Income Tax Slabs & Rates for Assessment Year 2016-17

Knowing tax rates will help to invest proper to save tax and save money. Here it is listed for your help. Check your taxable limits and tax exemption limits. Income Tax Slabs & Rates for Assessment Year 2016-17 pertaining to F. Y. 2015-16.

I. Individual resident aged below 60 years(i.e. born on or after 1st April 1956)

Income Tax :

	Income Slabs		Tax Rates
1	Where the taxable income does not exceed Rs. 2,50,000/-.		NIL
2	Where the taxable income exceeds Rs. 2,50,000/- but does not exceed Rs. 5,00,000/-.		10% of amount by which the taxable income exceeds Rs. 2,50,000/-. Less ( in case of Resident Individuals only ) : Tax Credit u/s 87A – 10% of taxable income upto a maximum of Rs. 2000/-.
3	Where the taxable income exceeds Rs. 5,00,000/- but does not exceed Rs. 10,00,000/-.		Rs. 25,000/- + 20% of the amount by which the taxable income exceeds Rs. 5,00,000/-.
4	Where the taxable income exceeds Rs. 10,00,000/-.		Rs. 125,000/- + 30% of the amount by which the taxable income exceeds Rs. 10,00,000/-.

Surcharge : 12% of the Income Tax, where taxable income is more than Rs. 1 crore.

Education Cess : 3% of the total of Income Tax and Surcharge

II Senior Citizen(Individual resident who is of the age of 60 years or more but below the age of 80 years at any time during the previous year i.e. born on or after 1st April 1936 but before 1st April 1956)

Income Tax :

	Income Slabs		Tax Rates
1	Where the taxable income does not exceed Rs. 3,00,000/-.		NIL
2	Where the taxable income exceeds Rs. 3,00,000/- but does not exceed Rs. 5,00,000/-		10% of the amount by which the taxable income exceeds Rs. 3,00,000/-. Less : Tax Credit u/s 87A – 10% of taxable income upto a maximum of Rs. 2000/-.
3	Where the taxable income exceeds Rs. 5,00,000/- but does not exceed Rs. 10,00,000/-		Rs. 20,000/- + 20% of the amount by which the taxable income exceeds Rs. 5,00,000/-.
4	Where the taxable income exceeds Rs. 10,00,000/-		Rs. 120,000/- + 30% of the amount by which the taxable income exceeds Rs. 10,00,000/-.

Surcharge : 12% of the Income Tax, where taxable income is more than Rs. 1 crore.

Education Cess : 3% of the total of Income Tax and Surcharge.

III. Super Senior Citizen(Individual resident who is of the age of 80 years or more at any time during the previous year i.e. born before 1st April 1936)

Income Tax :

	Income Slabs		Tax Rates
	Where the taxable income does not exceed Rs. 5,00,000/-.		NIL
	Where the taxable income exceeds Rs. 5,00,000/- but does not exceed Rs. 10,00,000/-		20% of the amount by which the taxable income exceeds Rs. 5,00,000/-.
	Where the taxable income exceeds Rs. 10,00,000/-		Rs. 100,000/- + 30% of the amount by which the taxable income exceeds Rs. 10,00,000/-.

Surcharge : 12% of the Income Tax, where taxable income is more than Rs. 1 crore.

Education Cess : 3% of the total of Income Tax and Surcharge.

IV. Any NRI or HUF or AOP or BOI or AJP

Income Tax :

Income Slabs			Tax Rates
i.	Where the taxable income does not exceed Rs. 2,50,000/-.		NIL
ii.	Where the taxable income exceeds Rs. 2,50,000/- but does not exceed Rs. 5,00,000/-.		10% of amount by which the taxable income exceeds Rs. 2,50,000/-.
iii.	Where the taxable income exceeds Rs. 5,00,000/- but does not exceed Rs. 10,00,000/-.		Rs. 25,000/- + 20% of the amount by which the taxable income exceeds Rs. 5,00,000/-.
iv.	Where the taxable income exceeds Rs. 10,00,000/-.		Rs. 125,000/- + 30% of the amount by which the taxable income exceeds Rs. 10,00,000/-.

Surcharge : 10% of the Income Tax, where taxable income is more than 

Rs. 1 crore.

Education Cess : 3% of the total of Income Tax and Surcharge.

V. Co-operative Society

Income Tax :

Income Slabs			Tax Rates
i.	Where the taxable income does not exceed Rs. 10,000/-.		10% of the income.
ii.	Where the taxable income exceeds Rs. 10,000/- but does not exceed Rs. 20,000/-.		Rs. 1,000/- + 20% of income in excess of Rs. 10,000/-.
iii.	Where the taxable income exceeds Rs. 20,000/-		Rs. 3.000/- + 30% of the amount by which the taxable income exceeds Rs. 20,000/-.

