Rebate u/s 87A for AY 2017-18 (FY 2016-17)

Union Budget 2016-17 was presented by the Finance Minister on 29-02-2016.

Section 87A of the Income Tax Act, 1961 was inserted by the Finance Act, 2013 w.e.f. 01-04-2014. The section provides for a income tax rebate up to Rs. 2000/- for assessees having Taxable Income not exceeding Rs. 5 lakhs.

In his direct tax proposals, the Finance Minister has proposed to increase the limit of rebate under section 87A for FY 2016-17 AY 2017-18 by Rs. 3000/- (from Rs. 2000/- to Rs. 5000/- )