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A charge of a fixed percentage on top of income tax and surcharge.
Cess is 4% of the tax after the rebate plus any surcharge. Because the rebate is applied first, an income fully covered by the 87A rebate pays no cess either. Applying the rebate after cess is a common mistake that leaves a small amount that is not owed.
The tax-saving value of a deduction includes the cess: a rupee deducted saves your slab rate plus cess on it.
Figures on this page are filled from the same tax and scheme tables the calculators use, for the current financial year. Every term in the glossary.