Sur charge

This query is : Resolved

Sekhar Dasari (Querist)
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16 April 2008 Dear Friends,

Can any one tell me about surcharge marignial relief and what is the basic to calculate the surcharge marginal relief.

Thanks in advance.

Regards,
Sekhar Dasari

CA Hemant T Dewani

CA Hemant T Dewani (Expert)
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16 April 2008 TAX WILL NOT BE COLLECTED IN EXCESS OF INCOME SUCHARGE IS LEVIABLE IF NET INCOME IS IN EXCESS OF RS TEH LAKHS SUPOSSED YOU INCOME IS RS 1010000/-TAX IS RS 252000/- SURCHARGE IS PAYBLE 25200/-.tHUS THE TOTAL TAX INCLUDING SURCHAGE IS RS.277200/ .HOWEVER AS PER MARGINAL RELIEF,THE TOTAL AMOUNT OF INCOME TAX AND SURCHARGE SHALL NOT EXCEEDS THE AMOUNT BY WHICH THE INCOME EXCEEDS RS.1000000/- IN THIS CASE,THE AMOUNT AND SURCHARE ADDS UP TO RS 27200(277200-250000).BY THIS RULE,IT WILL BE RESTRICTED TO RS 10000/-ONLY THEREFORE THE TOTAL AMOUNT PAYABLE BY WAY OF TAX AND SURCHARGE ON A TOTAL INCOME OF RS 1010000/- SHALL BE RS 259000/-ONLY