• Mar
  • 29
  • 2010

Tax rate of Income Tax, Dividend Distribution, STT, Wealth, MAT & Special Income – A.Y. 2011-12

Posted In Income Tax | , | 11 Comments » Print Friendly and PDF

In respect of rates of tax, the following changes have been proposed in the Finance Bill, 2010:

  • Basic exemption limit remains the same. The slab for 10% tax has been revised to Rs. 5,00,000/- from the existing Rs. 3,00,000/- in case of Individuals, HUFs, AOPs and BOIs.
  • Surcharge of 10% applicable to domestic companies has been reduced to 7.5%. There is no change in the rate of surcharge of 2.5% in case of foreign companies.
  • There is no change in tax rates of Firms, Domestic Companies, Companies other than Domestic Companies and Co-operative Societies.
  • There is no change in rates of Educational Cess, Secondary & Higher Secondary Cess and its applicability.
  • Rate of Minimum Alternate Tax in case of Companies is proposed to be increased from 15% (effective 16.995% with surcharge and cess) to 18% (effective 19.9305% with surcharge and cess).
  • Rate of Dividend Distribution Tax remains same.
  • Rates of Securities Transaction Tax and its applicability remains the same.
  • There is no change in the threshold limit and rate of wealth tax.
  • Threshold limits in case of various provisions of Tax Deduction at Source have been changed.

The proposed income tax rates (including surcharge, Education Cess and Secondary and Higher Secondary Cess) for the A.Y. 2011-12 have been given in Table 1 in the Annexure for ready reference. These income tax rates are applicable on any income earned during the period from 1st April 2010 to 31st March 2011.

The rates of Dividend Distribution Tax, Securities Transaction Tax & Wealth Tax are given in Table 2 in the Annexure.

The rates of Wealth tax is contained in Table 3 in the Annexure.

TABLE – 1

Particulars Threshold
limit for
Surcharge
Tax Rates
Without Surcharge With
Surcharge
Individual, HUF, AOP & BOI NIL
Upto Rs. 160000 Nil N.A.
Rs. 160001 to Rs. 190000 * 10.30% N.A.
Rs. 190001 to Rs. 240000 ** 10.30% N.A.
Rs. 240001 to Rs. 500000 10.30% N.A.
Rs. 500001 to Rs. 800000 20.60% N.A.
Rs. 800001 onwards 30.90% N.A.
* “Nil” tax rate in case assessee is resident Senior Citizen or resident Women below age of 65 years
** “Nil” tax rate in case assessee is resident Senior Citizen
Partnership Firm NIL 30.90% N.A.
Domestic Company 1,00,00,000 30.90% 33.22%
Company other than Domestic Company 1,00,00,000 41.20% 42.23%
Local Authority NIL 30.90% N.A.
Co-operative Society NIL
Upto Rs. 10000 10.30% N.A.
Rs. 10001 to Rs. 20000 20.60% N.A.
Rs. 20001 onwards 30.90% N.A.
Minimum Alternate Tax
Domestic Company 1,00,00,000 18.54% 19.93%
Company other than Domestic Company 1,00,00,000 18.54% 19.00%
STCG on Listed Securities
Individual, HUF,AOP & BOI NIL 15.45% N.A.
Partnership Firm NIL 15.45% N.A.
Domestic Companies 1,00,00,000 15.45% 16.61%
Company other than Domestic Company 1,00,00,000 15.45% 15.84%
STCG on assets other than listed securities
Individual, HUF,AOP & BOI NIL As per slab As per slab
Partnership Firm NIL 30.90% N.A.
Domestic Companies 1,00,00,000 30.90% 33.22%
Company other than Domestic Company 1,00,00,000 41.20% 42.23%
LTCG on assets other than Listed Securities
Individual, HUF,AOP & BOI NIL 20.60% N.A.
Partnership Firm NIL 20.60% N.A.
Domestic Companies 1,00,00,000 20.60% 22.15%
Company other than Domestic Company 1,00,00,000 20.60% 21.12%

TABLE – 2

Particulars Tax Rates
Dividend Distribution Tax
By Domestic Company 16.61%
By Money Market Mutual Fund or Liquid Fund 27.68%
By Other Mutual Funds- For income distributed to Individual / HUF 13.84%
- For income distributed to others 22.15%
Securities Transaction Tax
Delivery based purchased of an Equity Share in Company or a Unit of an Equity Oriented Fund 0.125%
Delivery based sale of an Equity Share in Company or a Unit of
Equity Oriented Fund 0.125%
Non-Delivery based sale of an Equity Share in Company or a Unit of
Equity Oriented Fund 0.025%
Derivatives (Future & Options) 0.017%
Sale of an option in securities where option is exercised 0.125%
Repurchase of Units of an Equity Oriented Fund 0.250%

TABLE – 3

Wealth Tax Threshold
limit
Tax Rate
For every individual, HUF and Company 30,00,000 1%


11 Responses to “Tax rate of Income Tax, Dividend Distribution, STT, Wealth, MAT & Special Income – A.Y. 2011-12”

  1. Surya says:

    The rate was 16.60875%

  2. Surya says:

    Darling ! the the dividend distribution tax rate will not vary from one co to another co ., It was a standard rate ..

  3. ajay says:

    At what rate dividend distribution tax should be paid by PVT.LTD COMPANY TO PAY DIVIDEND TO ITS SHARE HOLDER

  4. PREMA KUMAR says:

    Dividend tax rate for the financial year-2010-11.Is surcharge will applicable.Reply

  5. Adarsh S says:

    Sir pls sednd the tax rate of Rs:400000/-

  6. AJAY GARG says:

    IF I RECORD PROPOSED DIVIDEND AS ON 31.03.2010 THAN WHAT RATE OF SURCHARGE WILL BE APPLICABLE BECAUSE FINAL DIVIDEND WILL BE DECLARED AT THE TIME OF AGM DATED 30.09.2010.

    SO, MY QUERY IS THAT WHAT DIVIDEND DISTRIBUTION TAX RATE SHOULD I FOLLOW,

  7. bala says:

    sir

    i want to divident tax rates for rs.800000/-

  8. K.M.N.MURTHY says:

    If the total income (taxable income) of the Company is less than Rs. 100 lakhs, is surcharge of 7.50% applicable on distributed dividend?

  9. jb says:

    What does the additional STT on the following category mean exactly? is it a higher tax rate for short term repurchase or an ETF or MF? And, if so what is the short term period for which this applies?

    “Repurchase of Units of an Equity Oriented Fund”

  10. adib narang says:

    How much interest on Fixed Deposits is tax Free in India?

  11. Jignesh shah says:

    can u send me above table in excel at my email id

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