Comparative Tax Rates post Taxation Laws (Amendment) Ordinance 2019

CA Vinamar Gupta 22 Sep 2019 2,520 Views 0 comment Print Income Tax | Articles

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Article provides Comparative Tax Rates post Taxation Amendment Ordinance 2019 of Domestic Companies whose turnover in 2017-18 does not exceed 400 crores, Domestic Manufacturing Company registered on or after 01-03-2016, Any Domestic Company (incl. Mfg, Trading , Service) from AY 2020-21, Domestic Manufacturing Company registered on or after 01-10-2019 and commencing manufacture on or before 31-03-2023, Individual/HUF/AOP/BOI/AJP and Partnership Firm (including LLP).

	Domestic Companies whose turnover in 2017-18 does not exceed 400 crores	Domestic Manufac-turing Company registered on or after 01-03-2016	Any Domestic Company (incl. Mfg, Trading , Service) from AY 2020-21	Domestic Manufac-turing Company registered on or after 01-10-2019 and commencing manufacture on or before 31-03-2023	Individual/ HUF/AOP/BOI/AJP	Partner-ship Firm including LLP
Income Up to 2.5 lacs	26	26	25.168	17.16	0	31.2
2.5 lacs to 5 lacs	26	26	25.168	17.16	5.2	31.2
5 lacs to 10 lacs	26	26	25.168	17.16	20.8	31.2
Income up to 50 lacs	26	26	25.168	17.16	31.2	31.2
50 lacs to 1 crore	26	26	25.168	17.16	34.32	31.2
1 crore to 2 crore	27.82	27.82	25.168	17.16	35.88	34.944
2 crore to 5 crore	27.82	27.82	25.168	17.16	39	34.944
5 crore to 10 crore	27.82	27.82	25.168	17.16	42.744	34.944
Above 10 crore	29.12	29.12	25.168	17.16	42.744	34.944
Tax Rate	S. 2(9) of FA(No.2) 2019 read with Para E of Part III of First Schedule	S.115BA	S.115BAA	S.115BAB	S. 2(9) of FA(No.2) 2019 read with Para A of Part III of First Schedule	S. 2(9) of FA(No.2) 2019 read with Para C of Part III of First Schedule
Surcharge	S. 2(9) of FA(No.2) 2019 read with Para E of Part III of First Schedule	S. 2(9) of FA(No.2) 2019 read with Para E of Part III of First Schedule	S. 2(9) of FA(No.2) 2019 read with Para E of Part III of First Schedule	S. 2(9) of FA(No.2) 2019 read with Para E of Part III of First Schedule	S. 2(9) of FA(No.2) 2019read with Para A of Part III of First Schedule	S. 2(9) of FA (No.2) 2019 read with Para C of Part III of First Schedule
Health Cess	S.2(11) of the FA (No.2) 2019	S.2(11) of the FA (No.2) 2019	S.2(11) of the FA (No.2) 2019	S.2(11) of the FA (No.2) 2019	S.2(11) of the FA (No.2) 2019	S.2(11) of the FA (No.2) 2019
MAT/ AMT	15% (Tax rate)	15% (Tax rate)	Not Applicable	Not Applicable	18.5% (Tax rate)	18.5% (Tax rate)

Break up of Tax Rates

Domestic Companies whose turnover in 2017-18 does not exceed 400 crores

Income Slab	Tax Rate	Surchrage	Cess	Effective Tax Rate
Up to 2.5 lacs	25	0	1	26
2.5 lacs to 5 lacs	25	0	1	26
5 lacs to 10 lacs	25	0	1	26
Income up to 50 lacs	25	0	1	26
50 lacs to 1 Crore	25	0	1	26
1 crore to 2 crore	25	1.75	1.07	27.82
2 crore to 5 crore	25	1.75	1.07	27.82
5 crore to 10 crore	25	1.75	1.07	27.82
Above 10 crore	25	3	1.12	29.12

