India Income Tax — Frequently Asked Questions
What is the income tax rate in India? India's personal income tax rate ranges up to 31.2% for the 2026 tax year.
What currency is tax calculated in? India calculates and pays tax in INR (₹).
When is the filing deadline? The typical deadline is 31 July, though this can vary by filer type — see the filing guide for details.
Is this calculator's result exact? The bracket rates are based on India's published figures, but the estimate still excludes some credits, surcharges, and regional variations. Your actual liability depends on deductions, credits, residency status, and other factors not fully captured here.
What happens if I file late? Most tax authorities charge a late-filing penalty plus interest on unpaid tax. See the filing guide for more.
What social contributions do I need to budget for in India? Employees typically contribute 12% of basic salary to EPF, matched by the employer. This is a retirement savings contribution, not a tax, but it does reduce take-home pay.
Who counts as a tax resident in India? You are a tax resident if present in India for 182+ days in the financial year, or 60+ days plus 365+ days across the preceding four years (with relaxed rules for Indian citizens working abroad).
What's the most common mistake people make estimating India tax? Not comparing the Old Regime (more deductions, higher rates) against the New Regime (fewer deductions, lower rates) — which one is cheaper depends entirely on how many deductions you can actually claim.
How do most people actually file in India? Employers deduct TDS (Tax Deducted at Source) from salary every month. Employees then file an annual Income Tax Return (ITR) to reconcile the year and claim any refund.
Where can I find official rates? Always cross-check with Income Tax Department (Central Board of Direct Taxes) for the current, legally binding tax-year figures.