Surcharge : 12% of the Income Tax, where taxable income is more than 

Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of the total of Income Tax and Surcharge.

VI. Firm : 

Income Tax : 30% of taxable income.

Surcharge : 12% of the Income Tax, where taxable income is more than 

Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of the total of Income Tax and Surcharge.

VII. Local Authority :

Income Tax : 30% of taxable income.

Surcharge : 10% of the Income Tax, where taxable income is more than 

Rs. 1 crore.  (Marginal Relief in Surcharge, if applicable)

Education Cess : 3% of the total of Income Tax and Surcharge.

VIII. Domestic Company :

Income Tax : 30% of taxable income.

Surcharge : The amount of income tax as computed in accordance with above rates, and after being reduced by the amount of tax rebate shall be increased by a surcharge

• At the rate of 7% of such income tax, provided that the taxable income exceeds Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)
• At the rate of 12% of such income tax, provided that the taxable income exceeds Rs. 10 crores.

Education Cess : 3% of the total of Income Tax and Surcharge.

IX. Company other than a Domestic Company (Foreign Company 

Income Tax :

• @ 50% of on so much of the taxable income as consist of (a) royalties received from Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 31st day of March, 1961 but before the 1st day of April, 1976; or (b) fees for rendering technical services received from Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 29th day of February, 1964 but before the 1st day of April, 1976, and where such agreement has, in either case, been approved by the Central Government.
• @ 40% of the balance

Surcharge :

The amount of income tax as computed in accordance with above rates, and after being reduced by the amount of tax rebate shall be increased by a surcharge as under

• At the rate of 2% of such income tax, provided that the taxable income exceeds Rs. 1 crore. (Marginal Relief in Surcharge, if applicable)
• At the rate of 5% of such income tax, provided that the taxable income exceeds Rs. 10 crores.

Education Cess : 3% of the total of Income Tax and Surcharge.

Marginal Relief in Surcharge

When an assessee’s taxable income exceeds Rs. 1 crore, he is liable to pay Surcharge at prescribed rates mentioned above on Income Tax payable by him. However, the amount of Income Tax and Surcharge shall not increase the amount of income tax payable on a taxable income of Rs. 1 crore by more than the amount of increase in.

Example In case of an individual assessee (< 60 years) having taxable income of 
Rs. 1,00,01,000/-

1.	Income Tax	Rs. 28,25,300
2.	Surcharge @12% of Income Tax	Rs. 3,39,036
3.	Income Tax on income of  Rs. 1 crore	Rs. 28,25,000
4.	Maximum Surcharge payable (Income over Rs. 1 crore less  income tax on income over  Rs. 1 crore)	Rs. 700/- (1000 – 300)
5.	Income Tax + Surcharge payable	Rs. 28,26,000
6.	Marginal Relief in Surcharge	Rs. 3,38,336/-     (339036 – 700)

Suggestion : Kindly refer Income Tax website for more info. 

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Why Do You Need Health Insurance Policy !!!

Rising health care costs are punching a big hole in our pocket & savings. Just paying a small insurance premium are the best solution for the future (if any) financial losses. So, just avail health insurance policy to save from financial problem from worries of hospitalization.

BENEFIT OF HEALTH INSURANCE POLICY.

Do you believe that you never need health insurance policy because you are fit & fine ?

Do you believe that only benefit of health insurance policy is reimbursement of expenses in the event of hospitalization !!!

With health insurance policies you can avail benefit of CASHLESS HEALTH INSURANCE and also you can save tax U/s.80D under given limit.

With growing ages your health and income may come down and you can face problem with them. For every senior citizen health insurance policy with life time renewal facility is the best option. 

SOME OTHER BENEFIT:

Some health insurance plans offer a daily lumsum amount of compensation against your daily expenses for each of hospitalization apart from your medical bill i.e. DAILY CASH BENEFIT. No records or proof require for this. This amount amount is predefined with the policy term & condition.

The fixed pre-defined benefit type of medical insurance policies provides a fixed lump sum payment upon diagnosis and confirmation of certain critical illnesses like cancer, stroke, paralysis, kidney failure etc. Irrespective of the actual amount spent by the insured, he or she receives the lump sum amount which can be used to fund rehabilitation or on lifestyle adjustment, etc.


Health care system in India has evolved with preventive health check-ups and improved diagnostics. Certain progressive insurance companies offer benefits that are generally not associated with the health insurance policies. Some such benefits are :
**Free Consultation with the doctors
** Free health check-ups etc.

TAX BENEFIT FOR TAX PAYERS:

As per Budget 2015 tax benefit of Rs.25,000/- given U/s 80D for Medical Insurance Premium Paid.

An additional amount of Rs.30,000/- is available for premium paid for senior citizen.

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