Company Income Tax Rates – A.Y. 2020 -21 & A.Y. 2018-19

The page is exclusively for income tax rates on company for A.Y. 2020-21, A.Y.2019-20, A.Y. 2018-19, A.Y. 2017-18, A.Y. 2016-17. You can find here income tax, surcharge, education cess & marginal relief & minimum alternate tax. After income tax slab table you can get a brief information about company.

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Company Income Tax Rates (A.Y.2020-21)

Domestic Company (Whether public or private)

Type of Company (Domestic Company)Tax Rate
where its total turnover or gross receipt during the previous year 2016-17 does not exceed Rs. 250 croreNA
where its total turnover or gross receipt during the previous year 2017-18 does not exceed Rs.250 crore25%
any other domestic company30%

Foreign Company

IncomeTax Rate
royalty received from Government or 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 February 29, 1964 but before April 1, 1976 and where such agreement has, in either case, been approved by the Central Government50%
Other Income40%

Surcharge

ParticularsDomestic Cos.Foreign Cos.
if net income is in the range of Rs.1 crore to Rs.10 crore7%*2%*
If total income exceeds Rs. 10 crore12%**5%**

* Marginal relief – In the case of a company having a net income of exceeding Rs.1 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax on total income of Rs. 1 crore by more than the amount of income that exceeds Rs. 1 crore.

** Marginal relief – In the case of a company having a net income of exceeding Rs.10 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax and surcharge on total income of Rs.10 crore by more than the amount of income that exceeds Rs.10 crore.

Health and education cess: 4% of income-tax and surcharge

Minimum Alternate Tax

The following rate of minimum alternate tax shall be applicable.

If book profit does not exceed Rs.1 crore

CompanyITSCHECTotal
Domestic Company18.50.7419.24
Foreign Company18.50.7419.24

If book profit is in the range of Rs.1 core to Rs.10 crore

CompanyITSCHECTotal
Domestic Company18.51.2950.791820.5868
Foreign Company18.50.370.754819.6248

If book profit exceeds Rs.10 crore

CompanyITSCHECTotal
Domestic Company18.52.220.828821.5488
Foreign Company18.50.9250.77720.202

Note – If book profit of a company exceeds Rs. 1 crore but does not exceed Rs. 10 crore, the minimum alternate tax cannot exceed the following: (Rs. 18.5 lakh + book profit – Rs. 1 crore) + HEC. If, however, book profit exceeds Rs. 10 crore, the minimum alternate tax cannot exceed the following –

a. in the case of domestic company, (Rs. 197.95 lakh + book profit – Rs. 10 crore) + HEC; or

b. in the case of a foreign company, (Rs. 188.7 lakh + book profit – Rs. 10 crore) + HEC.


Company Income Tax Rates (A.Y.2019-20)

Domestic Company (Whether public or private)

Type of Company (Domestic Company)Tax Rate
where its total turnover or gross receipt during the previous year 2016-17 does not exceed Rs. 250 crore25%
where its total turnover or gross receipt during the previous year 2017-18 does not exceed Rs.250 croreNA
any other domestic company30%

Foreign Company

IncomeTax Rate
royalty received from Government or 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 February 29, 1964 but before April 1, 1976 and where such agreement has, in either case, been approved by the Central Government50%
Other Income40%

Surcharge

ParticularsDomestic Cos.Foreign Cos.
if net income is in the range of Rs.1 crore to Rs.10 crore7%*2%*
If total income exceeds Rs. 10 crore12%**5%**

* Marginal relief – In the case of a company having a net income of exceeding Rs.1 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax on total income of Rs. 1 crore by more than the amount of income that exceeds Rs. 1 crore.

** Marginal relief – In the case of a company having a net income of exceeding Rs.10 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax and surcharge on total income of Rs.10 crore by more than the amount of income that exceeds Rs.10 crore.

Health and education cess: 4% of income-tax and surcharge

Minimum Alternate Tax

The following rate of minimum alternate tax shall be applicable.

If book profit does not exceed Rs.1 crore

CompanyITSCHECTotal
Domestic Company18.50.7419.24
Foreign Company18.50.7419.24

If book profit is in the range of Rs.1 core to Rs.10 crore

CompanyITSCHECTotal
Domestic Company18.51.2950.791820.5868
Foreign Company18.50.370.754819.6248

If book profit exceeds Rs.10 crore

CompanyITSCHECTotal
Domestic Company18.52.220.828821.5488
Foreign Company18.50.9250.77720.202

Note – If book profit of a company exceeds Rs. 1 crore but does not exceed Rs. 10 crore, the minimum alternate tax cannot exceed the following: (Rs. 18.5 lakh + book profit – Rs. 1 crore) + HEC. If, however, book profit exceeds Rs. 10 crore, the minimum alternate tax cannot exceed the following –

a. in the case of domestic company, (Rs. 197.95 lakh + book profit – Rs. 10 crore) + HEC; or

b. in the case of a foreign company, (Rs. 188.7 lakh + book profit – Rs. 10 crore) + HEC.


