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[Cites 0, Cited by 19] [Entire Act]

Union of India - Section

Section 2 in Finance Act, 2019

2. Income-tax.

- The provisions of section 2 of, and the First Schedule to, the Finance Act, 2018, shall apply in relation to income-tax for the assessment year or, as the case may be, the financial year commencing on the 1st day of April, 2019, as they apply in relation to income-tax for the assessment year, or as the case may be, the financial year commencing on the 1st day of April, 2018, with the following modifications, namely: -(a)in section 2, -(i)in sub-section (1), for the figures "2018", the figures "2019" shall be substituted;(ii)in sub-section (3), for the first proviso, the following proviso shall be substituted, namely: -"Provided that the amount of income-tax computed in accordance with the provisions of section 111A or section 112 or section 112A of the Income-tax Act shall be increased by a surcharge, for the purposes of the Union, as provided in Paragraph A, B, C, D or E, as the case may be, of Part I of the First Schedule:";(iii)for sub-section (11) and sub-section (12), the following sub-section shall be substituted, namely: -'(11) The amount of income-tax as specified in sub-sections (1) to (3) and as increased by the applicable surcharge, for the purposes of the Union, calculated in the manner provided therein, shall be further increased by an additional surcharge, for the purposes of the Union, to be called the "Health and Education Cess on income-tax", calculated at the rate of four per cent. of such income-tax and surcharge so as to fulfil the commitment of the Government to provide and finance quality health services and universalised quality basic education and secondary and higher education.';(iv)sub-section (13) and sub-section (14) shall be renumbered as sub-section (12) and sub-section (13), respectively;(v)in sub-section (13) as so renumbered, in clause (a), for the figures "2018", the figures "2019" shall be substituted;(b)in the First Schedule, -(i)for Part I, the following Part I shall be substituted, namely: -"Part I Income-TaxParagraph A(I)In the case of every individual other than the individual referred to in items (ii) and (iii) of this Paragraph or Hindu undivided family or association of persons or body of individuals, whether incorporated or not, or every artificial juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, not being a case to which any other Paragraph of this Part applies, -Rates of income-tax
(1) where the total income does notexceed Rs. 2,50,000   Nil;
(2) where the total income exceedsRs. 2,50,000but does not exceedRs. 5,00,000   5 per cent. of the amount by which the totalincome exceeds Rs. 2,50,000;
(3) where the total income exceedsRs. 5,00,000but does not exceedRs. 10,00,000   Rs. 12,500plus20 per cent. of the amountbywhich the total income exceedsRs. 5,00,000;
(4) where the total income exceedsRs. 10,00,000   Rs. 1,12,500plus30 per cent. of the amountbywhich the total income exceedsRs. 10,00,000.
(II)In the case of every individual, being a resident in India, who is of the age of sixty years or more but less than eighty years at any time during the previous year, -Rates of income-tax
(1) where the total income does notexceed Rs.3,00,000   Nil;
(2) where the total income exceedsRs. 3,00,000but does not exceedRs. 5,00,000   5 per cent. of the amount by which the totalincome exceedsRs. 3,00,000;
(3) where the total income exceedsRs. 5,00,000but does not exceed Rs. 10,00,000   Rs. 10,000plus20 per cent. of the amountbywhich the total income exceeds Rs. 5,00,000;
(4) where the total income exceedsRs. 10,00,000   Rs. 1,10,000plus30 per cent. of the amountbywhich the total income exceeds Rs. 10,00,000.
(III)In the case of every individual, being a resident in India, who is of the age of eighty years or more at any time during the previous year, -Rates of income-tax
(1) where the total income does notexceed Rs.5,00,000   Nil;
(2) where the total income exceedsRs. 5,00,000but does not exceedRs. 10,00,000   20 per cent. of the amount by which thetotalincome exceeds Rs. 5,00,000;
(3) where the total income exceedsRs. 10,00,000   Rs. 1,00,000plus30 per cent. of the amountbywhich the total income exceedsRs. 10,00,000.
