Section 87A of Income-tax Act, provide for a rebate of an amount equal to hundred per cent of such income-tax or an amount of Rs. 5000/- (Rs. 25,00 from A.y 2018-19), whichever is less, from the amount of income-tax to an individual resident in India whose total income does not exceed five hundred thousand rupees (3.5 lakhs wef A.y 2018-19) :-
A question which is coming in the mind of Taxpayers nowadays is do Rebate of income-tax under section 87A as available from FY 2013-14, also available for FY 2018-19, and subsequent years. One more question which comes to mind is amount of Rebate Available under section 87A, i.e is it Rs. 2000/- or Rs. 5000/- or Rs. 2,500/- for Financial Year 2018-19?
Relevant Articles-
We have made a Chart of Amount of Rebate U/s. 87A Available to individual resident in India whose total income does not exceed five hundred thousand rupees (3.5 lakhs wef A.y 2018-19) :-
REBATE AMOUNT UNDER SECTION 87A OF INCOME TAX ACT, 1961
| S. No. | Financial Year | Rebate Available |
| 1 | 2018-19 & Subsequent Years unless withdrawn | 2,500/- |
| 2 | 2017-18 | 2,500/- |
| 3 | 2016-17 | 5,000/- |
| 4 | 2015-16 | 2,000/- |
| 5 | 2014-15 | 2,000/- |
| 6 | 2013-14 | 2,000/- |
Finance Act 2013 has introduced the rebate U/s. 87A and in this section it has not restricted the exemption to any particular Financial or Assessment year and section been further amended by Finance Act 2017 to provide maximum deduction of Rs 2500 if the net income of resident individual does not exceeds Rs 3.5 Lacs.
In both the Act mentioned above Section 87A has not restricted the exemption to any particular Financial or Assessment year. So in our our view Rebate U/s. 87A is Available to Resident Individuals for A.Y. 2018-19/ A.Y 2019-20 , whose total income does not exceed 3.5 Lakh rupees in Financial Year 2017-18 & 2018-19 Further rebate u/s. 87A is also available for all the years succeeding to A.Y. 2019-20 on compliance of conditions unless specifically withdrawn.
Key Points
- Rebate under section 87A is available only to Resident individuals and not available to Non Residents.
- Rebate under section 87A available to both Male and Female assesses
- If the total tax payable by is less than Rs. 5000/- (Rs. 2,500/- from F.Y. 2017-18), rebate u/s. 87A is restricted to “total tax payable”.
- Rebate u/s. 87A is allowed before levy of Health and Education Cess & Surcharge.
- Rebate benefit is available to all category of Individuals but not to super senior citizen, since he is already fully exempted up to Rs. 5 lakh.
- Above amendment does not mean that basic Exemption Limit has been raised.
Extract of Section 87A is as follows :-
Rebate u/s. 87A of income-tax in case of certain individuals.
Rebate of income-tax in case of certain individuals.
87A. An assessee, being an individual resident in India, whose total income does not exceed [three hundred fifty thousand] rupees, shall be entitled to a deduction, from the amount of income-tax (as computed before allowing the deductions under this Chapter) on his total income with which he is chargeable for any assessment year, of an amount equal to hundred per cent of such income-tax or an amount of [two thousand and five hundred] rupees, whichever is less.
(Compiled by Taxguru Team- Republished with Amendments)
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pls let me know …………. my gross annual salary is 478328 i have viA/80c of rs.150000 and what is my taxable income ? can i have tax credit of rs.2000 or 5000 for 87A ? –
I have gross income 629000 and total taxable income 457165 I have GPF contribution for Rs 150000 can I claim rebate under section 87A
I am senior citizen having Rs395000/- annual pension.Besides it I have no income.My investment is Rs50000/-.As per new budget eligibility under section 87
my total income is Rs 395000/- and investment under section 80 cc are Rs 50000/- How kkuch tax I would have to pay?
