The basic exemption limit of a person who is getting salary and other individual for the assessment year (AY) 2014-2015 is Rs 2, 00,000. There is no change in the basic exemption limit for a resident woman. A higher exemption limit has been provided for senior citizen or super senior citizen.
Basic exemption limit is the limit up to which a tax payer is not required to pay any income tax for the assessment year (AY) 2014-2015. If your income exceeds this basic exemption limit for the assessment year (AY) then you are liable to pay tax at the applicable rate of the assessment year (AY) related to the previous year in which such incomes are generated. The tax rate for the assessment year (AY) 2014-2015 are provided in a tabular form below. Incomes generated for the financial year 2013-2014 (i.e. from 1.4.2013 to 31.3.2014) will be taxed based on these income tax rates in assessment year 2014-2015.
Senior citizen is a resident individual who is at least 60 years at any time during the financial or previous year but less than 80 years on the last day of financial or previous year. So for the purpose of income tax calculation for assessment year (AY) 2014-2015 a resident individual born on or after 1st April, 1934 but on or before 31st March, 1954 is a senior citizen.
A super senior citizen is a resident individual who is at least 80 years of age at any time during the previous year. For the assessment year (AY) 2014-2015, a resident individual born on or before 1st April, 1934 will be treated as super senior citizen.
In case of senior citizen and super senior citizen, the basic income tax exemption limit for the assessment year (AY) 2014-2015 is Rs 2, 50,000 and Rs 5, 00,000 respectively.
For a non-resident individual the basic exemption limit for income tax calculation related to assessment year (AY) 2014-2015 is Rs 2, 00,000 irrespective of there age.
Tax Rate for the Assessment Year (AY) 2014-2015 for others including Women
Sr. No | Total Income Range for AY 2014-2015 | Income Tax Rate for AY 2014-2015 in Percentage |
1 | Up to Rs 200,000 | NILL |
2 | Rs. 200,000 to 5,00,000 | 10% of the amount by which the total income exceeds Rs. 2, 00, 00 |
3 | Rs. 5,00,001 to 10,00,000 | Rs. 30, 000 + 20% of the amount by which the total income exceeds Rs. 5, 00, 000 |
4 | Above Rs. 10,00,000 | Rs. 1, 30, 000 + 30% of the amount by which the total income exceeds Rs. 10, 00, 000 |
Tax Rate for the Assessment Year (AY) 2014-2015 for Resident Senior citizen
Sr. No | Total Income Range for AY 2014-2015 | Income Tax Rate for AY 2014-2015 in Percentage |
1 | Up to 2, 50, 000 | NILL |
2 | Rs.2,50,001 to Rs.5,00,000 | 10% of the amount by which the total income exceeds Rs. 2, 50,000 |
3 | Rs. 5,00,001 to Rs. 10,00,000 | Rs. 25, 000 + 20% of the amount by which the total income exceeds Rs. 5, 00, 000 |
4 | Above Rs. 10,00,000 | Rs. 1, 25, 000 + 30% of the amount by which the total income exceeds Rs. 10, 00, 000 |
Tax Rate for Assessment Year (AY) 2014-2015 for Resident Super Senior citizen
Sr. No | Total Income Range for AY 2014-2015 | Income Tax Rate for AY 2014-2015 in Percentage |
1 | Up to Rs. 5,00,000 | NILL |
2 | Rs. 5,00,000 to Rs. 10,00,000 | 20% of the amount by which the total income exceeds Rs. 5, 00, 000 |
3 | Above Rs. 10,00,000 | Rs. 1, 00, 000 + 30% of the amount by which the total income exceeds Rs. 10, 00, 000 |
Education Cess
Education cess is charged at the rate of 2% on the tax amount as calculated above
Secondary and Higher education Cess
Secondary and higher education cess is charged at the rate of 1% on the tax amount as calculated above
For the financial year 2013-2014, your employer will be using the above rates and will calculate your TDS that are to be paid for AY 2014-2015.
Tax rate for the Assessment Year 2015-2016 – As introduced in Budget 2014
What is a Assessment Year and a Previous Year in Income Tax
Vaishali says
Very Informative!