EY analysis

Budget 2020 – Impact on Individual income-tax rates - Comparison

Illustration - 1
Non Salaried individuals
Particulars Pre Budget Post Budget

Income from Salary

Basic Salary
House rent allowance (HRA)
Leave Travel Assistance (LTA)
Special Allowance
Employer's contribution to NPS
Additional Perquisite

Exemptions
HRA
LTA

Less: Standard deduction

Less: Professional tax - -

Income from House Prope7,00,000 7,00,000

Income from Other Sources

Interest on Savings Bank Account
Interest on Fixe 8,10,000 8,10,000 8,10,000 8,10,000

Gross Total income 15,10,000 15,10,000

Deductions under Chapter VIA

Section 80C -
Employee Contri- -
Contribution to - -

Section 80CCD - -
NPS- Employee -a -
NPS- Employer c- -

Section 80D - - - - -
Section 80TTA - - - -

Pre Tax Income (Total Tax15,10,000 15,10,000

Income-tax 2,65,500 1,90,500

Less: Rebate under section 87A- -
Total tax payable after R 2,65,500 1,90,500

Surcharge @10% / 15% / 25% / - -

Total tax payable after s 2,65,500 1,90,500
Health and Education Cess @ 4 10,620 7,620

Total tax, surcharge and 2,76,120 1,98,120

Impact in tax liability (in Rs) 78,000

 Illustration - 2 Illustrati
Non Salaried individuals Salaried Individual - Taxable
Pre Budget Post Budget Pre Budget

4,50,000
1,80,000
75,000
80,000
45,000

8,30,000

-
-

-50,000
- - -2,400

7,00,000 7,00,000

80,000 80,000 10,000

8,10,000 8,90,000 8,10,000 8,90,000 40,000

15,90,000 15,90,000

-
- - 54,000
- - -

- -
- -
- - 45,000

- - - - -
- -10,000 - - -

15,80,000 15,90,000

2,86,500 2,14,500
- -
2,86,500 2,14,500

- -
2,86,500 2,14,500
11,460 8,580

2,97,960 2,23,080

74,880
 Illustration - 3 Illustration - 4
ied Individual - Taxable income below Rs 10 lacs
Salaried Individual - Taxable income in the range of R
Pre Budget Post Budget Pre Budget

4,50,000 8,50,000
1,80,000 1,50,000
75,000 75,000
80,000 5,00,000
45,000 85,000

8,30,000 16,60,000

- -40,000
- -

- -50,000
7,77,600 - 8,30,000 -2,400 15,67,600

- -

10,000
50,000 40,000 50,000 -

8,27,600 8,80,000 15,67,600

-54,000 (1,02,000)
- 1,02,000
- -

-45,000 -45,000 -85,000

-
45,000 85,000

- - - - -
 -10,000 - - - -

7,18,600 8,35,000 13,80,600

56,220 50,250 2,26,680

- - -
56,220 50,250 2,26,680

- - -
56,220 50,250 2,26,680
2,249 2,010 9,067

58,470 52,260 2,35,750

6,210
 Illustration - 4 Illustration - 5
come in the range of Rs 10 LakhsSalaried
to Rs 15Individual
Lakhs - Taxable income in the range of Rs 10 Lakhs to
Post Budget Pre Budget Post Budget

8,50,000 8,50,000 8,50,000

1,50,000 1,50,000 1,50,000
75,000 75,000 75,000
5,00,000 5,00,000 5,00,000
85,000 85,000 85,000
- -
16,60,000 16,60,000 16,60,000

- -80,000 -
- -75,000 -

- -50,000 -
- 16,60,000 -2,400 14,52,600 -

- (2,00,000)

30,000 30,000
- 15,000 45,000 15,000

16,60,000 12,97,600

(1,50,000)
- 1,02,000 -
- 50,000 -

-85,000 (1,35,000)
- 1,00,000 -
85,000 85,000 85,000

- - -18,000
- - -10,000

15,75,000 9,84,600

2,10,000 1,09,420
- -
2,10,000 1,09,420

- -
2,10,000 1,09,420
8,400 4,377

2,18,400 1,13,800

17,350
 -5 Illustration - 6
range of Rs 10 LakhsSalaried
to Rs 15Individual
Lakhs - Taxable income in the range of Rs 15 Lakhs to Rs 50 Lakhs
Post Budget Pre Budget Post Budget

11,50,000 11,50,000
5,00,000 5,00,000
1,50,000 1,50,000
7,00,000 7,00,000
1,15,000 1,15,000
-
26,15,000 26,15,000

(3,05,000) -
-75,000 -

-50,000 -
16,60,000 -2,400 21,82,600 - 26,15,000

- (2,00,000) -

50,000 50,000
45,000 25,000 75,000 25,000 75,000

17,05,000 20,57,600 26,90,000

- (1,50,000) -
1,38,000 -
50,000 -

-85,000 (1,65,000) (1,15,000)

