1. You Are At:
  2. Home
  3. Business News
  4. Only 3% of Indian populace pays Income Tax

Only 3% of Indian populace pays Income Tax

Just less than 3% of Indian population bears the total income tax burden of the country that will sum up to 35 million tax payers.It must be noted that out of 35 million people, 89

India TV Business Desk [ Updated: February 27, 2015 23:58 IST ]
only 3 of indian populace pays income tax
only 3 of indian populace pays income tax

Just less than 3% of Indian population bears the total income tax burden of the country that will sum up to 35 million tax payers.

It must be noted that out of 35 million people, 89 % taxpayers are between the tax slab of 0-5 lakhs.

Comparatively, USA has more than 40% (138 million) taxpayers out of its 308 million population.

There are three categories of tax payers in India -- those earning between Rs 2 lakh to Rs 5 lakh fall in the 10 per cent tax bracket, while those earning between Rs 5 lakh to Rs 10 lakh  are paying  20 % taxes currently.

 The bulk of the taxes, however comes from high earners whose income exceed Rs 10 lakh limit. They are taxed at 30 per cent.

 Individuals (42,800 to be precise), whose taxable income is over Rs 1 crore, are liable to pay an additional surcharge of 10 per cent from this year.

 That's not all. Wealthy Indians (wealth exceeding Rs 30 lakh) are also required to pay wealth tax of 1 per cent.

Write a comment

Live Scorecard