Tax payment - marginal relief

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This query is : Resolved

chandra sekhar (Querist)

21 May 2014 Anybody kindly clarify the following about Marginal relief with example.

The total amount payable as income tax and surcharge on total income exceeding 1 cr. but not exceeding 10 cr., shall not exceed the total amount payable as income tax on a total income of 1cr., by more than the amount of income that exceeds 1cr.

Rupesh Jain

Rupesh Jain (Expert)

21 May 2014 if your income exceeds from rs.1.00 crore is Rs. 5000/- then your tax liability on income exceed rs. 1.00 crores not more than Rs. 5000/-
if your tax become suppose rs. 6000/- the you pay rs. 5000/- not Rse. 6000/-

Message likes : 1 times

chandra sekhar

chandra sekhar (Querist)

21 May 2014 Thanks sir, But still some doubt. Suppose my income is 1cr +1.10L kindly provide the entire tax ie basic +cess+ SHES+Surcharge details. Please

Rajagopalakrishnan R

Rajagopalakrishnan R (Expert)

23 May 2014 In case of an individual assesseee (< 60 years) having taxable income of Rs. 1,00,01,000/-

1. Income Tax Rs. 28,30,300
2. Surcharge @10% of Income Tax Rs. 2,83,030
3. Income Tax on income of Rs. 1 crore Rs. 28,30,000
4. Maximum Surcharge payable
(Income over Rs. 1 crore less income tax on income over Rs. 1 crore) Rs. 700/- (1000 - 300)
5. Income Tax + Surcharge payable Rs. 28,31,000
6. Marginal Relief in Surcharge Rs. 2,82,330/- (2,83,030 - 700)

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