INCOME TAX SLAB FOR FY 2013-14 OR AY 2014-15 – Budget 2013

▪      No change in the basic exemption limit, slab or rate of tax in respect of individuals and HUF. However, it is proposed to provide a rebate up to Rs. 2,000 to individuals having income up to Rs. 5 lacs. Effectively, there will be no tax liability on income up to Rs. 2,20,000.

▪      Surcharge @ 10% is proposed to be levied on “super rich” category of tax payers i.e. individuals having income of more than Rs 1 crore.

Taxable Income Male (Below 60 Years) Female (Below 60 years)     Senior Citizen     (60-80 years ) Senior Citizen (Above 80 years) Basic Exemption Rs. 2,20,000 Rs. 2,20,000 Rs. 2,50,000 Rs. 5,00,000 Rs. 2,20,001 to Rs. 5,00,000 10% over  Rs. 2,20,000 10% over  Rs. 2,20,000 10 % over  Rs. 2.5 lacs NIL Rs. 5,00,001 to Rs. 10,00,000 Rs. 28000 +  20 % over Rs. 5lacs Rs. 28000 + 20 % over Rs. 5lacs Rs. 25,000 +  20% over Rs. 5 lacs 20 % over Rs. 5 lacs Over Rs. 10,00,000 Rs. 1,28,000 + 30 % over Rs. 10 lacs Rs. 1,28,000 + 30 % over Rs. 10 lacs Rs. 1,25,000 + 30 % over Rs. 10 lacs Rs. 1,00,000 + 30%    over Rs. 10 Lacs.   Education cess @ 2 % and Higher Education cess 1% will be in addition to above.

§  No change in tax rate has been proposed for companies. The tax rate will remain at 30% for domestic companies and 40% in case of other companies. No change in the basic rate of tax under MAT.

§  There is no change in the surcharge on the companies up to income of Rs. 10 crores. In case of income above Rs. 10 crores, the surcharge is proposed to be revised to 10% (existing 5%) in case of domestic companies and 5% (existing 2%) in case of other companies.

§  In case of dividend distribution tax, the surcharge is proposed @ 10%.

§  Tax rate in case of non resident tax payers in respect of income by way of royalty or fees for technical services under an agreement entered after 31.03.1976 is proposed to be increased to 25% w.e.f. A Y 2014-15.

§  15% tax rate on dividends received from foreign companies, where the shareholding is 26% or more, is proposed to be extended for one more year.

§  With effect from 1^st June 2013, tax is proposed to be deducted at source @ 1% by the buyer of immovable property (other than agricultural land) if the consideration payable to resident seller exceeds Rs 50 lacs

INCOME TAX SLAB FOR FY 2012-13 OR AY 2013-14