1,00,000 -
1,15,000 1,15,000

- -18,000 -
- -10,000 -

16,20,000 17,14,600 25,75,000

2,23,500 3,26,880 5,10,000

- - -
2,23,500 3,26,880 5,10,000

- - -
2,23,500 3,26,880 5,10,000
8,940 13,075 20,400

2,32,440 3,39,960 5,30,400

(1,18,640) (1,90,440)
 Illustration - 7
Salaried Individual - Taxable income in the range of Rs 50 Lakhs to Rs 1 Crore
Pre Budget Post Budget

38,00,000 38,00,000
13,00,000 13,00,000
7,00,000 7,00,000
12,00,000 12,00,000
3,80,000 3,80,000
86,000
73,80,000 74,66,000

(4,50,000) -
(1,50,000) -

-50,000 -
-2,400 67,27,600 - 74,66,000

(2,00,000) -

1,25,000 1,25,000
25,000 1,50,000 25,000 1,50,000

# 66,77,600 76,16,000 #

(1,50,000) -
4,56,000 -
50,000 -

(4,30,000) (3,80,000)
1,00,000 -
3,80,000 3,80,000

- -18,000 -
- -10,000 -

60,69,600 72,36,000

16,33,380 19,08,300
- -
16,33,380 19,08,300

1,63,338 1,90,830
17,96,718 20,99,130
71,869 83,965

18,68,590 21,83,100

(3,14,510)
 Illustration - 8 Illustrati
ried Individual - Taxable income in the range of Rs 1 Crore Salaried
to Rs 2 Crores
Individual - Taxable income in th
Pre Budget Post Budget Pre Budget

50,00,000 50,00,000 1,75,00,000

25,00,000 25,00,000 45,00,000
7,00,000 7,00,000 12,00,000
26,00,000 26,00,000 37,00,000
5,00,000 5,00,000 17,50,000
3,50,000
1,13,00,000 1,16,50,000 2,86,50,000

(6,00,000) - (8,00,000)
(1,50,000) - (12,00,000)

-50,000 - -50,000
-2,400 1,04,97,600 - 1,16,50,000 -2,400

(2,00,000) -

9,00,000 9,00,000 9,00,000

1,25,000 10,25,000 1,25,000 10,25,000 1,25,000

1,13,22,600 1,26,75,000 #

(1,50,000)
6,00,000 - 21,00,000
50,000 - 50,000

(5,50,000) (5,00,000)
1,00,000 - 1,00,000
5,00,000 5,00,000 17,50,000

- -18,000 - -
- -10,000 - - -

1,05,94,600 1,21,75,000

29,90,880 33,90,000
- -
29,90,880 33,90,000

4,48,632 5,08,500
34,39,512 38,98,500
1,37,580 1,55,940

35,77,090 40,54,440

(4,77,350)
 All figures in Rs

Illustration - 9 Illustration - 10
al - Taxable income in the range of Rs 2 Crores to Rs 5 Crores
Salaried Individual - Taxable income abov
Pre Budget Post Budget Pre Budget

1,75,00,000 2,75,00,000
45,00,000 45,00,000
12,00,000 12,00,000
37,00,000 2,22,00,000
17,50,000 27,50,000
31,00,000
3,17,50,000 5,81,50,000

- (8,00,000)
- (12,00,000)

- -50,000
2,65,97,600 - 3,17,50,000 -2,400 5,60,97,600

(2,00,000) - (2,00,000)

9,00,000 9,00,000
10,25,000 1,25,000 10,25,000 1,25,000 10,25,000

2,74,22,600 3,27,75,000 5,69,22,600

(1,50,000) (1,50,000)
- 33,00,000
- 50,000

(18,00,000) (17,50,000) (28,00,000)

- 1,00,000
17,50,000 27,50,000

-18,000 - - - -18,000
 -10,000 - - - -10,000

2,54,44,600 3,10,25,000 5,39,44,600

74,45,880 90,45,000 1,59,95,880

- - -
74,45,880 90,45,000 1,59,95,880

18,61,470 22,61,250 59,18,476

93,07,350 1,13,06,250 2,19,14,356
3,72,294 4,52,250 8,76,574

96,79,640 1,17,58,500 2,27,90,930

(20,78,860)
 All figures in Rs per annum

Illustration - 10
- Taxable income above Rs 5 Crores
Post Budget

2,75,00,000
45,00,000
12,00,000
2,22,00,000
27,50,000
53,00,000
6,34,50,000

-
-

-
- 6,34,50,000

9,00,000
1,25,000 10,25,000

6,44,75,000

-
-

(27,50,000)
-
27,50,000

- -
- -

6,17,25,000

1,82,55,000
-
1,82,55,000

67,54,350
2,50,09,350
10,00,374

2,60,09,720

(32,18,790)