Surcharge on income-taxThe amount of income-tax computed in accordance with the preceding provisions of this Paragraph, or the provisions of section 111A or section 112 or section 112A of the Income-tax Act, shall be increased by a surcharge for the purposes of the Union, calculated, in the case of every individual or Hindu undivided family or association of persons or body of individuals, whether incorporated or not, or every artificial juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, -(a)having a total income exceeding fifty lakh rupees but not exceeding one crore rupees, at the rate of ten per cent. of such income-tax; and(b)having a total income exceeding one crore rupees, at the rate of fifteen per cent. of such income-tax:Provided that in the case of persons mentioned above having total income exceeding, -(a)fifty lakh rupees but not exceeding one crore rupees, the total amount payable as income-tax and surcharge on such income shall not exceed the total amount payable as income-tax on a total income of fifty lakh rupees by more than the amount of income that exceeds fifty lakh rupees;(b)one crore rupees, the total amount payable as income-tax and surcharge on such income shall not exceed the total amount payable as income-tax and surcharge on a total income of one crore rupees by more than the amount of income that exceeds one crore rupees.Paragraph BIn the case of every co-operative society, -Rates of income-tax
(1) where the total income does notexceed Rs.10,000   10 per cent. of the total income;
(2) where the total income exceedsRs. 10,000but does not exceedRs. 20,000   Rs. 1,000 plus 20 per cent. of the amount bywhich the total income exceeds Rs. 10,000;
(3) where the total income exceedsRs. 20,000   Rs. 3,000plus30 per cent. of the amount bywhich the total income exceeds Rs. 20,000.
Surcharge on income-taxThe amount of income-tax computed in accordance with the preceding provisions of this Paragraph, or the provisions of section 111A or section 112 or section 112A of the Income-tax Act, shall, in the case of every co-operative society, having a total income exceeding one crore rupees, be increased by a surcharge for the purposes of the Union calculated at the rate of twelve per cent. of such income-tax:Provided that in the case of every co-operative society mentioned above having total income exceeding one crore rupees, the total amount payable as income-tax and surcharge on such income shall not exceed the total amount payable as income-tax on a total income of one crore rupees by more than the amount of income that exceeds one crore rupees.Paragraph CIn the case of every firm, -Rate of income-taxOn the whole of the total income 30 per cent.Surcharge on income-taxThe amount of income-tax computed in accordance with the preceding provisions of this Paragraph, or the provisions of section 111A or section 112 or section 112A of the Income-tax Act, shall, in the case of every firm, having a total income exceeding one crore rupees, be increased by a surcharge for the purposes of the Union calculated at the rate of twelve per cent. of such income-tax:Provided that in the case of every firm mentioned above having total income exceeding one crore rupees, the total amount payable as income-tax and surcharge on such income shall not exceed the total amount payable as income-tax on a total income of one crore rupees by more than the amount of income that exceeds one crore rupees.Paragraph DIn the case of every local authority, -Rate of income-taxOn the whole of the total income 30 per cent.Surcharge on income-taxThe amount of income-tax computed in accordance with the preceding provisions of this Paragraph, or the provisions of section 111A or section 112 or section 112A of the Income-tax Act, shall, in the case of every local authority, having a total income exceeding one crore rupees, be increased by a surcharge for the purposes of the Union calculated at the rate of twelve per cent. of such income-tax:Provided that in the case of every local authority mentioned above having total income exceeding one crore rupees, the total amount payable as income-tax and surcharge on such income shall not exceed the total amount payable as income-tax on a total income of one crore rupees by more than the amount of income that exceeds one crore rupees.Paragraph EIn the case of a company, -Rates of income-taxI. In the case of a domestic company, -
(i) where its total turnover or thegrossreceipt in the previousyear 2016-2017 does not exceedtwohundred and fifty crore rupees   25 per cent. of the total income;
(ii) other than that referred to initem (i)   30 per cent. of the total income.
II. In the case of a company other than a domestic company, -
(i) on so much of the total income as consistsof, -    
(a) royalties received fromGovernment or an Indian concern inpursuance of an agreement made by itwith the Government or theIndianconcern after the 31st day of March,1961 but before the1st day of April,1976; or    
(b) fees for rendering technicalservices received fromGovernment oran Indian concern in pursuance of anagreement madeby it with theGovernment or the Indian concern afterthe 29thday of February, 1964 butbefore the 1st day of April, 1976,    
and where such agreement has, in either case, been approved by the Central Government   50 per cent.;
(ii) on the balance, if any, of the total income   40 per cent.