I am senior citizen.
a
Sir, my taxable income for the f. Y. 2016-17 is 6 .2 lakh, whether I am eligible fore rebate of 5000/- under section 87A ?
Rebate of Rs 5000 is allowed under section 87A if total income is less than Rs 500000. Kindly clarify that here the income means the gross income or income after deductions
Sir, income for the yr is 334000 and a senior citizen what will be a the taxable income pls reply
what is the income limit for rebate under
87 A
net take home salary/gross for the fin.year/taxable income after rebates
sir
My query is if what is the permissible maximum rebate U/S 87 -A for financial year 2016-17 . And what is the INCOME CEILING for 87-A .Is it gross income of Rs 500000 or net income of Rs.500000 after deduction U/S 80-c etc. Please do reply
My total income for the current financial year is 3,70,000. How much tax I have to pay.
My gross annual salary is 515000, i have a via/80c of rs 150000 what is my taxeble income can i have tax credit of rs 2000/-OR 5000 for 87a pls mail.me
Pl
s my gross annual salary is 515000, i have a via/80c of rs 150000 what is my taxeble income can i have tax credit of rs 2000/- for 87a pls mail.me vriamt@gmail.com
My taxable income is 588640 I invest 150000 under 80c rule and37000 under 80ccd1 what is income tax I have to paid?
Can we Claim 5000/- under section 87A for the Financial year 2016-17 as my Taxable income is below five hundred thousands
A plot inherited by my mother was sold two months back and now with the amount we want to purchase a flat. Can I and my mother purchase the flat jointly? I want to keep her as second co-purchaser. Is it possible or there will be any tax implication?
Guide us so that the flat can be in my name directly without any tax implication to my mother due to sale of plot.
Looking forward to a speedy reply.
Hi,
i am doing business (partnership) and i filing income tax for my company every year and my business profit is below 5lakh…. for one partner…
while filling my individual income tax is applicable for rebate
can be deducted under 80C plus 5000 for 87A for fy 2016-17
Hello sir. actually there is difference in my 26AS form and FORM 16 on Gross income .. what should i have to rectify or crosscheck can u please explain it..
professional tax 2190 is deducted in TDS. is it refundable?
SIR AM A HUF CAN I CLIAM REBATE U/S 87A
sir can a huf cliam rebate as per IT?
Is 87 A available to HUF?
Hello, I am a salaried individual. I prepared and submitted my ITR for A.Y. 2016-17 online through my account. After putting in figures for salary and TDS deducted, total tax payable was Rs. 7590. I should have paid the tax first and then submitted the return by putting paid amount as self-assessed tax. However, by mistake, I submitted the return first and then paid the amount (but before e-verifying the return). After tax-payment through Challan 280, I e-verified the tax-return through my net banking. Now, the acknowledgement I have received still shows as ‘Tax Payable’ of Rs. 7590. I want to know if this would be considered as faulty return? If so, the remedy thereof.
my income is 550000 with saving under 80C around 200000, how much tax I need to pay. weather 150000 can be deducted under 80C plus 5000 for 87A for fy 2016-17
If after allowing the deductions the taxable salary comes Rs. 700000/ is he is entitled for tax rebate under section 87A
I I have gross income 600000 and have GPF contribution for Rs 150000 can I claim rebate under section 87A
Is the same available in case of belated return also?
Hello sir,
I want known that my taxable salary after deduction of chapter VIA is 254770.00
Now i confuse that TDS will b deductible on 4770 @ 10% or not.
Rebate 87A 2000/- after TDS or before…..??
Good Article.. OK.. I understood how 87A is calculated and other stuffs..
I have a serious question here-
How does this refund reaches me? Does employer need to add a section in Form 16 and provide me the LESS or Should I have to mention when filing my returns ( and get it as refund)? . So far, in my tax statement, I dont see this deduction even though I am eligible for 87A and as far I remember, I have never seen this section in Form 16 issued by my employer so far..
TIA..
