What are the corporate tax rates in India?

Domestic companies have three options: (1) 22% under Section 115BAA (new concessional regime, no deductions/exemptions), (2) 25% for companies with total turnover or gross receipts not exceeding ₹400 crore in the preceding financial year, and (3) 30% standard rate for others. Foreign companies pay 35% on income from India.

What is the surcharge on corporate tax?

For domestic companies: 7% surcharge if taxable income exceeds ₹1 crore; 12% if it exceeds ₹10 crore. Under Section 115BAA, the surcharge is a flat 10% regardless of income. For foreign companies: 2% for income above ₹1 crore; 5% for income above ₹10 crore. Marginal relief applies in borderline cases (not modeled here).

What is the Health and Education Cess?

A 4% cess is levied on the total of (base tax + surcharge). It replaced the earlier 3% Education Cess from FY 2018-19 onward. This cess applies to all companies regardless of income level.

What is the Section 115BAA new tax regime?

Section 115BAA (inserted by the Taxation Laws Ordinance 2019) allows domestic companies to pay tax at 22% instead of 25%/30%, provided they do not claim certain deductions and exemptions (e.g., Section 10AA, 80-IA, MAT credit). The surcharge under this regime is a fixed 10%.

Does this calculator include Minimum Alternate Tax (MAT)?

No. MAT (Section 115JB) at 15% of book profit applies when the normal tax liability is lower. The Section 115BAA new regime is exempt from MAT. Use this tool for normal provision calculation; consult a CA for MAT comparison.

Is the Dividend Distribution Tax (DDT) included?

DDT was abolished from FY 2020-21. Dividends are now taxable in the hands of shareholders. This tool calculates corporate income tax only, not tax on dividend distribution.

India Corporate Tax Calculator

Enter your company type, taxable income, and turnover to calculate India corporate tax with the correct base rate, surcharge, and health and education cess.

Company Details

Company Type

Domestic Company Indian company or foreign company with Indian management

Foreign Company Company not registered in India, taxed at 35%

Tax Regime

New Regime — 22% (Section 115BAA) No deductions/exemptions; flat 10% surcharge regardless of income

Turnover ≤ ₹400 Cr — 25% Gross receipts/turnover in preceding year did not exceed ₹400 crore

Standard Rate — 30% Turnover exceeds ₹400 crore; standard old regime

Taxable Income (INR ₹)

₹

Enter company details and click Calculate Tax to see results.

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Summary

This calculator computes Indian corporate income tax under the Income Tax Act for domestic and foreign companies. Domestic companies may choose the concessional 22% regime (Section 115BAA, no exemptions), the 25% rate (turnover up to ₹400 crore), or the standard 30% rate. Foreign companies pay 35%. A surcharge is levied based on taxable income, and a flat 4% Health and Education Cess applies to the combined tax and surcharge. The result shows base tax, surcharge, cess, and total liability.

How it works

Select your company type: domestic or foreign.
For domestic companies, choose the applicable tax regime (22% new regime, 25% for turnover ≤ ₹400 crore, or standard 30%).
Enter your taxable income (net income after allowed deductions).
The calculator applies the correct base rate, then the income-linked surcharge slab.
A 4% Health and Education Cess is added on (base tax + surcharge).
Total tax payable, after-tax profit, and effective rate are displayed.

Use cases

Estimate annual corporate tax liability before year-end.
Compare tax burden under the new concessional 22% regime vs. the standard 30% regime.
Plan profit distributions and dividend decisions.
Prepare financial projections for investors or board presentations.
Check whether the ₹400 crore turnover threshold affects your applicable rate.
Model tax scenarios for different income levels during the fiscal year.
Verify advance tax instalments due under Section 208.

Frequently Asked Questions

Last updated: 2026-06-11 · Reviewed by Nham Vu