Aggregate amount of Income tax and Surcharge (if applicable) is further subjected to 4% additional tax called ‘Health and Education Cess’, in respect of FY 2020-21/ Ay 2021-22.
In other words, taxpayers are required to pay 4% Health and Education Cess on the aggregate amount of Income Tax and Surcharge (if applicable) for FY 2020-21/ AY 2021-22.
It may be noted that the new cess named as “Health and Education Cess” @ 4% has been levied from FY 2018-19/ AY 2019-20 in lieu of “Education Cess” @ 2% and “Secondary and Higher Education Cess” @ 1% which was being levied upto FY 2017-18/ AY 2018-19.
Related Posts:
| Income Tax Slabs/ Rates: | Income Tax Cess, Surcharge & Rebate |
| Resident Individuals | Education Cess Rates |
| NRIs/ HUFs/ AOP/ BOI/ AJP | Surcharge Rates |
| Partnership Firms and LLPs | Marginal Relief from Surcharge |
| Domestic Companies | Rebate u/s 87A for Individuals |
| Foreign Companies | |
| Co-operative Societies | |
| Local Authorities |