Once an individual reaches at their income taxes due by summing up all their income, availing all the deductions applicable, assessing their taxable income amount and then, computing their taxes at the applicable rates to the particular income slab that they are coming under.
Next, if the income of an individual is between Rs. 50 lakhs to Rs. 1 crore, a 10% surcharge is applied and in case the income is more than Rs 1 crore, a 15% surcharge is applicable on the taxes due. Moreover, 4% of the amount of taxes due (plus the surcharge amount, if any) is required to be added in terms of health and education cess.
In case the income of the person during a year is not more than Rs 3.5 lakhs, then the person is entitled to claim a rebate amount, according to the Section 87A, of Rs 2,500 or less or the taxes due, whichever is lower.