Domestic Manufacturing Company registered on or after 01-03-2016

Income Slab	Tax Rate	Surchrage	Cess	Effective Tax Rate
Up to 2.5 lacs	25	0	1	26
2.5 lacs to 5 lacs	25	0	1	26
5 lacs to 10 lacs	25	0	1	26
Income up to 50 lacs	25	0	1	26
50 lacs to 1 Crore	25	0	1	26
1 crore to 2 crore	25	1.75	1.07	27.82
2 crore to 5 crore	25	1.75	1.07	27.82
5 crore to 10 crore	25	1.75	1.07	27.82
Above 10 crore	25	3	1.12	29.12

Any Domestic Company (incl. Mfg, Trading, Service) from AY 2020-21

Income Slab	Tax Rate	Surchrage	Cess	Effective Tax Rate
Up to 2.5 lacs	22	2.2	0.968	25.168
2.5 lacs to 5 lacs	22	2.2	0.968	25.168
5 lacs to 10 lacs	22	2.2	0.968	25.168
Income up to 50 lacs	22	2.2	0.968	25.168
50 lacs to 1 Crore	22	2.2	0.968	25.168
1 crore to 2 crore	22	2.2	0.968	25.168
2 crore to 5 crore	22	2.2	0.968	25.168
5 crore to 10 crore	22	2.2	0.968	25.168
Above 10 crore	22	2.2	0.968	25.168

Domestic Manufacturing Company registered on or after 01-10-2019 and commencing manufacture on or before 31-03-2023

Income Slab	Tax Rate	Surchrage	Cess	Effective Tax Rate
Up to 2.5 lacs	15	1.5	0.66	17.16
2.5 lacs to 5 lacs	15	1.5	0.66	17.16
5 lacs to 10 lacs	15	1.5	0.66	17.16
Income up to 50 lacs	15	1.5	0.66	17.16
50 lacs to 1 Crore	15	1.5	0.66	17.16
1 crore to 2 crore	15	1.5	0.66	17.16
2 crore to 5 crore	15	1.5	0.66	17.16
5 crore to 10 crore	15	1.5	0.66	17.16
Above 10 crore	15	1.5	0.66	17.16

Individual/HUF/AOP/BOI/AJP

	Income other than Capital Gain on Sale of Shares				Capital Gain on Sale of Shares or units of Equity oriented Fund (subject to STT)
Income Slab	Tax Rate	Surcharge	Cess	Effective Tax Rate	Short Term Capital Gain	Long Term Capital gain
Up to 2.5 lacs	0	0	0	0	0	0
2.5 lacs to 5 lacs	5	0	0.2	5.2	15.6	10.4
5 lacs to 10 lacs	20	0	0.8	20.8	15.6	10.4
Income up to 50 lacs	30	0	1.2	31.2	15.6	10.4
50 lacs to 1 Crore	30	3	1.32	34.32	17.16	11.44
1 crore to 2 crore	30	4.5	1.38	35.88	17.94	11.96
2 crore to 5 crore	30	7.5	1.5	39	17.94	11.96
5 crore to 10 crore	30	11.1	1.644	42.744	17.94	11.96
Above 10 crore	30	11.1	1.644	42.744	17.94	11.96

Note-

Enhanced surcharge on income from 2 crore to 5 crore @ 25% and from 25% crore and above 5 crore @ 37% as applicable to Individual / HUF / AOP / BOI / AJP has been restored back to 15% vide section 8 of the Taxation Amendment Ordinance 2019.

Partnership Firm (including LLP)

Income Slab	Tax Rate	Surchrage	Cess	Effective Tax Rate
Up to 2.5 lacs	30		1.2	31.2
2.5 lacs to 5 lacs	30		1.2	31.2
5 lacs to 10 lacs	30		1.2	31.2
Income up to 50 lacs	30		1.2	31.2
50 lacs to 1 Crore	30		1.2	31.2
1 crore to 2 crore	30	3.6	1.344	34.944
2 crore to 5 crore	30	3.6	1.344	34.944
5 crore to 10 crore	30	3.6	1.344	34.944
Above 10 crore	30	3.6	1.344	34.944