Hi

The Total income (Rs. 200000+ Rs 50000) Rs. 250000

the tax liablity will be rs.9785

yaar balance income 140000 kaise ho sakti hai.

Total Income (20000+50000)=     250000

Balance income= 250000-(30000+20000+10000 )=190000 hogi na yaar na ki 140000

I could not understand that how did u get balance income as 140000 yaar, pls clerify it.................

vikram bhai pls provide full solution that how did u reach 9785

 Business Income (Assumed)       – Rs. 140000  @ Normal Rates

LTCG                                                      –  Rs. 30000     @ 20%(Sec. 112)

STCG                                                     - Rs. 10000      @   15%(Sec. 111A)

Lotteries                                              - Rs. 20000      @ 30% (Sec. 115BB)

Total                                                      Rs. 200000

 Agricultural Income                         Rs. 50000

 Total Income                                      Rs. 250000

Now tax computation as follows:

Since agricultural income exceeds Rs. 5000 and non agricultural income exceeds basic exemption limit (180000) the tax will be calculated as follows:

Step 1:  Tax on (Agril income + Non agricultural Income)

LTCG – Rs. 6000 [30000*20%]

STCG – Rs. 1500 [10000*15%]

Lotteries – Rs. 6000 [20000*30%]

For remaining Income [250000-60000] 190000 tax is 1800 [(190000-180000)*10%]

Hence the tax liability is 15300 [6000+1500+6000+1800]

Step2:Tax on [Agril income+basic exemption limit]

50000+180000 = 230000

So tax on above is 5000 [ (230000-180000) * 10%]

Step3: Step 1 – Step 2

Total tax is                10300

Cess @ 3%                   309

Tax liability is            10609

Correct me if i am wrong.....

k i made a pretty descent blunder takin the TDS rate to 33% while its just 30.9%

but hey i dunno why every1 is practically makin this mistake of calculating ltcg and stcg.

has any1 read the whole of Sec 111A & 112.

coz it does state that the tax has to be calculated only if it exceeds the slab rate and if it does it has to be calculated on the amt in excess of this slab rate.

And so here's wht i feel how the tax is to be calculated

Total Income (20000+50000)=     250000

Tax on income

Tax on the agricultural income at the normal rate 1st slab tax rate ie 50000 @ 10% - 5000

Tax on LTCG on Rs 20000(the amt excess to the slab rate 200000-180000)  @ 20% - 4000

therefore Total Tax                       = Rs. 9000

NOW,

LEss : REbate on agriclutural income

Basic Exemption -180000

Add: AGri income-50000

Total -230000                                      -Rs. 5000

Balance Tax                                        - 4000

add: Education cess 3%                 -   120

Total Tax payable                             = 4120

Less: TDS on winnings(30.9%)    -  6180

Balance tax Refund is RS. 2060.

Note: i'm still repeating the point tht ltcg and stcp are to be calcultated at their flat rates only if they exceed the slab rates and 2 the extent they do...!!!!

Ranjith

his total income is Rs.200000

add agriculture income 50000

total income including agriculture income = 250000

tax on above

on long term capital gain of Rs.30000 @ 20%                                   6000.00

on winning from lottery of Rs.20000 @ 30%                                       6000.00

on short term capital gain coverd u/s 111A of Rs.10000 @ 15%   1500.00

tax on balance Rs.190000(250000-30000-20000-10000)              1000.00

total tax                                                                                                      14500

less rebate for agriculture income                                                       5000

 tax payable                                                                                               9500

add: education cess and secondary and higher education cess 285

total tax payable                                                                                      9785

because on winning from lottery tds is deducted @ 30.9% or 33.99% so the tds is to be consider for calculating tax

Agreed My Answer war wrong i forgot the Indirect taxation proviaions of Agricultural Income Thanks Guys!!