Computation of income tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 June 2012 EXPLAIN ME INCOME TAX COMPUTATION SLABWISE ? IF NET TAXABLE INCOME IS RS 640240 FOR A.Y. 2013-14 FOR NORMAL RESIDENT MALE.

IF THERE IS ANY OTHER SHORT CUT TO CALCULATE INCOME TAX LIABILITY PLEASE ALSO EXPLAIN IT.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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24 June 2012 For the AY 2013-14 Slab rates are as under

1.Upto 2.00 Lac : Nil

2. Above 2.00 lac and upto 5.00 lac : 10% of the amount exceeding Rs 2.00 lac .
So tax on 5.00 lac is calculated by deducting Basic slab. The Balance will be 3.00 lac on which 10% comes out to be Rs 30000.
3. Above 2.00 lac and upto 10.00 lac : 20%
of the amount exceeding Rs 5.00 lac .
.
Here You have to Calculate tax @ 20% on 140240 which is Rs 28048.
.
Total Tax Payable =30000+28048= 58048.
.
On 58048 you have to compute 3% as Education Cess (1741/) and as such you have to pay 59790/- as tax.

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