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Derived from Latin word Taxore. Compulsory contributions Major source of income. Types of taxes:Direct tax Indirect tax

Annual tax on total income. Income Tax Act 1961. Tax rates are determined by Finance Act. Income of PY is taxable in the AY. Tax is charged to every person*. Types of income .

Residential status and tax liability

Residential status of an Individual

Resident

Nonresident

Ordinarily Resident

Notordinarily Resident
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Basic conditions
Stay in India for 18 days or more during the relevant PY. Stay in India for 60 days or more in th PY and 365 days or more in the PY or more during 4 Pys immediately preceeding the relevant PY. Residential Status Resident & ordinarily resident Not-ordinarily resident Non-Resident

Additional conditions
Resident for atleast 2 out of 10 PYs immediately preceeding the relevant PY. Stay in India for 730 days or more during 7 PYs immediately preceeding the relevant PY

One of the basic conditions Both of the additional conditions Yes Yes No Yes No Irrelevant
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Slab (Rs.)
less than 1,80,000 1,80,000 to 5,00,000 5,00,001 to 8,00,000

Tax (Rs.)
Nil 10% 20%

Slab (Rs.)
less than 1,60,000 1,60,000 to 5,00,000 5,00,000 to 8,00,000 Greater than 8,00,000

Tax (Rs.)
Nil (TI 1,60,000) * 10% 34,000 + (TI 5,00,000) * 20% 94,000 + (TI 8,00,000) * 30%
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Greater than 8,00,000

30%

Slab (Rs.)
less than 1,90,000 1,90,001 to 5,00,000 5,00,001to 8,00,000

Tax (Rs.)
Nil 10% 20%

Slab (Rs.)
less than 1,90,000
1,90,000 to 5,00,000 5,00,000 to 8,00,000

Tax (Rs.)
Nil
(TI 1,90,000) * 10% 31,000 + (TI 5,00,000) * 20%

Greater than 8,00,000

30%

Greater than 8,00,000

91,000 + (TI 8,00,000) * 30%

2012-2013
Slab (Rs.)
less than 2,50,000 2,50,001 to 5,00,000 5,00,001 to 8,00,000 Greater than 8,00,000

2011-2012
Slab (Rs.)
less than 2,40,000 2,40,000 to 5,00,000 5,00,000 to 8,00,000 Greater than 8,00,000 Nil (TI 2,40,000) * 10% 26,000 + (TI 5,00,000) * 20% 86,000 + (TI 8,00,000) * 30%

Tax (Rs.)
Nil 10% 20% 30%

Tax (Rs.)

For Individual, Age More than 80 Years (Super Citizen)

2012-2013
Slab (Rs.)
less than 5,00,000 5,00,001 to 8,00,000 Greater than 8,00,000

Tax (Rs.)
Nil 20% 30%

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