Taxed as salarySalaried individual rates
- Income tax
- Rs 0
- Surcharge
- Rs 0
- Total tax
- Rs 0
- Effective tax rate
- Rs 0
- Income after tax (year)
- Rs 0
- Income after tax (month)
- Rs 0
Taxed as business incomeIndividual or AOP rates
- Income tax
- Rs 0
- Surcharge
- Rs 0
- Total tax
- Rs 0
- Effective tax rate
- Rs 0
- Income after tax (year)
- Rs 0
- Income after tax (month)
- Rs 0
Difference in total tax per yearRs 0
Deciding how to take your income is a big decision. We can model your real figures, including withholding and minimum tax, before you commit.
Rates
Tax rates used, tax year 2027
Salary income
| Annual taxable income | Tax |
|---|---|
| Up to Rs 600,000 | Nil |
| Rs 600,001 to Rs 1,200,000 | 1% of the amount above Rs 600,000 |
| Rs 1,200,001 to Rs 2,200,000 | Rs 6,000 + 11% above Rs 1,200,000 |
| Rs 2,200,001 to Rs 3,200,000 | Rs 116,000 + 20% above Rs 2,200,000 |
| Rs 3,200,001 to Rs 4,100,000 | Rs 316,000 + 25% above Rs 3,200,000 |
| Rs 4,100,001 to Rs 5,600,000 | Rs 541,000 + 29% above Rs 4,100,000 |
| Rs 5,600,001 to Rs 7,000,000 | Rs 976,000 + 32% above Rs 5,600,000 |
| Above Rs 7,000,000 | Rs 1,424,000 + 35% above Rs 7,000,000 |
No surcharge on salary income from 1 July 2026.
Business income (individuals and AOPs)
| Annual taxable income | Tax |
|---|---|
| Up to Rs 600,000 | Nil |
| Rs 600,001 to Rs 1,200,000 | 15% of the amount above Rs 600,000 |
| Rs 1,200,001 to Rs 1,600,000 | Rs 90,000 + 20% above Rs 1,200,000 |
| Rs 1,600,001 to Rs 3,200,000 | Rs 170,000 + 30% above Rs 1,600,000 |
| Rs 3,200,001 to Rs 5,600,000 | Rs 650,000 + 40% above Rs 3,200,000 |
| Above Rs 5,600,000 | Rs 1,610,000 + 45% above Rs 5,600,000 |
Plus a surcharge of 10% of the tax where taxable income is above Rs 10 million.
Good to know
How this tool works
- Salaried rates apply only where salary makes up more than 75% of a person’s taxable income. Mixed incomes are taxed differently and are not shown here.
- Business income is shown at the rates for individuals and associations of persons (AOPs). Companies are taxed at a separate corporate rate.
- The figures exclude minimum tax, final tax regimes, withholding tax credits, tax credits and deductions, which can change the result considerably for businesses.
- Choosing whether to be paid as an employee or to run a business involves far more than income tax. Please take advice before changing how you earn.
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