Bonus tax calculator

Your bonus, after the additional income tax.

Your numbers

₹
Eighteen lakh rupees

Salary before employee deductions; excludes employer costs.

₹
Two lakh rupees
₹
One lakh fifty thousand rupees

Total eligible exemptions and deductions, excluding the standard deduction.

Your inputs stay in your browser.

Bonus after incremental tax

₹1,58,400
Gross bonus₹2,00,000
Tax without bonus₹1,50,800
Tax including bonus₹1,92,400
Extra tax on bonus₹41,600

FY 2026–27 · Resident individuals below 60 · Ordinary income up to ₹50 lakh.

Estimates, not promises. Explore different scenarios.

Understand your result.

Estimate the additional income tax caused by an annual cash bonus. The tool compares ordinary salary tax before and after adding the bonus, under the selected regime.

The tax difference is incremental annual liability. It need not match the TDS withheld on the month’s payslip.

A worked example.

Using this calculator’s default inputs, bonus after incremental tax is ₹1,58,400. This is an illustration of the stated formula, not a forecast.

See the example inputs
Annual gross salary₹18,00,000
Gross annual bonus₹2,00,000
Tax regimeNew regime
Eligible old-regime deductions₹1,50,000
Try this example

A common mistake to avoid

Applying a US-style flat bonus withholding percentage to Indian salary income.

Questions you might have.

Is the bonus separate from ordinary salary tax?

This model treats the bonus as ordinary salary and computes the change in progressive annual liability.

Should gross salary already include this bonus?

No. Enter the base salary excluding the bonus being tested, otherwise it is counted twice.

Prepared by INDwise · Calculation checks: 29 October 2026 · How we check the maths · Report a correction

How we calculate it

Incremental bonus tax = tax on salary plus bonus − tax on salary alone. Net bonus = gross bonus − incremental tax.

Assumptions & things to know

FY 2026–27 planning estimate for resident individuals below 60, ordinary income up to ₹50 lakh. Includes the ₹75,000 new / ₹50,000 old salary standard deduction, resident rebate, new-regime rebate marginal relief and 4% cess. Excludes capital gains, surcharge, foreign tax credits, agricultural income and special-rate income. Inputs are rounded to the nearest ₹10 for taxable income; final tax to the nearest ₹10. Check eligibility and current rules before filing. A bonus is ordinary salary income; this is incremental annual liability, not an employer TDS quote.

Income Tax Department — tax rates

Source references checked 29 October 2026. Rates and rules may change.

Your privacy & sharing

Your financial inputs are used only within this page. Saved calculators use this browser’s local storage. Sharing creates a link with the entered values, so anyone with that link can see those values. A downloaded summary stays on your device.