India

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Pros
Large, young, and increasingly digital workforce offering significant human capital for private enterprise.
Ongoing deregulation and simplification of the tax code to encourage foreign direct investment and entrepreneurship.
Rapid expansion of private infrastructure projects and digital public goods reducing transaction costs for businesses.
Cons
Persistent bureaucratic hurdles and complex regulatory compliance requirements slowing down business operations and market entry.
High levels of protectionist trade barriers and occasional unpredictable shifts in government economic policy.
Inconsistent enforcement of property rights and slow judicial processes for resolving commercial disputes.

Long story short: Here, the administration has a god complex: between permits demanded in triplicate and the inspector who drags his feet unless you slip him something, setting up a company can feel like a bureaucratic treasure hunt. Add a tax bite that jumps fast the moment you outgrow a tiny shell structure.

On the flip side, the banking system is solid and wildly digitized, payments happen in one tap, and in the posh pockets of Delhi or Mumbai, corruption barely touches you directly anymore.

Besides that: food that will ruin every other cuisine for you, landscapes that stop you in your tracks, safety that won't keep you up at night in the wealthy areas, and a domestic market so massive it gives you vertigo.

VERYLOW TAX 6.1/10 HOLDING 3.2/10 DIVIDENDPIPELINE 2.8/10 CRYPTOHAVEN 2/10 PRIVACYGRADE 3.6/10

Will your income be taxed?

Long story short: YES, A LOT.
India shears personal income hard, peaking at 30%. Residency rules are the classic kit (day counts, economic ties, habitual abode), so if you actually live here, you hand over the full schedule.

The state shows up early, and with a receipt book.

01.1 Income tax
Personal income tax
0 → 30%
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De quoi s’agit-il ?What residents pay on what they earn: salary, freelance income, sometimes dividends too. We show the system (flat or progressive) and the top rate.
Source et informations complémentairesprogressive · 7 brackets
Bracket (USD)Rate
0 – 4,180exempt
4,180 – 8,3605%
8,360 – 12,54010%
12,540 – 16,72015%
16,720 – 20,90020%
20,900 – 25,08025%
25,080 +30%
01.2 Tax residence test
A single active rule is enough to make you tax-resident.
183-day rule
Economic interest
does not exist here
Family centre
does not exist here
Habitual abode
does not exist here
Extended-stay test
Income tax simulatori

If you earn a year, you will pay .

Roughly effective, with a marginal rate of .

+10%
income above 5 million but up to 10 million
+15%
income above 10 million but up to 20 million
+25%
income above 20 million but up to 50 million
+25%
income above 50 million

Will your wealth be taxed?

Long story short: YES, BUT LIGHTLY.
India takes a light trim on capital gains (12.5% at the top), with no annual wealth levy and no inheritance regime.

Your portfolio compounds with barely any friction; the state only shows its face when you sell. And even then, politely.

02.1 Investment income
Capital gains
12.5%
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De quoi s’agit-il ?The tax on your profit when you sell something that gained value: stocks, property, crypto, a business. Some countries skip it entirely.
Source et informations complémentairesprogressive · +15% long-term capital gains
Bracket (USD)Rate
0 – 1,306exempt
1,306 +12.5%
Dividend tax
10%
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De quoi s’agit-il ?What you pay when your company sends you dividends. It stacks on top of corporate tax, so the combined bill is what really counts.
Source et informations complémentairesprogressive
Bracket (USD)Rate
0 – 10,450exempt
10,450 +10%
Interest income
30%
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De quoi s’agit-il ?The tax on income from savings, bonds and loans. Matters when choosing where to park your cash.
Source et informations complémentairesprogressive
Bracket (USD)Rate
0 – 4,180exempt
4,180 – 8,3605%
8,360 – 12,54010%
12,540 – 16,72015%
16,720 – 20,90020%
20,900 – 25,08025%
25,080 +30%
02.2 Wealth & estate
Wealth tax
NONE
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De quoi s’agit-il ?A yearly tax on what you own above a threshold, whether you sell or not. Most countries scrapped it; a few still run one.
Source et informations complémentairesno annual wealth tax · no real-estate wealth tax · no net-worth assessment
Inheritance system
NONE
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De quoi s’agit-il ?What heirs pay on what they inherit, by category (spouse, children, others), with allowances and top rates. Plenty of countries charge nothing at all.
Source et informations complémentairesno estate tax · no heir-based duties · no succession tax framework. Wealth transfers across heir-classes are not taxed in this jurisdiction. Only standard probate / registration fees may apply.
02.3 Crypto
Crypto · tax regime
FLAT TAX
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De quoi s’agit-il ?How crypto gains are taxed here: zero, flat, progressive or grey zone. Includes whether crypto-to-crypto swaps count as taxable events.
Source et informations complémentairesRate: 30% · Income from the transfer of Virtual Digital Assets (VDAs) is taxed at a flat 30% rate plus a 4% health and education cess. No deductions are allowed except for the cost of acquisition. Losses from VDA transactions cannot be set off against any other income or carried forward to future years. A 1% Tax Deducted at Source (TDS) applies to most transactions exceeding specified thresholds.
Crypto-to-crypto
TAXABLE
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De quoi s’agit-il ?How crypto gains are taxed here: zero, flat, progressive or grey zone. Includes whether crypto-to-crypto swaps count as taxable events.
Source et informations complémentaireseach swap counts as a disposal — gains realised at every trade
FATF travel rule
SIGNED
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De quoi s’agit-il ?Does this country enforce the crypto Travel Rule? If yes, exchanges must identify senders and recipients, like banks do for wire transfers.
Source et informations complémentairescommitted but not yet enforced

