Income Tax Rates in India

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India Tax Latest News And Updates

Income tax return can now be verified electronically
July 15, 2015 10:23 AM
In a move to facilitate taxpayers through e-enabled services, the finance ministry on Tuesday said the income tax return for assessment year 2015-16 can now be verified electronically. "A taxpayer may verify his return through internet banking or through the Aadhar-based authentication process," it said in a statement. "Persons using this facility will not be required to submit a signed paper copy of ITR-Verification form (ITR-V) to CPC Bengaluru," it added. For the convenience of small taxpayers having total income of Rs.500,000 or below without any claim of refund, the facility of generating the electronic verification code (EVC) has also been provided on the e-filing website of the department. Source: IANS
New income tax return forms to be modified: Jaitley
May 13, 2015 10:11 AM
The government has decided to modify the new Income Tax Return (ITR) forms following concerns raised over them last month, Finance Minister Arun Jaitley told parliament on Tuesday. "The government has received representation on the new return forms notified on April 15, 2015 and taking into account concerns raised, the government has decided to modify the return forms," Jaitley told the Rajya Sabha in a written reply. The Central Board of Direct Taxes had notified new norms and the attendant forms that, among other issues, requires an assessee to furnish all bank details, accounts opened or closed in the year with the closing balance, as also the sources of funds for expenses in an overseas travel. Source: IANS

Income Tax Rate is the vital part of the income tax as charged by the Indian government on taxable incomes of the individuals, companies, co-operative societies, firms, trusts and any other artificial person.

The income tax, which is calculated on the basis of India income tax rate, is levied on each of the individual person and is governed by the Indian Income Tax Act. 1961. It is the Ministry of Finance along with the Government of India, which determines the India income tax rate.

New Income Tax Rates

Individuals and Body of Individual or Association of person

The new India Income Tax Rates announced by Finance Minister of India for individuals and Body of Individual or Association of person while presenting the Union Budget 2015-16 in the parliament are listed below:

Taxable incomeTax Rate
Up to Rs. 2,50,000Nil
Rs. 2,50,000 to Rs. 5,00,00010.00%
Rs. 5,00,000 to Rs. 10,00,00020.00%
Above Rs. 10,00,00030.00%


In case of a resident senior citizen (who is 60 years or more but less than 80 years)

Taxable incomeTax Rate
Up to Rs. 3,00,000Nil
Rs. 3,00,000 - Rs. 5,00,00010.00%
Rs. 5,00,000 - Rs. 10,00,00020.00%
Above Rs. 10,00,00030.00%


In case of a resident super senior citizen (who is 80 years or more)

Taxable incomeTax Rate
Up to Rs. 5,00,000Nil
Rs. 5,00,000 - Rs. 10,00,00020.00%
Above Rs. 10,00,00030.00%

Partnership Firm

30% tax is levied on partnership firms for financial year 2015-16

Local Authority

For the assessment year 2015-16, a local authority is taxable at 30%.

Domestic Company

For the assessment Year 2015-16, a domestic company is taxable at 30%.

Foreign Company

Nature of IncomeTax Rate
Royalty received from Government or an Indian concern in pursuance of an agreement made with the Indian concern after March 31, 1961, but before April 1, 1976, or fees for rendering technical services in pursuance of an agreement made after February 29, 1964 but before April 1, 1976 and where such agreement has, in either case, been approved by the Central Government50.00%
Any other income40.00%


Cooperative Society

The new India Income Tax Rates announced by Finance Minister of India for Co-operative Society while presenting the Union Budget 2015-16 in the parliament are listed below :

Taxable incomeTax Rate
Up to Rs. 10,00010.00%
Rs. 10,000 to Rs. 20,00020.00%
Above Rs. 20,00030.00%


Income Tax Calculator