Tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

17 October 2011 SIR PL.TELL ME HOW TO CALCULATE TAX IN CASE OF A DOMESTIC CO. HAVING INCOME OF 1 CRORE 1 LAC.

PL.DO STEP WISE

CA Dileep Surya Kumar

CA Dileep Surya Kumar (Expert)
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17 October 2011 step1: calculate tax on 1core and 1 lac (don't add surcharge and Ecess and SHcess)
(Tax=10100000*30%=3030000
Add surchare: 303000
Total=33,33,000)

Step2:calculate tax on 1core
(tax=1core*30%=30lac)

Step3:calculate amount in excess of 1 crore(here 1.01-1=1lac)

Step4:verify the difference between step1-step2
if the difference(step1-step2)more than the step 3 then marginal relief available other wise no.(here 3333000-3000000=333000AND step3 is 100000,hence difference is higher than the step3 hence marginal relief is available)

step4::marginal relief =Step4(i.e step1-Step2)-step3
(333000-100000=233000)

tep5:tax liability =step1-step4
Add education cess and shec

Querist : Anonymous

Querist : Anonymous (Querist)

17 October 2011 THANKS A LOT DILEEP SIR.

BUT I THINK U HAVE ASSUMED SURCHARGE =10 %

PL. TELL ME ABOUT IT.