Easy to run a company there?

Long story short: NO.
Corporate tax in India is 25%, no IP-box mercy, VAT at n/a on top.

Operationally, running a company here is fine; fiscally, the state helps itself to a fat slice of every unit of profit. You do the work, they skim the cream.

03.1 Rates
Corporate tax
25%
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De quoi s’agit-il ?What companies pay on their profits. The headline rate is a starting point: IP boxes and holding regimes often pull the real rate lower.
Source et informations complémentairesprogressive · +4% health and education cess
Bracket (USD)Rate
0 – 104,50025%
104,500 – 1,045,00025%
1,045,000 +25%
VAT standard rate
NONE
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De quoi s’agit-il ?The sales tax baked into almost everything you buy here. One standard rate, plus reduced rates on things like food or books.
Source et informations complémentairesno general VAT · no consumption tax framework
03.2 Regime & registry
IP Box · Patent Box
NONE
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De quoi s’agit-il ?A discounted tax rate on income from patents, software and designs, often 5 to 10%. A magnet for tech and licensing businesses.
Source et informations complémentairesno IP regime · IP income taxed under standard corporate rules
Misuse of corporate assets
NO CRIMINAL
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De quoi s’agit-il ?If you spend company money on yourself, is it a crime (prison possible) or a civil matter? Some countries prosecute even sole shareholders.
Source et informations complémentairesno criminal liability · India follows Common Law principles where a sole shareholder/director of a solvent company is generally not criminally liable for using corporate assets for personal use, as the 'dishonest intent' required for Criminal Breach of Trust (Section 316 of the Bharatiya Nyaya Sanhita / Section 405 IPC) cannot be established when the sole owner consents. Such acts are treated as civil breaches of fiduciary duty under Section 166 of the Companies Act 2013 or as 'deemed dividends' for tax purposes under Section 2(22)(e) of the Income Tax Act.
Shareholders privacy
PUBLIC PAYWALL
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De quoi s’agit-il ?How visible a company's shareholders and directors are: free public registry, paywalled, restricted or fully private. More privacy, but sometimes warier banks.
Source et informations complémentairesMinistry of Corporate Affairs (MCA)
Directors privacy
PUBLIC
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De quoi s’agit-il ?How visible a company's shareholders and directors are: free public registry, paywalled, restricted or fully private. More privacy, but sometimes warier banks.
Source et informations complémentairesMinistry of Corporate Affairs (MCA)
03.3 Incorporation cost
In this country, the most standard company form is called Private Limited Company. The costs below are for incorporating a company in its simplest form, for reference only.
Government Registration Fees & Stamp Duty
USD 63
Digital Signature Certificates (DSC) for Directors
USD 42
Professional Fees (Incorporation, Legal Drafting & FDI Compliance)
USD 418
Total
USD 522

A good fit for a holding?

Long story short: NOT REALLY.
India has a moderate 46-treaty network, but no participation exemption: dividends from subsidiaries land straight in the corporate schedule (25%).

Fine for operational subsidiaries; as a pure holding base, you're feeding the local taxman at every distribution.

04.1 Substance & exemptions
Territorial · individuals
WORLDWIDE
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De quoi s’agit-il ?Does this country tax only local income (territorial) or everything you earn worldwide? Territorial means your foreign income stays untaxed here. Huge.
Source et informations complémentairesworldwide income taxation regardless of source
Territorial · corporates
WORLDWIDE
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Source et informations complémentairesworldwide corporate taxation
Participation exemption
NONE
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De quoi s’agit-il ?Can a holding company receive dividends from its subsidiaries tax-free? The cornerstone of any serious holding structure.
Source et informations complémentairesno dividend participation exemption regime
CFC rules
NONE
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De quoi s’agit-il ?Anti-offshore rules: they tax you at home on your foreign company's profits, even if nothing was distributed. Where they exist, offshore setups get tricky.
Source et informations complémentairesno controlled foreign corporation regime · foreign-source corporate income out of scope
04.2 Withholding tax · non-resident
WHT · dividends
20%
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De quoi s’agit-il ?The cut this country takes when it sends dividends, interest or royalties abroad. Tax treaties can shrink it; blacklists can inflate it.
Source et informations complémentairesnon-resident outbound
WHT · interest
20%
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Source et informations complémentairesnon-resident outbound
WHT · royalties
20%
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Source et informations complémentairesnon-resident outbound
Tax-haven WHT
NONE
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Source et informations complémentairesno punitive rate on record
04.3 Treaty network
Treaties signed
43
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De quoi s’agit-il ?Deals with other countries to avoid double taxation and cut withholding taxes. The bigger the network, the easier your money moves across borders.
Source et informations complémentairesactive
Treaties pending
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Source et informations complémentairesin negotiation
Tax treaty network
origin · IN 0% > 0% no treaty
Inspect a country
Hover any country on the map to read its withholding-tax treaty with IN.
Country Status Dividends Interest Royalties
// no treaties match

