Income tax is imposed by the Government on the individuals or the entities (taxpayers) that varies with their respective income or profits. The tax thus collected by the government is used in improvement of country’s Infrastructure and helping countries’ poor. All of Government’s welfare schemes depend on the Tax Income.
Income tax rates in India are open to revision every year and are revised in the general budget presented by the Finance Minister in the Parliament during the Budget Session. Last year also Income Tax rates are revised by the Finance Minister and the current Income tax rate for financial year is given below.
Difference between Assessment Year and Financial Year
An assessment year is typically the year following the financial year. The given table explains the difference between Financial and Assessment year in simple terms.
|Period||Financial Year (FY)||Assessment Year (AY)|
|1 April 2016 – 31st March 2017||2016-2017 (16-17)||2017-2018 (17-18)|
|1 April 2017 – 31st March 2018||2017-2018 (17-18)||2018-2019 (18-19)|
|1 April 2018 – 31st March 2019||2018-2019 (18-19)||2019-2020(19-20)|
Income Tax Rates for Assessment Year 18-19 PDF
Income Tax Rates for Financial Year 18-19 PDF