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What is the 2020 tax year?

The 2020 tax year is the assessment year 2020-21 and previous year 2019-2020 in India. A financial year (FY) is the period between 1st April to 31st March, the year in which a taxpayer earns his income. This income is subject to tax in the assessment year. 

An assessment year starts just after the financial year. In an assessment year the income of a taxpayer is assessed and tax liability arises. Both the assessment year and the financial year start from 1st April and end on 31st March.

Example- For the Financial Year (FY) 1st April 2020- 31st March 2021, the assessment year is 1st April 2021- 31st March 2022

What is the most recent tax year?

The most recent tax financial year is 1st April 2020- 31st March 2021 and the assessment year for this FY is 1st April 2021- 31st March 2022. 

Below is a list of recent financial years and assessments years

PeriodFinancial YearAssessment Year
1 April 2020 to 31 March 20212020-212021-22
1 April 2019 to 31 March 20202019-202020-21
1 April 2018 to 31 March 20192018-192019-20
1 April 2017 to 31 March 20182017-182018-19

What is the tax for 1 lakh in India?

The tax liability on an income earned by a taxpayer depends on the type of taxpayer and the applicable tax slab.

Type of taxpayerTax ExemptNet IncomeTax Liability
IndividualIncome up to Rs. 2,50,000Rs. 1,00,000NIL
Senior CitizenIncome up to Rs. 3,00,000Rs. 1,00,000NIL
Super Senior CitizenIncome up to Rs. 3,00,000Rs. 1,00,000NIL
Hindu Undivided FamilyIncome up to Rs. 2,50,000Rs. 1,00,000NIL
Partnership Firm’s, LLP & Local AuthorityApplicable Tax Rate of 30%(excl surcharge and cess)Rs. 1,00,000Rs. 30,000
Domestic CompanyApplicable Tax Rate of 30%(excl surcharge and cess)Rs. 1,00,000Rs. 30,000

Is tax year the same as fiscal year?

The fiscal year across the globe usually starts from 1st january and end on 31st December. However this period differs from country to country. India both the fiscal year and the financial year start from 1st April and end on 31st March.

As per the Income Tax Act, 1961 there are 2 tax years, financial year and assessment year. Both the FY and AY start from 1st April and end on 31st March. 

The financial year is the same as fiscal year but the assessment year is the succeeding year of the financial year. Both the FY/ fiscal year and AY are a period of 12 months.

Example- For the fiscal year / financial year 1st April 2020- 31st March 2021, the assessment year is 1st April 2021- 31st March 2022

What is difference between accounting year and financial year?

The period of accounting of income and expenditure is called the accounting year or financial year. Both the accounting year and the financial year is the same in India

Published on November 18, 2020