Company Income Tax Rates (A.Y.2018-19)

Domestic Company (Whether public or private) (A.Y.2018-19)

Type of Company (Domestic Company)Tax Rate
where its total turnover or gross receipt during the previous year 2014-15 does not exceed Rs. 5 croreN/A
where its total turnover or gross receipt during the previous year 2015-16 does not exceed Rs.50 crore25%
any other domestic company30%

Foreign Company (A.Y.2018-19)

Type of Company (Foreign Company)Rates
Income from royalty or fees for technical services from Government or an Indian concern
(a) in pursuance of an agreement made on or before 31.3.197650%
(b) in pursuance of an agreement made on or after 1.4.1976 but on or before 31.5.199710%
(c) in pursuance of an agreement made on or after 1.6.1977 but on or before 31.5.200510%
(d) in pursuance of an agreement made after 31.5.200510%
Other Income40%

Surcharge & Education Cess A.Y.2018-19

ParticularsDomestic Cos.Foreign Cos.
if net income is in the range of Rs.1 crore to Rs.10 crore7%*2%*
If total income exceeds Rs. 10 crore12%**5%**

* Marginal relief – In the case of a company having a net income of exceeding Rs.1 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax on total income of Rs. 1 crore by more than the amount of income that exceeds Rs. 1 crore.

** Marginal relief – In the case of a company having a net income of exceeding Rs.10 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax and surcharge on total income of Rs.10 crore by more than the amount of income that exceeds Rs.10 crore.

Education Cess – 2% of income-tax and surcharge.

Secondary and Higher Education Cess – It is 1% of income-tax and surcharge.

Minimum Alternate Tax – The following rate of minimum alternate tax shall be applicable.

If book profit does not exceed Rs.1 crore

CompanyITSCEC+SHECTotal
Domestic Company18.50.55519.055
Foreign Company18.50.55519.055

If book profit is in the range of Rs.1 core to Rs.10 crore

CompanyITSCEC+SHECTotal
Domestic Company18.51.2950.5938520.38885
Foreign Company18.50.370.566119.055

If book profit exceeds Rs.10 crore

CompanyITSCEC+SHECTotal
Domestic Company18.52.220.621621.3416
Foreign Company18.50.9250.5827520.00775

Company Income Tax Rates (A.Y.2017-18)

Domestic Company (Whether public or private) (A.Y.2017-18)

Type of Company (Domestic Company)Tax Rate
where its total turnover or gross receipt during the previous year 2014-15 does not exceed Rs. 5 crore29%
where its total turnover or gross receipt during the previous year 2015-16 does not exceed Rs.50 croreNA
any other domestic company30%

Foreign Company (A.Y.2017-18)

Type of Company (Foreign Company)Rates
Income from royalty or fees for technical services from Government or an Indian concern
(a) in pursuance of an agreement made on or before 31.3.197650%
(b) in pursuance of an agreement made on or after 1.4.1976 but on or before 31.5.199710%
(c) in pursuance of an agreement made on or after 1.6.1977 but on or before 31.5.200510%
(d) in pursuance of an agreement made after 31.5.200510%
Other Income40%

Surcharge & Education Cess A.Y.2017-18

ParticularsDomestic Cos.Foreign Cos.
if net income is in the range of Rs.1 crore to Rs.10 crore7%*2%*
If total income exceeds Rs. 10 crore12%**5%**

* Marginal relief – In the case of a company having a net income of exceeding Rs.1 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax on total income of Rs. 1 crore by more than the amount of income that exceeds Rs. 1 crore.

** Marginal relief – In the case of a company having a net income of exceeding Rs.10 crore, the amount payable as income-tax and surcharge shall not exceed the total amount payable as income-tax and surcharge on total income of Rs.10 crore by more than the amount of income that exceeds Rs.10 crore.

Education Cess – 2% of income-tax and surcharge.

Secondary and Higher Education Cess – It is 1% of income-tax and surcharge.

Minimum Alternate Tax – The following rate of minimum alternate tax shall be applicable.

If book profit does not exceed Rs.1 crore

CompanyITSCEC+SHECTotal
Domestic Company18.50.55519.055
Foreign Company18.50.55519.055

If book profit is in the range of Rs.1 core to Rs.10 crore

CompanyITSCEC+SHECTotal
Domestic Company18.51.2950.5938520.38885
Foreign Company18.50.370.566119.055

If book profit exceeds Rs.10 crore

CompanyITSCEC+SHECTotal
Domestic Company18.52.220.621621.3416
Foreign Company18.50.9250.5827520.00775

 

Income Tax Slabs for Other Persons

PersonsVisit Here
Individuals HUFs, AOPs, BOIsCheck Here
Partnership Firms & LLPsCheck Here
CompaniesCheck Here
Capital Gains TaxesCheck Here
TDS RatesCheck Here

Must Read

Company Important PagesCheck Here
How to Form a Private Limited CompanyCheck Here
Documents Required to Form a Private Limited CompanyCheck here
TDS on Payment to Foreign CompanyCheck Here
Advantages of Private Limited CompanyCheck Here
Cost to Form a Private Limited CompanyCheck Here

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