The tax in India on an individual's income is progressive. For the financial year 2008-2009, an individual's income is taxed progressively at 10% - 30%. A 10% surcharge is imposed on the tax, subject to legally specified limits and an education tax (CESS) of 3%.
In 2008-2009, there is a 30% tax for a local company and 40% tax for a foreign
company with an additional surcharge (for income above INR 10 millions, 10%
for domestic companies, 2.5% for foreign companies) as well as an education
tax (CESS) of 3%. The top effective tax rate in India is 33.99% for a local
company and 42.23 % for a foreign company. For more detailed information on
taxes in India, click on the following links.