Hi,
I work in a private sector. 25year Male. After all the detection, my total income is 260000. I know there is no tax if the total income is less that 2.5L. So am I applicable to 87C and will I get the Rebeat or I have to pay Rs.1000 as tax.
Got a confusion after reading the following in the Key points
If the total tax payable by is less than Rs. 2000/-, rebate is restricted to “total tax payable”.
If
the total tax payable by is less than Rs. 2000/-, rebate is restricted
to “total tax payable”. – See more at:
https://taxguru.in/income-tax/availability-rebate-87a-fy-201415-ay-201516.html#sthash.lM0iIORH.dpuf
My total income including arrears Rs.572710. Total income excluding arrears Rs. 460910. I have apportioned my arrears in respective financial year. And got relief under section 89(i) . Am i eligible for tax rebate u/s 87A of Rs. 2000/ as my total income related to this financial year is less than 5 lac.
dear sir/mam
i am a state govt. employee comes under CPS. if i include CPS contribution of Rs. 39,500/- from employer to my income, my gross income becomes Rs.5,03,833/-. after the deductions under 80 c , 80-D, 80- TTA and 80-CCD(1B) my taxable income becomes 3,25820 may i avail the deduction of Rs.2000/- u/s 87 A. and what amount of tax i have to pay for FY 2015-16.
Hi,
Under which condition rebate of 2K is given…? is it for below 5 Lac income…?
suppose I am exceeding 10% slab by not providing document while employer taxation & I submit document while filing & come under 10% slab..in this case is govt will refund amount with rebate…?
My total salary and other income( FD Interest) comes Rs.5,20,000/- after all deductions 80c, 80d my total income comes Rs.3,00,000/- . My taxable income is Rs.50,000/( Rs.3lakhs- Rs.2.5 lakhs). Can I deducte Rs.2,000/- under section 87 a
NO
You can not get the rebate of sec.87A because that assesse whose gross income is upto 500000 P.A execpt agriculture income . only that person person can get the rebate
Is section 87A applicable for financial year 2015-16 AY 2016-17 ????
sir,
My gross income is 700000 and taxable income 509000, can i use debate 2000 under 87a???
Is section 87 A applicable for financial year 2015-16?
HOW CAN TO CALCULATE THE INCOME TAX
My total salary is 504315/-
total ded are 122940/-
Remaining 381374 is my net income
How much i have to save without tax deduction and tax payment
My total income excluding agricultural income 350000/-, & agricultural income 250000/-. Can i get benifite u/s 87a..
If my non agricultural income 510000/-, can i get same benifit..??
87a applicable for HUF
my taxable income is Rs/-2262170. how much amount of rebate can be deducted from my taxable income?
i am also confusing about us 87a.if i will get tax rebate of rs 2000 then this amount should be refundable but in cpc letter it is not showing.
SWARUP KOLKATA
MY TOTAL INCOME (salary +FD Interest)=343404 , Lic 5243/- & PPF -50000/- , HOW much tax i have to pay for A.Y 2015-2016
Rebt.of Rs 2000 U/S 87A ke unergat milne wali Rebt. me ITR me show nahi ker Rahi hai
i pay 4000rs/month as HOME RENT.But i get 2697rs/month as HRA. I work as a govt.employee. How much amount i wl get as tax benefit in a financial year?
Yes, Rebate u/s. 87A is available whose income does not exceed Rs. 5,00,000.
good information provide
sec.87A deduction applicable for assessment year 2015-16 ?
87A deduction applicable for Assessment year 2015-16 ?
dear sir,
i harish parmar working in private ltd company in vasai,my company provied bus serives from station to company and back but from my home to station & back ,i spend my money,can i get tax banfit u/s 10(14) 800 RS /month transport allowance and Children’s education allowance 100 Rs/month u/s 10(14) and school tuition fee u/s 80c both can i get tax banift both but my company accounted say you can’t get transport allowance & Children’s education allowance.
can i get both allowance
thanking your
harish parmar