None
Skip to mainGOVERNMENT OF INDIA
MINISTRY OF FINANCE
(DEPARTMENT OF REVENUE)
CENTRAL BOARD OF DIRECT TAXES
DEDUCTION OF TAX AT SOURCE-
INCOME-TAX DEDUCTION FROM SALARIES
UNDER SECTION 192 OF THE INCOME-TAX ACT, 1961
DURING THE FINANCIAL YEAR 2020-21
NEW DELHI, the or 03 December, 2020
F.No. 275/19212020-IT(B)
Government of India
Ministry of Finance
Deportment of Revenue
Central Board of Direct Taxes
North Block. New Delhi
Dated the 3rd December 2020
Reference is invited to Circular No. 4/2020 dated 16.01.2020 whereby the rates of deduction of income-tax from the payment of income under the head “Salaries” under Section 192 of the Income-tax Act. 1961 (hereinafter ‘the Act). during the financial year 2019.20. were intimated. The present Circular contains the rates of deduction of income-tax from the payment of income chargeable under the head “Salaries” during the financial year 2020-21 and explains certain related provisions of the Act and Income-tax Rules, 1962 (hereinafter the Rules). All the sections and rules referred arc of Income-tax Act. 1961 and Income-tax Rules, 1962 respectively unless otherwise specified. The relevant Acts, Rules, Forms and Notifications are available at the website of the Income Tax Department www.incometaxindia.gov.in
As per the Finance Act, 2020, income-tax is required to be deducted under Section 192 of the Act from income chargeable under the head “Salaries” for the financial year 2020-21 (i.e. Assessment Year 2021-22) at the following rates:
SI No |
Total Income | Rate of tax |
1 | Where the total income does not exceed Rs. 2.50.000/-. | Nil |
2 | Where the total income exceeds Rs. 2.50.000/- but does not exceed Rs. 5,00,000/-. | 5 per cent of the amount by which the total income exceeds Rs. 2,50,000/- |
3 | Where the total income exceeds Rs. 5.00.000/- but does not exceed Rs. 10,00,000/-. | Rs. 12.500/- plus 20 per cent of die amount by which the total income exceeds Its. 5.00.000/-. |
4 | Where the total income exceeds Rs. 10,00,000/- | Rs. 1,12,500/- plus 30 per cent of the amount by which the total income exceeds Rs. 10,00.000/- |
SI No | Total Income | Rate of tax |
1 | Where the total income does not exceed Rs. 3.00,000/- | Nil |
2 | Where the total income exceeds Its. 3,00.000 but does not exceed Its. 5,00,000/- | 5 per cent of the amount by which the total income exceeds Rs. 3,00,000/- |
3 | Where the total income exceeds Its. 5,00.000/- but does not exceed Rs. 10,00,000/- | Rs. 10,0001- plus 20 per cent of the amount by which the total income exceeds Rs. 5.00.000/-. |
4 | Where the total income exceeds Its. 10.00.000/- | Rs. 1.10.000/- plus 30 per cent of the amount by which the total income exceeds Rs. 10.00.000/- |
C. In ease of even individual, being a resident in India, who is of the age of eighty years or more at any time during the financial year:
SI No | Total Income | Rate of tax |
1 | Where the total income does not exceed Rs. 5,00,000/- | Nil |
2 | Where the total income exceeds Its. 5.00.000 but does not exceed Rs. 10.00.000/- | 20 per cent of the amount by which the total income exceeds Its. 5,00.000/- |
4 | Where the total income exceeds Rs. 10.00.000/- | Rs. 1,00,000/- plus 30 per cent of the amount by which the total income exceeds Its. 10,00,000/- |
🕑 24 Apr, 2024 09:17 AM
DoPT forwards 8th Pay Commission demand by IRTSA forwarded to Fin Min
🕑 23 Apr, 2024 10:01 AM
CGDA: Revision of rates of Allowances with DA rates increased to 50%
🕑 22 Apr, 2024 12:59 PM
CBDT: on DoPT order on regularization of Casual Workers
🕑 21 Apr, 2024 09:54 PM
DoPT Consolidated Instructions on SC, ST, OBC, PwD & EWS reservation
🕑 18 Apr, 2024 11:51 AM
Timeline extended for CGHS Beneficiary ID - ABHA ID linking
🕑 18 Apr, 2024 10:22 AM
APAR timelines for Central Civil Services extended to 30th April
🕑 10 Apr, 2024 08:25 AM
DoPT Guidelines on Departmental Promotion Committees
🕑 10 Apr, 2024 08:35 AM
Kendriya Vidyalaya Sangathan Admission Guidelines 2024-2025
🕑 05 Apr, 2024 01:23 PM
Kendriya Vidyalaya Balvatika Admission Schedule - 2024-25
🕑 02 Apr, 2024 09:25 AM
Kendriya Vidyalaya Admissions Open for 2024-25: Key Dates & Appln Process
🕑 01 Apr, 2024 09:23 AM
Kendriya Vidyalaya (KV) schools where Balvatika is functioning
🕑 14 Mar, 2024 02:07 PM
Govt bans 18 vulgar 18 OTT. See the list here
🕑 08 Mar, 2024 01:49 PM
Pension Scheme Gains Traction Across States, Despite Central Hurdles
🕑 20 Feb, 2024 11:17 PM
CGHS rate for general surgery applicable from February 1, 2024
🕑 08 Feb, 2024 10:19 AM
No loan interst change as RBI maintains repo rate at 6.50% for the 6th time