Tax slab for the individual tax payers 2010-11

  • Tax free income limit remains unchanged to Rs. 1.6 lakh
  • Tax rate for Income upto Rs. five lakh is 10 percent
  • Income between Rs. five to eight lakh will have to pay 20 percent against the current slab of Rs. three to five lakh
  • Income above Rs. eight lakh will have to pay tax at the rate 30 percent
  • Relief for the corporate sector would be as a government proposed to reduce surcharge on corporate tax to 7.5 percent against 10 percent presently
  • Minimum Alternate Tax (MAT) is increased from 15 percent to 18 percent on book profits of those companies which do not pay tax because of various exemptions.
  • Direct tax concessions of Rs. 26000 crore
  • Displaying of confidence of introducing major reforms on direct and indirect taxes front in the form of Goods and Services Tax (GST) and Direct Taxes Code (DTC) from April 1, 2011
  • Extension of subsidy on exporters for 1 more year till March 31, 2011
  • Extension of the interest subvention of 2 per cent for one more year for exports covering handicrafts, carpets, hand-looms and small and medium enterprises (SMEs) which was to expire on March 31, 2010
  • Rs. 400 crore to be allocated for green revolution in Bihar, Jharkhand, West Bengal and Orissa, and Rs 300 crore for creating 6000 pulse and oilseed villages.
  • Allocation for roads has been raised by 13% and allocation for power sector doubled. 46% of total plan dedicated to infrastructure