Income Tax Rates FY 2021-2022 (AY 2022-2023) for:
- Companies
- Partnership
- Limited Liability Partnership
- Co-operative Societies
- Foreign Companies
Income
Tax Act has given an option to Domestic Companies & Co-operative Societies
to continue the normal income tax slab rates or go for special rates of tax for
FY. 2021-2022.
In the following, we have explained all Tax Rates for FY 2021-2022:
What are the Income Tax Slab Rates for Companies for FY 2021-22?
Domestic Companies (Normal Tax Rates)
(a) If gross turnover upto Rs.400
Crore in the previous year
|
Tax
Rate |
Surcharge
rate for Companies |
Cess |
|
Flat Rate 25% |
Annual Income Between 1 Crore - 10 Crore = 7% More than 10 Crore = 12% |
4% |
(b) If gross turnover exceeding
Rs.400 Crore in the previous year
|
Tax
Rate |
Surcharge
rate for Companies |
Cess |
|
Flat Rate 30% |
Annual Income Between 1 Crore - 10 Crore = 7% More than 10 Crore = 12% |
4% |
OR
Domestic Companies (Special Tax Rates)
Domestic
companies have the option to opt for special tax rates under various sections:
|
Section |
Tax
Rate |
|
Under Section 115BA Under Section 115BAA Under Section 115BAB |
25% 22% 15% |
- Surcharges applicable under section 115BAA and 115BAB is 10%.
- Health and Education cess is 4%.
- For opting tax rate under these sections you have to forgo certain exemptions and deductions.
- Those who opt under section 115BAA and 115BAB are exempted from provision of MAT.
Foreign companies
|
Tax
Rate |
Surcharge
rate for Foreign companies |
Cess |
|
Flat Rate 40% |
Annual Income Between 1 Crore - 10 Crore = 2% More than 10 Crore = 5% |
4% |
Also Read:
What are the Income Tax Rates for Co-operative Societies for FY 2021-22?
Co-operative Societies (Normal Tax Rate)
|
Tax
Rate |
Surcharge
rate for Co-operative Societies |
Cess |
|
Slab Rate Upto Rs.10000 = 10% Rs.10000-Rs.20000 = 20% Above Rs.20000 = 30% |
Annual Income More than 1 Crore = 12% |
4% |
OR
Co-operative Societies (Special Tax Rates)
Under
section 115BAD
|
Tax
Rate |
Surcharge
rate for Co-operative Societies |
Cess |
|
Rate 22% |
Annual Income More than 1 Crore = 10% |
4% |
If
you opt for special tax rates you have to forgo deductions and exemptions.
Also Read:
What are the
Income Tax Rates for Partnership Firms and Limited Liability Partnership (LLP) for FY. 2021-22?
|
Tax
Rate |
Surcharge
rate |
Cess |
|
Flat Rate 30% |
Annual Income More than 1 Crore = 12% |
4% |
What are the Income Tax Rates for Local Authorities for FY. 2021-22?
|
Tax
Rate |
Surcharge
rate |
Cess |
|
Flat Rate 30% |
Annual Income More than 1 Crore = 12% |
4% |
Conclusion
Income Tax Rates for the
financial year 2021-22 as per Finance Act 2021 is same as of
financial year 2020-21.
Under which Domestic Companies & Co-operative Societies are given an option to apply special tax rates which are very lower than normal tax rates, but if you follow special tax rates then you have to forgo certain deductions and exemptions.
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