Income Tax Rates Slab for FY 2022-23 or AY 2023-24

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Income Tax Slab Rates for F.Y. 2022-23 (A.Y. 2023-24)

Under the Income Tax Act, 1961 specific slab rates are provided, on the basis of which tax is levied on the taxpayers. Different slab rates are applicable to different ranges of income as well as different types of taxpayers. These slab rates are often revised in the budget by the finance minister. However, there was no major change in the slab rates for the financial year 2022-23. Hence the slab rates for F.Y. 2022-23 are the same as those for F.Y 2021-22, except for a few minor changes. 

Income Tax Slab Rates for Individuals and HUF - New Tax Regime 

The Finance Act 2020 proposed these new Tax Slab rates for all individuals and HUFs, which are optional in nature. The individuals can either choose this new slab rate provided they comply with the necessary conditions, or opt for the existing slab rate. This new slab is as follows: 

Total Income (Rs)

Slab Rates

Upto Rs 2.5 lakhs

nil

From Rs 2.5 lakhs to Rs 5 lakhs 

5%

From Rs 5 lakhs to Rs 7.5 lakhs 

10%

From Rs 7.5 lakhs to Rs 10 lakhs 

15%

From Rs 10 lakhs to Rs 12.5 lakhs 

20%

From Rs 12.5 lakhs to Rs 15 lakhs 

25%

Above Rs 15 lakhs 

30%

Some important points to note: 

The slab rates given above are applicable to all individuals irrespective of their age 
Individuals (Resident) with total taxable income of upto Rs 5 lakhs are eligible for tax rebate u/s 87A. The maximum amount of rebate available to an individual is Rs 12500. 
Additional health and educational cess will be charged at the rate of 4% 
Surcharge rates applicable to the individuals and HUFs are as follows: 

  • 10% of the income tax - if total taxable income is more than Rs 50 lakhs and up to Rs 1 crore
  • 15% of the income tax - if total taxable income is more than Rs 1 crore and up to Rs 2 crores
  • 25% of the income tax - if total taxable income is more than Rs 2 crores and up to Rs 5  crores
  • 37% of the income tax - if total taxable income is more than Rs 5 crores 

Income Tax Slab Rates for Individuals (Resident and Non Resident), HUF, AOP, BOI, Artificial Judicial Person - Old Tax Regime 

The existing income tax slab rate is as follows: 


 

Total Income (Rs)

Slab rates for individuals below the age of 60 years

Upto Rs 2.5 lakhs

nil

From Rs 2.5 lakhs to Rs 5 lakhs 

5%

From Rs 5 lakhs to Rs 10 lakhs 

20%

Above Rs 10 lakhs 

30%




 

Total Income (Rs)

Slab rates for individuals between the age of 60-80 years (Senior citizens)

Upto Rs 3 lakhs

nil

From Rs 3 lakhs to Rs 5 lakhs 

5%

From Rs 5 lakhs to Rs 10 lakhs 

20%

Above Rs 10 lakhs 

30%


 

Total Income (Rs)

Slab rates for individuals above the age of 80 years (Super Senior citizens)

Upto Rs 5 lakhs

nil

From Rs 5 lakhs to Rs 10 lakhs 

20%

Above Rs 10 lakhs 

30%

 

Some important points to note: 

1.Individuals (Only Residents) with total taxable income of upto Rs 5 lakhs are eligible for tax rebate u/s 87A. The maximum amount of rebate available to an individual is Rs 12500. 
2.Additional health and educational cess will be charged at the rate of 4% 
3.Surcharge rates applicable to the individuals and HUFs are as follows: 

  • 10% of the income tax - if total taxable income is more than Rs 50 lakhs and up to Rs 1 crore
  • 15% of the income tax - if total taxable income is more than Rs 1 crore and up to Rs 2 crores
  • 25% of the income tax - if total taxable income is more than Rs 2 crores and up to Rs 5  crores
  • 37% of the income tax - if total taxable income is more than Rs 5 crores


Income Tax Slab Rates for Taxpayers Other Than Individuals and HUFs for F.Y. 2022-23 (A.Y. 2023-24)


The slab rates for Domestic Companies are as follows:

Particulars

Rate 

Total turnover or gross receipt does not exceed Rs 400 crore during the previous year 2020-21

25%

Any other Domestic Company 

30%

Company opted for Section 115BAB

15%

Company opted for Section 115BA

25%

Company opted for Section 115BAA

22%

 

Foreign Companies: 


 

Income

Rate

  1. Royalty received from Government or an Indian concern in pursuance of an agreement made with the Indian concern after March 31, 1961, but before April 1, 1976, or
  2. fees for rendering technical services in pursuance of an agreement made after February 29, 1964 but before April 1, 1976 and where such agreement has, in either case, been approved by the Central Government

50%

Any other income 

40%

Some important points to note: 

Additional health and educational cess will be charged at the rate of 4%.
 
Surcharge rates applicable to the domestic companies are as follows: 

  • 7% of the income tax - if total taxable income is more than Rs 1 crore and up to Rs 10 crores
  • 12% of the income tax - if total taxable income is more than Rs 10 crore
  • 10% of the income tax - if the domestic company opted for Section 115BAA and 115BAB.  

Surcharge rates applicable to the foreign companies are as follows: 

  • 2% of the income tax - if total taxable income is more than Rs 1 crore and up to Rs 10 crores 
  • 5% of the income tax - if total taxable income is more than Rs 10 crores

Cooperative Society: 


 

Income

Rate

Upto Rs 10000

10%

From Rs 10000 to Rs 20000

20%

Above Rs 20000

30%

 

Other entities 

The tax rate for partnership firm and LLP and local authority is same as 30%. 

For partnership firms, LLP and local authorities, the surcharge shall be applicable at the rate of 12% if the total taxable income is more than Rs 1 crore and health and education cess will be charged at the rate of 4%. 
 


Author : Simran

Date     : 12-Jul-2022


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