The income tax is calculated differently for individuals based on various factors such as the type of income, amount of income, age, etc. In order to calculate the income tax from salary, an individual will require declaring the total amount of earning and the total amount of deductions. The government allows the individual to draw exemption on particular types of investment.
For salaried individuals, no changes have been made to the income tax rates proposed in 2017. However, the 3% Education Cess from the previous year has been replaced with a 4% “Health and Education Cess”.
Furthermore, a standard deduction of Rs 40,000 has been introduced for all salaried individuals for transportation or medical reimbursement purposes.
For Income Tax slabs/rates for the Individuals for Financial Year 2017-18(AY 2018-19) Click the Link:https://svsaibaba.blogspot.in/2017/05/income-tax-for-individuals-for-annual.html
Income Tax slabs/rates for the Individuals for Financial Year 2018-19(AY 2019-20) are given below:
Individual resident aged below 60 years
|Income Slabs||Tax Rates|
|i.||Where the taxable income does not exceed ₹ 2,50,000/-.||NIL|
|ii.||Where the taxable income exceeds ₹ 2,50,000/- but does not exceed ₹ 5,00,000/-.||5% of amount by which the taxable income exceeds ₹ 2,50,000/-.|
- In case of tax payers, having total income not increasing ₹ 3,50,000/-, income tax chargeable on the income or ₹ 2,500/-, whichever is less.
|iii.||Where the taxable income exceeds ₹ 5,00,000/- but does not exceed ₹ 10,00,000/-.||₹ 12,500/- + 20% of the amount by which the taxable income exceeds ₹ 5,00,000/-.|
|iv.||Where the taxable income exceeds ₹ 10,00,000/-.||₹ 112,500/- + 30% of the amount by which the taxable income exceeds ₹ 10,00,000/-.|