What will be marginal relief on Income of 10,01,00,000 in case of domestic company. URGENT !!!
What will be marginal relief on Income of 10,01,00,000 in case of domestic company. URGENT !!!
Hi Shradha!
In my opionion NO Marginal relief would be available in this case.
I think u wants to ask about this:
In case of a domestic firm having taxable income of Rs. 1,00,01,000/-
| 1. | Income Tax | Rs. 30,00,300 |
| 2. | Surcharge @ 5% of Income Tax | Rs. 1,50,015 |
| 3. | Income Tax on income of Rs. 1 crore | Rs. 30,00,000 |
| 4. | Maximum Surcharge payable (Income over Rs. 1 crore less income tax on income over Rs. 1 crore) |
Rs. 700/- (1000 - 300) |
| 5. | Income Tax + Surcharge payable | Rs. 30,01,000 |
| 6. | Marginal Relief in Surcharge | Rs. 1,49,315/- (1,50,030 - 700) |
Can you kindly specify the reason so as to why marginal relief won't be applicable on th figure asked above. Please.
Sir, this calculation is for 1crore 1 thousand, i asked for 10 crore 1 Lakh.
@ Shradha
Yeah my bad, I calculated for 1Cr 1lakh (not 1 thousand). Here is calculation for 10Cr 1 lakh
| Income | 10,01,00,000 |
| Tax @ 30% | 3,00,30,000 |
| Surcharge @ 12% | 36,03,600 |
| Total (1) | 3,36,33,600 |
| Tax on 10Cr @ 30% | 3,00,00,000 |
| Add: Income in excess of 10Cr | 1,00,000 |
| Total (2) | 3,01,00,000 |
| Least of 1 & 2 | 3,01,00,000 |
| So, relief from Rs.3,36,33,600 | 35,33,600 |
| Hence, Net Tax Payable | 3,01,00,000 |
Note:
1. Net Tax payable will always be Least of 1 & 2. The difference if any will be reduced from (1) as relief.
2. Cess is in addition to above tax liability.
how would i calculate marginal relief in case of arrears of 1 and half years? first 9 months in the A.Y 2014-15 next 9 months in the A.Y 2015-16. both year have different slab rates. Arrear received in may,2015 . (individual case). please suggest me asap.
Arrear of year starting from 15june,2013 to 31 dec,2014...and received on may,2015..
plx suggest me..
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