presantation of tax For BBA, MBA, B.com,

1. TAXATION
Presented By:
Nikhil Kumar
Uttam Kumar
Vivek Mandal

2. CONTENTS
 Taxation
 Types of tax
 Basic concept of income tax
 Exception of income tax
 Rate of income Tax for assessment year19-20 (individual)
 Person
 Agriculture Income
 Income
 Types of Residents
 Tax Deducted at source (TDS) and its Rates
 Rate of Taxes for Firm/llp and company (A.Y-19-20)
 Surcharge and its Rates
 Special Rate of Income Tax
 Marginal Relief

3. Taxation
The most important source of revenue
of the government is taxes.The act of
levying taxes is called taxation. Tax
is a compulsory charge or fee
imposed by the government on
individuals and corporations under
any law or act by the government.

4. Types of Taxes
Direct Tax:- It is a kind of charge which is imposed directly on Tax payer and paid
to the Government by the person who is imposed.
Indirect Tax:- this tax is collected by an intermediaries from the person who bears
thr unlimited economic burden of the tax. The indirect tax is one that can be
shifted by the tax payer to the consumer else.

5. Basic Concept of Income tax
 It is the most significant direct tax,
Entry 82 of the union list i.e list-1of the
7th schedule to Article 246 of the
constitution of india has given the
power to parliament to make laws on
tax on income other than agricultural
income.

6. Exception To This Rule
 Shipping business of non-residence
 Person’s Leaving India
 AOP/BOI/Artifical Judicial Person for a
particular event or purpose.
 Discountined Business
 Person Like to transfer property to
avoid tax.

7. Rate of income for individual (A.s-19-20)
 Individual
(Other than Resident individual of the age of 60 years or more)
≤ Rs2,50,000-NIL
>Rs2.50,000 but ≤Rs 5,00,000– 5%
>Rs5,00,0000 but ≤Rs 10,00,000– 20%
>10,00,000– 30%
 NOTE:-
 The same rate are also applicable for Huf,Aop,BoI and Artificial Judicial person
 Rebate u/s 87A in Case of an Individual Resident In india (lower of tax payable or
RS2500,where total income does not exceed Rs3,50,000)

8. Resident Individual of the age of 60 years or
more but less than 80 years at any time during
previous years.
≤Rs3,00,000-Nil
>Rs3,00,000 but ≤Rs5,00,000– 5%
>Rs5,00,000 but ≤Rs10,00,000– 20%
>Rs10,00,000 or more – 30%
Resident Individual of the age of 80 years or
more at any time during previous years.
≤Rs5,00,000-Nil
>Rs5,00,000 but ≤Rs10,00,000– 20%
>Rs10,00,000 or more – 30%

9. Persons
 Individual
 Hindu undivided family
 Company (Indian and foriegn)
 Firms
 Association of person,BoI(Whether
Incorporated or not)
 Local Authority
 Artifical Judicial Person(not falling
within any of the previoud list)

10. Agriculture Income
 In India Agriculture Income refer to income earned or revenue
derived from sources that includes farming,land or identifying
within agriculture income and commerical produced.
Agriculture Income generally means rent or revenue derived
from land which is situated in india and is used for agriculture
purpose.
Any Income Attributable to a firm house subjest to satisfaction of
certain condition of income tax rule:-
 Income Derived From Sale of replanted trees
 Income from sell of seeds
 Rent recived from agricultural land
 Income from growing flowers
 Profit received from a partner engaged in agricultural produce or
activities
 Interest on capital from a partner from a firm engage in agricultural
operations

11. INCOME
 Income is defined under sec2(24).it
include apart from item listed in the
defination or any reciept.Which satisfy
the basic condition of income.
INCOME BROADLY INCLUDES
1. Income from business or proffession
2. Income from salary
3. Income from house property
4. Income from capital gains
5. Income from other sources (divident
income, winning from lotry, cross word
puzzle, horse race, etc)

12. Types of Residents
.

13. Tax Deducted at source(TDS)
 TDS stand for tax deducted at source.as per income tax
act, any person or company making a payment is
require exceed certain threshold limit.TDS has to be
deducted at the rate prescribed by the department.
Payment subject to TDS
1. Salery
2. Income on securities
3. Dividend on share
4. Interest other than interest of on security
5. Winning from the lottery or cross word puzzle
6. Payment to resident contractor
7. Payment of insurance commission
8. Payment of commission or brokerage
9. Payment in respect of rent
10. Payment of fee for proffesional or techincal service provider
11. Payment on account of repurchase of units by mutual funds or units trust of india

14. TDS RATES
 Salary- Average rate
 Zero coupon Bonds/Government securities-0%
 8% saving bond 2003 – 10,000 and above 10%
 Interest on securities(listed/unlisted) – payment more than 5000
P.A@10%
 Dividend – 10%
 Winning from lottery, cross word puzzle or other game – payment
more than 10,000@30%
 Winning from horse race - payment more than 10,000@30%
 Payment of rent for building, land, furniture or Fitting Whether or not
owned by Payee- 1,80,000 or above P.A@10%
 Insurance Commission Beyond 15000 and above@ 5%
 Payment of rent to a Resident by an individual/HUF – Payment more
than Rs50,000 P.A@5%

15. Rate of taxes for
firms/LLP/company (A.Y-19-20)
Firms/LLP And company
Firms/LL
P
Company
Domestic Company Foreign Company
Where the total
turnover/gross Receipts in
the P.Y 2016-17 ≤ 250 cr
In any other
Case

16. Rates of surcharge (A.Y 2019-20)
Individual/Huf/AOP/BOI/Artifical juridical
person
Company
Domestic
Company
Foreign
Company
If total Income
≤Rs50 lac
If total Income
50 lac but ≤Rs1
cr
If total Income>
Rs1 cr
If total
Income
≤Rs1cr
If total Income
>1cr but ≤Rs10
cr
If total
Income>
Rs10 cr
If total
Income
≤Rs1cr
If total Income
>1cr but ≤Rs10
cr
If total
Income>
Rs10 cr
Rates of surcharge

17. Special Rate Of Income Tax
1. On short-term capital gain coverd U/S 111A(listed
share/units) 15%
2. On long term Capital Gain(listed share/units)
Exempt
3. On long term capital gain covered u/s 112(other
capital Assets) 20%
4. On winning of Lotteries, cross-word puzzles, card
game etc (U/s115BB) 30%
5. Long term capital gain U/s 112A(sale of share
beyond Rs10,000) 10%

18. Marginal Relief
Marginal relief shall be allowed in all the case to ensure that
additional amount of income tax including surcharge on the
excess income over 1cr(50 lac) individual is limited to the
amount by which the income is more than 1 cr (50 lac) for
individual.
Applicable in case of only
those assessee, having total income more than 1 cr and 50
lac for individual.

19. Thank you