What is income tax rate?
Income Tax Rate is a percentage of an individual's or business' taxable income set by the government. This rate is used to calculate the amount of tax that must be paid to the governing body and determines how much money individuals and businesses can keep after taxes. Generally, tax rates are progressive, meaning they increase as income increases.
What is company income tax rate?
Company income tax rate in India is currently set at 30%, with a surcharge of 10% on taxable income exceeding Rs. 1 crore. This rate applies to domestic companies, Indian companies and foreign companies alike. Additionally, a corporate surcharge of 7% is applicable for domestic companies whose taxable income exceeds Rs. 10 crore, taking the total rate to a maximum of 34.936%.
Depreciation rate as per income tax act India
The depreciation rate for various types of assets is specified in section 32 of the Indian Income Tax Act. The exact rate of depreciation will depend on the type of asset being considered. For example, the depreciation rate for buildings is generally between 2.5% and 5%, while the rate for machinery and equipment is typically higher, at 10% to 30%.
It's important to note that the rates of depreciation specified in the Income Tax Act are subject to change, so it's always a good idea to check Income Tax Department portal for the most up-to-date information.