Surcharge on income-taxThe amount of income-tax computed in accordance with the preceding provisions of this Paragraph, or the provisions of section 111A or section 112 or section 112A of the Income-tax Act, shall be increased by a surcharge for the purposes of the Union calculated, -(i)in the case of every domestic company, -(a)having a total income exceeding one crore rupees but not exceeding ten crore rupees, at the rate of seven per cent. of such income-tax; and(b)having a total income exceeding ten crore rupees, at the rate of twelve per cent. of such Income-tax;(ii)in the case of every company other than a domestic company, -(a)having a total income exceeding one crore rupees but not exceeding ten crore rupees, at the rate of two per cent. of such income-tax; and(b)having a total income exceeding ten crore rupees, at the rate of five per cent. of such income-tax:Provided that in the case of every company having a total income exceeding one crore rupees but not exceeding ten crore rupees, the total amount payable as income tax and surcharge on such income shall not exceed the total amount payable as income tax on a total income of one crore rupees by more than the amount of income that exceeds one crore rupees:Provided further that in the case of every company having a total income exceeding ten crore rupees, the total amount payable as income-tax and surcharge on such income shall not exceed the total amount payable as income-tax and surcharge on a total income of ten crore rupees by more than the amount of income that exceeds ten crore rupees.";(ii)in Part III, in Paragraph E, in sub-paragraph 1, in clause (i), for the words and figures "previous year 2016-2017", the words and figures "previous year 2017-2018" shall be substituted;(iii)in Part IV, in Rule 8, -(A)for sub-rules (1) and (2), the following sub-rules shall be substituted, namely: -"(1) Where the assessee has, in the previous year relevant to the assessment year commencing on the 1st day of April, 2019, any agricultural income and the net result of the computation of the agricultural income of the assessee for any one or more of the previous years relevant to the assessment years commencing on the 1st day of April, 2011 or the 1st day of April, 2012 or the 1st day of April, 2013 or the 1st day of April, 2014 or the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018, is a loss, then, for the purposes of sub-section (2) of section 2 of this Act, -(i)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2011, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2012 or the 1st day of April, 2013 or the 1st day of April, 2014 or the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018,(ii)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2012, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2013 or the 1st day of April, 2014 or the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018,(iii)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2013, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2014 or the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018,(iv)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2014, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018,(v)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2015, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018,(vi)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2016, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2017 or the 1st day of April, 2018,(vii)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2017, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2018,(viii)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2018, shall be set off against the agricultural income of the assessee for the previous year relevant to the assessment year commencing on the 1st day of April, 2019.
(2)Where the assessee has, in the previous year relevant to the assessment year commencing on the 1st day of April, 2020, or, if by virtue of any provision of the Income-tax Act, income-tax is to be charged in respect of the income of a period other than the previous year, in such other period, any agricultural income and the net result of the computation of the agricultural income of the assessee for any one or more of the previous years relevant to the assessment years commencing on the 1st day of April, 2012 or the 1st day of April, 2013 or the 1st day of April, 2014 or the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018 or the 1st day of April, 2019, is a loss, then, for the purposes of sub-section (10) of section 2 of this Act, -
(i)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2012, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2013 or the 1st day of April, 2014 or the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018 or the 1st day of April, 2019,
(ii)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2013, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2014 or the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018 or the 1st day of April, 2019,
(iii)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2014, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2015 or the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018 or the 1st day of April, 2019,
(iv)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2015, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018 or the 1st day of April, 2019,
(v)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2016, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2017 or the 1st day of April, 2018 or the 1st day of April, 2019,
(vi)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2017, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2018 or the 1st day of April, 2019,
(vii)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2018, to the extent, if any, such loss has not been set off against the agricultural income for the previous year relevant to the assessment year commencing on the 1st day of April, 2019,
(viii)the loss so computed for the previous year relevant to the assessment year commencing on the 1st day of April, 2019,
shall be set off against the agricultural income of the assessee for the previous year relevant to the assessment year commencing on the 1st day of April, 2020.";
(B)for sub-rule (4), the following sub-rule shall be substituted, namely: -
"(4) Notwithstanding anything contained in this rule, no loss which has not been determined by the assessing officer under the provisions of these rules or the rules contained in the First Schedule to the Finance Act, 2011 (8 of 2011) or the First Schedule to the Finance Act, 2012 (23 of 2012) or the First Schedule to the Finance Act, 2013 (17 of 2013) or the First Schedule to the Finance (No. 2) Act, 2014 (25 of 2014) or the First Schedule to the Finance Act, 2015 (20 of 2015) or the First Schedule to the Finance Act, 2016 (28 of 2016) or the First Schedule to the Finance Act, 2017 (7 of 2017) or the First Schedule to the Finance Act, 2018 (13 of 2018) shall be set off under sub-rule (1) or, as the case may be, sub-rule (2).".