Income Tax Slab for FY 2019-20 vs FY 2018-19

Income Tax Update : Budget 2019-20

• Nil tax on income upto Rs. 5 Lakhs.
• The exemption limit of Rs. 5 lakh combined with deductions on savings available under Sector 80 will mean that people earning Rs 6.5 lakh may not be required to pay any Income Tax.
• Standard Deduction of Rs. 50,000 has been allowed for salaried taxpayers.
• TDS threshold on rental income raised to Rs. 2.4 Lakhs from Rs.1.8 Lakhs.
• TDS threshold on interest on bank and post office deposits raised to Rs. 40,000 from Rs. 10,000.

Income tax slab for individual male and female tax payers of age less than 60 years and HUF FY 2018-19

Income range per annum	Tax Rate FY 2018-19, AY 2019-20	Tax Rate FY 2017-18, AY 2018-19
Up to Rs. 2.5 lakhs	No Tax	No Tax
Above Rs. 2.5 lakhs to Rs. 5 lakhs	5% + 4% cess	5% + 3% cess
Above Rs. 5 lakhs to Rs. 10 lakhs	20% + 4% cess	20% + 3% cess
Above Rs. 10 lakhs to Rs. 50 lakhs	30% + 4% cess	30% + 3% cess
Above Rs. 50 lakhs to Rs. 1 crore	30% + 10% surcharge + 4% cess	30% + 10% surcharge + 3% cess
Above Rs. 1 crore	30% +15% surcharge + 4% cess	30% +15% surcharge + 3% cess
Rebate under section 87(A)	100% tax rebate subject to maximum of Rs. 2,500 available to resident individual whose total income does not exceed Rs. 3.5 lakhs	100% tax rebate subject to maximum of Rs. 2,500 available to resident individual whose total income does not exceed Rs. 3.5 lakhs

Income tax slabs for senior citizens including both male and female taxpayers of age more than 60 years but less than 80 years FY 2018-19

Income range per annum	Tax Rate FY2018-19, AY 2019-20	Tax Rate FY2017-18, AY 2018-19
Up to Rs. 3 lakhs	No Tax	No Tax
Above Rs. 3 lakh to Rs. 5 lakhs	5% + 4% cess	5% + 3% cess
Above Rs. 5 lakhs to Rs. 10 lakhs	20% + 4% cess	20% + 3% cess
Above Rs. 10 lakhs to Rs. 50 lakhs	30% + 4% cess	30% + 3% cess
Above Rs. 50 lakhs to Rs. 1 crore	30% + 10% surcharge + 4% cess	30% + 10% surcharge + 3% cess
Above Rs. 1 crore	30% +15% surcharge + 4% cess	30% +15% surcharge + 3% cess
Rebate under section 87(A)	100% tax rebate subject to maximum of Rs. 2,500 available to resident individual whose total income does not exceed Rs. 3.5 lakhs	100% tax rebate subject to maximum of Rs. 2,500 available to resident individual whose total income does not exceed Rs. 3.5 lakhs

Income tax slab for super senior citizen including both male and female taxpayers of age more than 80 years FY 2018-19

Income range per annum	Tax Rate FY 2018-19, AY 2019-20	Tax Rate FY 2017-18, AY 2018-19
Up to Rs. 2.5 lakhs per annum	No Tax	No Tax
Up to Rs. 5 lakhs per annum	No Tax	No Tax
Above Rs. 5 lakhs to Rs. 10 lakhs	20% + 4% cess	20% + 3% cess
Above Rs. 10 lakhs to Rs. 50 lakhs	30% + 4% cess	30% + 3% cess
Above Rs. 50 lakhs to Rs. 1 crore	30% + 10% surcharge + 4% cess	30% + 10% surcharge + 3% cess
Above Rs. 1 crore	30% +15% surcharge + 4% cess	30% +15% surcharge + 3% cess

Tax slabs for Firms and Domestic Companies FY 2018-19

Tax Head	Firms	Domestic Companies
Income Tax for turnover upto Rs. 50 crores	30%	25%
Income Tax for turnover above Rs. 50 crores	30%	30%
Surcharge as % of income tax	12% of tax in case the total income exceeds Rs. 1 crore	7% of tax in case income is more than Rs. 1 crore but less than Rs. 10 crore. 10% of tax in case income is more than Rs. 10 crore.
Cess as % of tax and surcharge	3% of tax plus surcharge	3% of tax plus surcharge

The above table highlights the latest tax slabs for the firms and domestic companies. The tax treatment in both the cases differs from the tax treatment of individuals and HUFs.