Tax Rates & Regimes

Tax rates for firms, LLPs, companies and MAT

1 min read Updated 03 Oct 2026 2 views

AI summary

Flat rates for firms and LLPs, the three company rate options, and the 14% MAT from tax year 2026-27.

4 sections

30% flat on total income, plus surcharge (12% above ₹1 crore) and 4% cess.
Partner's salary and interest (up to 12%) are deductible within limits and taxed in the partner's hands.
Alternate minimum tax applies if the firm claims certain profit-linked deductions.

Option	Rate	Conditions
Concessional regime	22%	No specified incentives or deductions; no MAT; surcharge 10%
Small company	25%	Turnover up to ₹400 crore in the relevant earlier year
Others	30%	—

From tax year 2026-27, MAT is 14% of book profit (earlier 15%).
MAT is now a final tax: no new MAT credit is created from 1 April 2026.
Companies that move to the concessional regime can use brought-forward MAT credit, limited to 25% of the tax liability in a year.

Normal co-operative slab rates, or an optional 22% regime without deductions.

Sources

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