Salient Features of Budget 2009-10 regarding Income Tax

I propose to raise by Rs 10,000 the exemption limit for women on income tax. For all others, Rs 10,000 up from Rs 1,50,000, says Mukherjee.
Personal income tax exemption limit for senior citizens raised by Rs 15,000.
No change in Corporate Tax.
Ten per cent surcharge on personal income tax removed.
FRINGE BENEFIT TAX ABOLISHED.
Direct Tax code to be released in 45 days along with discussion paper.
FBT ABOLISHED
IT returns to be made simpler, says Mukherjee.
Saral Form II to be reintroduced, says FM. In 4 years, filing tax returns online to be made easier.
Minimum Alternate Tax on book profits increased to 15 per cent from 10 per cent.

Tax Rate for the Financial Year 2009-10 as per budget proposal.

For Males

For Financial Year 2009-10

Taxable Annual Income Slab (In Rs.)

Tax Rate (In %)

Upto Rs. 1,60,000/-

Nil

Rs. 1,56,001/- to Rs. 3,00,000/-

10%

Rs. 3,00,001/- to Rs. 5,00,000

20%

Above Rs. 5,00,000/-

30%

For Females

For Financial YearYear 2009-10

Taxable Annual Income Slab (In Rs.)

Tax Rate (In %)

Upto Rs. 1,90,000/-

Nil

Rs. 1,90,001/- to Rs. 3,00,000/-

10%

Rs. 3,00,001/- to Rs. 5,00,000/-

20%

Above Rs. 5,00,000/-

30%

For Senior Citizen

For Financial YearYear 2009-10

Taxable Annual Income Slab (In Rs.)

Tax Rate (In %)

Upto Rs. 2,40,000/-

Nil

Rs. 2,40,001/- to Rs. 3,00,000/-

10%

Rs. 3,00,001/- to Rs. 5,00,000

20%

Above Rs. 5,00,000/-

30%

The Surcharge on Individual Income Tax has been abolished.