Country tax profile · 2026
India income tax
How India taxes income
India taxes personal income at rates up to 39%. Ordinary residents are taxed on worldwide income; RNOR status exempts foreign income for 2 to 3 years.
Compiled by MyNomadWorld for India and currently being re-verified against primary sources. Confirm with a local adviser before relying on it.
India income tax brackets (2026)
| Taxable income | Rate |
|---|---|
| up to 400,000 INR | 0% |
| up to 800,000 INR | 5% |
| up to 1,200,000 INR | 10% |
| up to 1,600,000 INR | 15% |
| up to 2,000,000 INR | 20% |
| up to 2,400,000 INR | 25% |
| over the top bracket | 30% |
National brackets; local or regional surcharges may apply on top.
How India's income tax compares
India's top income tax of 39% is the 43rd highest of the 197 countries we track, against a global average of 27.9% and a Asia average of 23.4%.
Countries with a similar income tax
Colombia (39%) · New Zealand (39%) · Nepal (39%) · Gibraltar (39%) · Cameroon (38%) · Central African Republic (40%)
Who is a tax resident of India?
>=182 days in India in the FY; OR >=60 days in FY + >=365 days over preceding 4 years (60-day rule extended to 120/182 days for citizens/PIOs with Indian income >INR 15 lakh). Deemed resident: Indian citizen with Indian income >INR 15 lakh not liable to tax elsewhere.
Related India taxes
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What is the income tax rate in India?
India taxes personal income at rates up to 39%. Ordinary residents are taxed on worldwide income; RNOR status exempts foreign income for 2 to 3 years.
Can expats pay less income tax in India?
Yes. Under the RNOR foreign income exemption regime, qualifying new residents pay about 0.0% instead of the 39% headline rate.