Calculate education cess on income tax Rs 12000 *
Answers
Answer:The rate at which education cess is calculated is actually a combination of the two types of cess applied on the taxable income. For the education cess the rate is 2% of the tax payable and for the Secondary and Higher Education Cess the rate is 1% of the tax payable.
Step-by-step explanation:
Step-by-step explanation:
The new concessional income tax regime has come into effect from April 1, 2020. This gives an individual taxpayer the option to either continue with the existing tax regime (with tax-exemptions, deductions) or opt for the new tax regime (sans 70 tax-exemptions and deductions). Salaried individuals, who have no business income, will have to choose between the existing and new tax regimes in every financial year, as per their convenience.
On the other hand, those who have business income should carefully evaluate whether they want to continue with the existing tax regime or opt for the new regime. Once they opt for the new regime, then they can switch back to the existing tax regime only once in a lifetime.