Income Tax Slabs for individual for the fiancial year 2017-18

Income Tax Slabs for individual

Effective Income Tax slab for individualsRates of Income Tax
Income up to Rs. 2.5 Lacs0%
Income from Rs. 2.5 Lakh to 5 Lakh(Newly Introduced)5%
Income from Rs. 5 Lakh to 10 Lakh20%
Income from Rs. 10 Lakh and above30%

2. Surcharge of 10% has been introduced for income above Rs. 50 Lakh. Earlier it was Rs. 1 Cr.

3. Presently, income from Long Term Capital Gain on immovable property is exempt, if property sold after 3 years. It has been reduced to 2 years now.

4. Income Tax Rate for all Companies having turnover below Rs. 50 Cr. will be 25%. Earlier it was 30%.

5. Expenditure in cash will be allowed as business expenditure only upto Rs. 10,000/-. Earlier it was Rs. 20,000/-

6. No cash transaction will be allowed above 3 Lakhs.

7. Donations in cash for charitable purposes will be allowed only upto Rs. 2,000/- Earlier it was Rs. 10,000/-

8. Political contribution in cash will be allowed only upto Rs. 2,000/-. Earlier it was Rs. 20,000/-

9. Threshold for maintenance of books of accounts have been increased under section 44AA.

10. No scrutiny in case of filing income tax return first time for income upto Rs. 5 Lakh provided Income Tax Department do not possess incriminating data of the assesse.

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