The following INCOME TAX RATES ARE applicable for the Financial Year ending March 31, 2015 (Financial Year 2014-15)-Assessment Year (2015-16):
Every year the income tax rates are changed and it is important to get the latest income tax rates. We give below the Income Tax Rates and Slabs applicable for the FY 2014-15 or AY 2015-16.
The education cess to continue at 3 percent.* A tax rebate of Rs 2,000 from tax calculated will be available for people having an annual income upto Rs 5 lakh. However, this benefit of Rs2,000 tax credit will not be available if you cross the income range of Rs 5 lakh. Thus we can say that tax payable in 10% slab will be maximum Rs28,000 (taking into account Rs 2000 tax credit), but for people who fall in income range of Rs5 lakh and above, the tax will be Rs30,000 + 20% tax on income above Rs 5 lakh;
** Surcharge of 10% will be payable, if income is above Rs 1 crore
Some Changes effected from the FY 2014-15 (AY 2015-16)
- Investment limit under section 80C of the Income-Tax Act raised from Rs.1 lakh to Rs. 1.5 lakh.