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Corporate Tax Rates : Income Tax Rates of Partnership Firms & Companies

by Pankaj Singla on December 9, 2009

Income Tax Rates for Partnership Firms

Assessment Year 2010-11

  • Flat rate of tax @ 30% on total income of the firm.
  • Surcharge: Nil
  • Education Cess: 2% of the amount of income Tax
  • Secondary & Higher Education Cess: 1% on the amount of income Tax

Assessment Year 2008-09 and 2009-10

  • Flat rate of tax @ 30 % on total income of the firm
  • Surcharge: 10% of income tax (after rebate u/s 88E, if any) if net income exceeds Rs. 1 Crore subject to marginal relief in cases where income has marginally exceeded Rs. 1 Crore.
  • Education Cess: 2% of the amount of income Tax and surcharge
  • Secondary & Higher Education Cess: 1% on the amount of income Tax and surcharge

Income Tax Rates for Companies  (For Asst. Year 2008-09 to 2010-11)

In the case of domestic company in which the public are substantially interested.

  • 30% **

In the case of domestic company in which the public are not substantially interested.

  • 30%**

In the case of foreign company :

Royalty received from an Indian concern in pursuance of an agreement made by it with the Indian concern after March 31, 1961 but before April 1, 1976 or fees for rendering technical services in pursuance of an agreement made by it after FEbrurary 29, 1964 but before April 1, 1976 and where such agreement has in either case, been approved by Central Government

  • 50%**

Other Income

  • 40%**

Surcharge (on income tax minus rebate u/s 80E, if any)

In case of Domestic Company :

** For asst. Years 2008-09 to 2010-11 @ 10% of income tax, only if total income exceeds Rs. 1 Crore.

In case of Foreign Company :

** For asst. Year 2008-09 to 2010-11 @ 2.5% of income tax, only if total income exceeds Rs. 1 Crore.

Education Cess : 2% on the  amount of income tax and surcharge.

Secondary and Higher Education Cess  (w.e.f astt. Year 2008-09)

1% on the amount of income tax and surcharge.

Tax Rates for Co-operative Societies

Asst. year (A.Y) to 2008-09 to  A.Y. 2010-11

  • Up to Rs. 10,000 – 10%
  • Rs. 10,010 to Rs. 20,000 – 20%
  • above Rs. 20,000 – 30%

Surcharge :

For asst. year 2006-07 to 2010-11 – NIL

Education Cess : 2%

SHEC – 1%

Related posts:

  1. Surcharge, Education Cess, SHEC for A.Y. 2010-2011
  2. TDS Rates Applicable from 01-10-2009
  3. Union Budget 2010: New Income Tax Rates for A.Y. 2011-12
  4. Service Tax Rates Chart
  5. Income Tax slab For The Assessment year 2009-10, tax india

{ 4 comments… read them below or add one }

anilkumar.N December 12, 2009 at 1:47 am

Dear Sir,
Useful information.
Every day I am in receipt of your updates and it helped me a lot to understand Incometax. Before subscrbing for free mail I didnot know even its fundaments. Wish you and your team all the best!
Thank you very much.
Anil

harish December 30, 2009 at 7:58 am

can i no the taxation for the sole properatorship firm.all taxes

rrahul February 4, 2010 at 2:37 am

i have a land worth about 1 lakh,but today as per the market value the worth is 10 lakhs,so can i pay the difference amount tax and the value be 10 lakhs,how would be the tax calculated.my other three frnds also have the same land adjacent so somebody is looking to buy only 2 lands from the four,we r planning to make a partnership firm of the four sites,jointly the property value will be 40 lakhs,and the person who is willing to buy half(ie 2sites from the four)is ready to pay 25 lakhs,how will the total tax be calculated,how can u help us

Biswajit Swain February 26, 2010 at 6:05 am

This is very bulky. It is a burden to common man , b’coz layman cannot purchase his basic needs.

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