Model Calculation of Rs.2000 Rebate in Income Tax Act 2013 as - TopicsExpress

Model Calculation of Rs.2000 Rebate in Income Tax Act 2013 as per Section 87A Let us assume that Your Gross Income is Rs.400000 All Deductions and Exemptions is Rs.100000 and Your Total Income after applying all eligible deductions is Rs.3,00,000. Hence, Now the Net Taxable Income will become Rs.3,00,000. Now, 10% Tax on Rs.1,00,000 (Rs.3,00,000 - Rs.2,00,000) will be Rs.10,000. As the Taxable Income is Less than Rs.5,00,000, apply Tax Rebate u/s 87A upto a Max of Rs.2,000. Hence Tax is Rs.10,000 - Rs.2,000 = Rs.8,000. Add Education Cess, Higher and Secondary Education Cess 3% on Rs.8,000 and Pay the Tax More Tax related questions and answers at realinfo.tv/index.php?topic=3386.370

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