Your tax burden: 2002-03
Budget 2002-03 saw a change in income tax rate-structure, with only three slabs -- 10 per cent, 20 per cent and a maximum rate of 30 per cent.india Updated: Feb 20, 2003 12:56 IST
Over the past few years, the tax provisions have been simplified considerably. Not only have the tax rates been reduced, the rate-structure has also been changed and now there exist only three slabs -- 10 per cent, 20 per cent and a maximum rate of 30 per cent.
Budget 2002-03 saw the rates of surcharge in the highest tax bracket increase to five per cent from two per cent. Which means, individuals in the 20 per cent tax bracket are liable to pay income-tax of 21 per cent (20 per cent income-tax plus one per cent surcharge) and individuals in the highest tax bracket are now liable to pay income-tax of 31.5 per cent, i.e., 30 per cent income-tax and 1.5 per cent surcharge.
Upto Rs 50,000
Rs 50,000 to Rs 60,000
|10% of income above Rs 50,000|
Rs 60,001 to Rs 1,50,000
|Rs.1,000 plus 20% of income above Rs.60,000 + 5% surcharge|
on total amount of Income tax
|Rs 1,50,001 and above||Rs.19,000 plus 30% of income above Rs.1,50,000 + 5% surcharge on total amount of Income Tax|
Some concessions have been given to senior citizens and women. For senior citizens (any person who turns 65 years on any day prior to March 31, 2003 will be treated as senior citizen), an amount of Rs 15,000 is deductible from tax liability.
In case of women below 65 years of age, an exclusive rebate of Rs 5000 is allowed under section 88C and for those above 65 years of age, rebate of Rs 15,000 is allowed under section 88B.
Non-resident Indians do not have to pay surcharge.
First Published: Feb 17, 2003 18:52 IST