Tax
Concepts behind Indian taxes and everyday calculations.
How Is Interest on FDs and RDs Taxed?
Interest earned on fixed deposits and recurring deposits is fully taxable as 'income from other sources' at your slab rate. Banks may deduct TDS above thresholds, but you owe tax on the interest either way. The post-tax return is what to compare against alternatives.
Read guide taxHow Income Tax Calculation Works in India
Income tax in India is computed in stages: total your income under different heads, subtract eligible deductions and exemptions, apply the slab structure of your chosen regime, then add cess and adjust for tax already paid. Knowing the structure matters more than memorising the numbers, which change with each Budget.
Read guide taxHow Are Mutual Fund Gains Taxed?
Profit on redeeming mutual fund units is a capital gain. How it is taxed depends on the fund's classification (equity-oriented or not), how long each unit was held, and the rules in force in the year you redeem. This guide explains the moving parts without quoting rates, because they change.
Read guide taxWhat Is GST (Goods and Services Tax)?
GST is a single indirect tax levied on the supply of goods and services across India, replacing many earlier central and state taxes. It is charged as a percentage of the value at each stage, with businesses claiming credit for tax already paid on inputs, so the final consumer bears the tax.
Read guide taxWhat Is TDS (Tax Deducted at Source)?
Tax Deducted at Source (TDS) is a mechanism where the payer of certain incomes — salary, bank interest, rent, professional fees — deducts tax before paying you and deposits it with the government on your behalf. It is a prepayment, not a separate tax.
Read guide