Question

Currently the marginal income tax rates are 0% up to £11,850 per year and 20% for the income exceeding £11,850 up to £46,350. If your annual income is £40,000, then your total income tax liability is

Answer 1

Answer:

If your net taxable income exceeds Rs 5 lakh by even Re 1 then you will be ineligible to avail a tax rebate. Individuals, whose income just exceeds Rs 5 lakh, would be liable to pay more tax than the amount by which their income exceeds Rs 5 lakh