Tax Calendar AY 2017-18 – Income Tax, TDS and Service Tax Income Tax India
a) Individuals below the age of 60
| Income Slab |
Tax Rate |
Education Cess |
Secondary and Higher Education Cess |
| Up to Rs 250,000 |
NIL |
NIL |
NIL |
| Rs 250,000 to Rs 500,000 |
10% of total income minus Rs 250,000 |
2% of income tax |
1% of income tax |
| Rs 500,000 to Rs 10,00,000/- |
Rs 25,000 + 20% of total income minus 500,000 |
2% of income tax |
1% of income tax |
| Above Rs 10,00,000/- |
Rs 125,000 + 30% of total income minus Rs 10,00,000 |
2% of income tax |
1% of income tax |
Senior Citizens (60 to 80 years)
| Income Slab |
Tax Rate |
Education Cess |
Secondary and Higher Education Cess |
| Up to Rs 300,000 |
NIL |
NIL |
NIL |
| Rs 300,000 to Rs 500,000 |
10% of total income minus Rs 300,000 |
2% of income tax |
1% of income tax |
| Rs 500,000 to Rs 10,00,000/- |
Rs 20,000 + 20% of total income minus 500,000 |
2% of income tax |
1% of income tax |
| Above Rs 10,00,000/- |
Rs 120,000 + 30% of total income minus Rs 10,00,000 |
2% of income tax |
1% of income tax |
Very Senior Citizens (80 above)
| Income Slab |
Tax Rate |
Education Cess |
Secondary and Higher Education Cess |
| Up to Rs 500,000 |
NIL |
NIL |
NIL |
| Rs 500,000 to Rs 10,00,000/- |
20% of total income minus 500,000 |
2% of income tax |
1% of income tax |
| Above Rs 10,00,000/- |
Rs 100,000 + 30% of total income minus Rs 10,00,000 |
2% of income tax |
1% of income tax |
Surcharge @ 15 % of income tax if total income exceeds Rs 1 Crore..
b) Partnership Firm
A firm is taxed at a flat rate of 30%. Surcharge @ 12% on the income tax where net income exceeds Rs 1 Crore.
c) Domestic Company
For the Assessment Year 2016-17 and 2017-18, a domestic company is taxable at 30%. However, for Assessment year 2017-18, tax rate is 29% if turnover or gross receipt of the company does not exceed Rs. 5 Crore.
Surcharge @ 7% if net income exceeds Rs. 1 Crore but does not exceed Rs. 10 Crore and @ 12% if net income exceeds Rs. 10 Crore.
d) Foreign Company
A foreign company is taxed at a flat rate of 40%.
Surcharge @ 2% if net income exceeds Rs. 1 Crore but does not exceed Rs. 10 Crore and @ 5% if net income exceeds Rs. 10 Crore.
e) Co-operative Society
| Income Slab |
Tax Rate |
Education Cess |
Secondary and Higher Education Cess |
| Up to Rs 10,000 |
10% |
2% of income tax |
1% of income tax |
| Rs 10,000 to Rs 20,000 |
20% |
2% of income tax |
1% of income tax |
| Above Rs 20,000/- |
30% |
2% of income tax |
1% of income tax |
Surcharge @ 12% net income exceeds Rs. 1 Crore.
Advance Tax
Advance Tax is payable all persons whose estimated total tax liability for the year is Rs 10,000 or more. However, a resident senior citizen not having any income from business or profession is not liable to pay advance tax.
Due Date and Instalments Payable (for all assesses)
| On or before 15th June 2016 |
Not less than 15% of such advance tax |
| On or before 15th September 2016 |
Not less than 45% of such advance tax as reduced by the amount paid in the earlier instalment |
| On or before 15th December 2016 |
Not less than 75% of such advance tax as reduced by earlier instalment |
| On or before 15th March 2017 |
100% of advance tax as reduced by the amount paid in earlier instalment |
Tax Deducted at Source
Tax Deduction at Source simply means deduction of income tax right at the source of income. As per this concept, a person (deductor) who is liable to make payment of specified nature to any other person (deductee) shall deduct tax at source and remit the same to the account of Central Government.
Some of the payments of specified nature of which tax to be deducted at source are listed below;
| Section |
Nature of payment |
Rate of TDS |
Threshold limit |
| 192 |
Salary |
According to the income slab |
According to the income slab |
| 194C |
Payment to contractors |
1% if contractor is an individual or
2% if contractor is other than individual.
(20% if no PAN)
|
When a particular contract exceeds Rs 30000 or the total amount of contract during the whole year exceeds Rs 75000 |
| 194H |
Commission or Brokerage |
5% (20% if no PAN) |
Rs 15,000 |
| 194I |
Rent |
10% if rent is of land
2% if rent is of plant, machinery
(20% if no PAN)
|
Rs 180,000 |
| 194J |
Fee for professional or technical services |
10% (20% if no PAN) |
Rs 30,000 |
| 194IA |
Transfer of certain immovable property |
1% (20% if no PAN) |
Rs 50,00,000 |
Due Dates
| Quarter Ending |
Due Date |
| 30th June |
31st July |
| 30th September |
31st October |
| 31st December |
31st January |
| 31st March |
31st May |
TDS collected in a month has to be remitted to the Govt within 7th of next month and for the month of March last date is 30th April of next financial year.
Service Tax
Service tax is to be paid for all services except those notified by the Govt. A service provider whose aggregate turnover value of taxable services does not exceed Rs 10 Lakh in a financial year need not pay service tax. However the service provider is required to apply for registration under Service Tax Act within 30 days of his turnover exceeding Rs 9 Lakh.
Presently rate is;
Service Tax Basic Rate - 14%
Swachh Bharath Cess – 0.5%
Krishi Kalyan Cess – 0.5%
Total Service Tax – 15%
Due Dates under Service Tax;
- For payment of service tax: 5th next month if paid offline and 6th of next month if paid online. For the month of March remittance shall be within 31st of March itself.
- For filing of returns: 25th of October and 25th of April
Reverse Charge Mechanism
There are some services specified by the Government of which the service tax has to be collected and paid by the service recipient. Some of the major services under reverse charge are:
1) Supply of manpower
2) Insurance Agent Service
3) Goods Transport Agency Service
4) Rent-a-Cab Service
5) Legal Service
6) Works Contract
7) Sponsorship Service
8) Import of Taxable Service
