,000

NIL

Upto Rs 2,50,000

NIL

Rs 2,50,001 – Rs 5,00,000

5%

Rs 2,50,001 – Rs 5,00,000

5%

Rs 5,00,001 – Rs 10,00,000

20%

Rs 5,00,001 – Rs 7,50,000

10%

Rs 7,50,001 – Rs 10,00,000

15%

Above Rs 10,00,000

30%

Rs 10,00,001 – Rs 12,50,000

20%

Rs 12,50,001 – Rs 15,00,000

25%

Above Rs 15,00,000

30%

Income Tax Rates for AOP, BOI, Artificial Juridical Person

There has been no change in the income tax slab limits for FY 2020-21 in the case of AOP, BOI, Artificial Juridical Person as compared to last year(FY 2019-20).

Net Taxable Income Tax Rate
Up to Rs 2,50,000 NIL
Rs 2,50,001 – Rs 5,00,000 5%
Rs 5,00,001 – Rs 10,00,000 20%
 

Income Tax Rates for Co-operative Society

The Co-operative Society will have an option to choose an income tax slab for the FY 2020-21(AY 2021-22) amongst

OPTION 1 OPTION 2
Old Income Tax Slab New Tax Regime
Up to Rs 10,000 10% Under the new income tax regime made applicable via Budget 2020 resident Co-operative Society will have an option to choose a reduced rate of tax @ 22% under section 115BAD and shall not be allowed to avail certain specified exemptions/deductions. 
Rs 10,001 – Rs 20,000 20%
Above Rs 20,000 30%

Income Tax Rates for Indian Company

  • Companies with gross receipts of more than Rs. 400 crore

Tax would be levied @30% + 4% Cess + Surcharge at applicable rates.

  • Companies with gross receipts up to Rs. 400 crore

Tax would be levied @25% + 4% Cess + Surcharge at applicable rates.

Note: The domestic companies can alternatively choose to pay tax under the following reduced rates

    • Section 115BAA (domestic companies) – tax would be levied @22% + 4% Cess + 10% Surcharge
    • Section 115BAB (manufacturing companies)- tax would be levied @15% + 4% Cess + 10% Surcharge
    • A Manufacturing generating company can now opt for Section 115BAB as proposed by the Budget 2020
    • Certain exemptions and deductions + provisions of MAT (Minimum Alternate Tax) will not be applicable in case of these reduced rates

Income Tax Rates for Foreign Company

  • In case of Royalty received from govt/Indian concern or technical fees as per agreement approved by the Central Government

Tax would be levied @50% + 4% Cess + Surcharge at applicable rates.

  • Any other Income
    Tax would be levied @40% + 4% Cess + Surcharge at applicable rates.

Notes:

  • There is no change introduced in the OLD and NEW tax regime in
    • Rates of Surcharge
    • Health & Education Cess @4%
    • Rebate u/s 87A ( no tax will be payable on total income up to Rs.5 lakh in both regimes)
  • Certain income tax exemptions and deductions like section 80C, 80D, HRA, etc will not be available under the new tax regime.
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TaxClue Teamhttp://taxclue.in
Taxclue is an online news portal for reporting all news, articles, judgments, Circulars, orders, and notifications relating to various corporate and tax laws in India. We use the tagline ‘Simplifying Laws’. Our mission is to Simplify the Laws and make people aware of their rights and duties in relation to tax matters in order to equip them to participate in nation-building.

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