1. A person having Salary 5 300 000, Rent income Rs.14 940 500 and Professional income Rs 6 000 000
After deducting all Taxable income is 23 762 500.
As there is special rate scheme on professional income how to apply taxable income for correct tax rates?
1st 500 000,
2nd 500 000
3rd 500 000 is to apply 4% 8% and 12% for Rent income 1st ?
then 6 000 000 of professional income at 12% correct?
rent income -1st 500 000 4% 20 000
rent income - 2nd 500 000 8% 40 000
rent income- 3rd 500 000 12% 60 000
4th professional income 6 000 000 12 % 720 000
5th rent income 500 000 16% 80 000
6th Employment income 5 300 000 16 % 848 000
7th rent income 1 000 000 20% 200 000
balance 9462500 24% 2 271 000
Total tax 4 239 00 correct ???
What is IRD practise ??
2.If professional income exceeds 24 million
23 500 000 of professional income goes to 12% and rest 500 000 goes to 14 ???
