Income tax rates and surcharge framework set for assessment year, governing TDS, advance tax, agricultural income and cess. Clause 2 fixes the rates of income-tax for the assessment year as set out in the First Schedule and prescribes that such tax shall be increased by a surcharge calculated as provided. It prescribes computation rules for including net agricultural income for charging tax, provides age based substitution of basic exemption limits, applies special charging rules where other chapters or sections govern tax liability, and mandates specified cess levies on tax and surcharge with limited exceptions for TDS/TCS in relation to domestic companies and residents.