Answered

Get expert insights and reliable answers to your questions on IDNLearn.com. Ask anything and receive prompt, well-informed answers from our community of knowledgeable experts.

Exercise 2:

Study the following table showing the income brackets and the corresponding tax rates for individuals doing business as sole proprietors.

| Yearly Income (₹) | Tax Rate (%) |
|-----------------------------|--------------|
| 1 - 4,50,000 | 10 |
| 4,50,001 - 5,50,000 | 20 |
| 5,50,001 - 2,50,000 | 30 |
| 2,50,001 - 20,00,000 | 36 |

Sagot :

GinnyAnsweridn
Sure! Let's carefully analyze the question step-by-step based on the given information:

### Income Tax Thresholds for Small Businesses

The income ranges are as follows with the corresponding rates:

1. Range: 1 - 450,000
- No specific rate provided.

2. Range: 450,001 - 550,000
- No specific rate provided.

3. Range: 550,001 - 2,500,000
- No specific rate provided.

4. Range: 2,500,001 - 20,000,000
- Rate: 36%

### Step-by-Step Solution

#### Step 1: Identifying the Income Ranges
We have four distinct income ranges:

1. Range 1: 1 to 450,000
2. Range 2: 450,001 to 550,000
3. Range 3: 550,001 to 2,500,000
4. Range 4: 2,500,001 to 20,000,000

#### Step 2: Determine the Applicable Rates
We need to assign rates to these ranges based on the provided information.

- For the first three ranges (1-450,000, 450,001-550,000, and 550,001-2,500,000), no specific rate is mentioned directly, but it is implied that there is no fixed rate applicable for these ranges.

- For the last range (2,500,001-20,000,000), the rate is given as 36%.

Income ranges and their rates:

1. 1 to 450,000: No rate assigned.
2. 450,001 to 550,000: No rate assigned.
3. 550,001 to 2,500,000: No rate assigned.
4. 2,500,001 to 20,000,000: 36%

#### Step 3: Recap the Ranges and Rates

Let's aggregate our findings into a coherent summary:

- Range: 1 - 450,000
- Rate: Not specified

- Range: 450,001 - 550,000
- Rate: Not specified

- Range: 550,001 - 2,500,000
- Rate: Not specified

- Range: 2,500,001 - 20,000,000
- Rate: 36%

### Conclusion
The income ranges provided are divided as shown above, and only the highest range (from 2,500,001 to 20,000,000) has a specified rate of 36%. For the other ranges, the rates have not been specified directly.
We value your participation in this forum. Keep exploring, asking questions, and sharing your insights with the community. Together, we can find the best solutions. For trustworthy and accurate answers, visit IDNLearn.com. Thanks for stopping by, and see you next time for more solutions.