Easy to come and go?

Long story short: SOME.
India taxes your worldwide income while you're resident, but at least the exit is free: no exit tax on the way out.

Leaving costs you paperwork, not money; your unrealised gains walk out the door with you, untouched.

05.1 Exit & dual nationality
Exit tax
NONE
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De quoi s’agit-il ?What the country charges you for leaving: tax on your unrealized gains, as if you'd sold everything at the border. Here you'll see if it exists and when it triggers.
Source et informations complémentairesno triggers active · residence change tax-free · no deemed-disposal mechanism
Dual citizenship
FORBIDDEN
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Source et informations complémentairesnaturalisation requires renouncing existing citizenship
05.2 Citizenship paths
Residence
12 years
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Source et informations complémentairesavailable path to naturalisation
Marriage
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Source et informations complémentairesavailable path to naturalisation
Birth
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Source et informations complémentairesnot available
Descent
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Source et informations complémentairesnot available
Investment
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Source et informations complémentairesnot available

Is your money watched?

Long story short: YES, CLOSELY.
India signed every exchange framework that matters and runs a public corporate registry. Whatever you do here (earn, hold, structure) is reported, searchable, or both.

Your money is watched from every angle; if discretion is part of your plan, this isn't your jurisdiction.

Multilateral reporting frameworks 4/9 active · 3 pending
CRS
2017
CARF
FATCA
2014
MLI
2019
BEPS
MAAC
2012
GLOBAL FORUM
EOIR
CRYPTO TRAVEL RULE

Is it blacklisted?

Long story short: NO.
India is clean on every major blacklist (FATF, EU, France, Spain, Portugal, Brazil) and sits inside the FATF club.

Wiring money to or from here raises zero eyebrows: no flags, no extra questions, no compliance officer waking up. Reputationally, a non-event.

Blacklist exposure Clear everywhere
EMBARGO
un / us / eu sanctions
FATF
grey / black list
EU
non-cooperative list
FRANCE
ETNC list
SPAIN
tax-haven list
PORTUGAL
favourable regimes
BRAZIL
low-tax list

Do you feel free there?

Long story short: NO.
Press freedom in India is locked down (RSF rank #151). Independent media and civic space operate under pressure (when they operate at all), and that kind of grip usually spills over into economic life too.

Small mercy: crypto isn't formally banned.

08.1 Press freedom
Press freedom · RSF index
151/180
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De quoi s’agit-il ?The RSF world ranking of press freedom. A good proxy for censorship and civil liberties. The lower the rank, the freer the press.
Source et informations complémentairesscore 32 · ↑ 8 ranks year-on-year
Central bank digital currencyi
Program Status Cross-border Sources
Digital Rupee
The main motive is increase efficiency and decrease risks by utilizing instant settlement and programmability to return funds at specific times without delays.
RBI
PILOT

Connected to the world?

Long story short: SOMEWHAT CONNECTED.
India is only half-plugged in, and it's the half that hurts. Stripe won't take local businesses: to charge cards you'll be shopping for workarounds (a foreign entity, a local PSP, a merchant of record).

Amazon, at least, delivers to your door. 7/11 of the services we track run here.

Accept payments 3/6 available
Stripe
card payments
PayPal
wallet payments
Adyen
enterprise psp
Mollie
eu payments
GoCardless
direct debit
Paddle
merchant of record
Bank and move money 2/3 available
Wise
multi-currency
Revolut
personal banking
Revolut Business
business banking
Buy and sell on Amazon 2/2 available
Amazon
consumer delivery
Amazon Seller
marketplace selling
SEE ALSO

Other jurisdictions worth comparing

Picked by similarity of strategic profile to India. No editorial ranking — neighbours in the same scoring space.

PROFILE-ADJACENT Same shape, comparable overall friction.
NOTABLY MORE FAVORABLE Same family of strategies, higher total score.
NOTABLY LESS FAVORABLE Same family of strategies, lower total score.